To be a successful entrepreneur, you need to start with a good business idea and be able to evolve it into a profitable startup. The best idea does not necessarily lead to a successful entrepreneurial venture without clear business goals and objectives.
Business Idea
1. The Business Idea.
Write it down, for only then it becomes real. Be able to articulate it in less than twenty-five seconds or as long as a short ride on an elevator. This is called the elevator speech and makes you think long and hard about what it is you’re trying to do.
2. Develop a Business Plan.
Entrepreneurs never plan to fail at a start-up, they fail to plan. A good business plan forces you to understand every aspect of the proposed business. It also forces you to run a financial analysis to prove that the business is financially feasible and to calculate the capital you need to start the business and to pay for the operating expenses while the revenue stream is being developed.
3. Create the Business Identity and Image.
Choose a name for the business and a name for the website which you will need in today’s environment. Get a logo if necessary and make sure that they all fit with the product or service you’re trying to sell.
4. Paperwork and Forms.
Decide on a legal structure for the business (single proprietorship, partnership, LLC or corporation). Understand the licenses you need and the forms that are
required by the different government entities you’ll have to deal with.
5. Start-Up Capital.
A good business plan will have forced you to size up and justify the amount of start-up capital you need. Determine where it will come from and make arrangements to get a commitment for it. This would be the first place you’ll need a copy of a well-developed business plan.
6. Start-Up Operating Expenses.
You’ll also need enough capital to cover the on-going operating expenses until the business begins to produce enough positive cash flow. Again a good business plan will have identified the cash flow and the break-even point.
7. A Marketing Plan.
Who are your customers, what are their business problems, how will you use your products/services to solve their problem and how will you go after them. How will you package your business idea as a product or service and what price will you charge for it. Will your customers be satisfied with your product/service for the value they’ve received?
8. Identify Relevant Technology.
In today’s global economy, the survival and prosperity of your business venture also hinge on your familiarity with the impact of technology on your marketplace and a thorough knowledge of your competition. Whether it is the Internet, good manufacturing equipment or current office equipment you need to be sure that you are utilizing the most user-friendly and economically feasible products. Get up to speed on popular social media tools and. determine which to use to promote your business idea to your potential customers
9. The Right People Resource.
A good leader always surrounds him/herself with excellent people. Play to your strong points and understand your weaknesses so you can build a team to fully complement your skill set.
10. Live As If Today Were Your Last.
Do not forget family and friends as you begin to work the 16/18 hour day of the entrepreneur. Remember that you’re doing this to provide a good life for all concerned including your employees. Make the business a fun and rewarding place for all.
If you do your homework, have a strong commitment, talk to others who have been there before you and paved the way, you have a good chance of being successful.