Owning your own successful business might have been your long cherished dream. But how often have you put down this dream just because the idea of starting a business appeared daunting? You can start by pondering the various small business ideas or startup ideas, and then someday, this business might make you as rich as Bill Gates.
If you believe that you have what it takes to be an entrepreneur, then continue reading this article.This article is a step-by-step guide that will tell you about the steps to start a business.
11 Steps To Start A Business – Startup Guide
1. Identifying A Business Idea
The first step to starting your own business is to research well and prepare a list of the top 10 most successful businesses to start with pertaining to your field of interest. Some of the best business ideas can be app development, digital marketing, or dropshipping business, while small business ideas can be owning a food truck, giving tuition, babysitting, etc.
You must look at existing businesses too which are there in the same industry as you have chosen. You must also conduct a market analysis on them to identify their demand. Additionally, you must ensure that the segment is not saturated so that there is less competition which will help you to easily establish your business. You can also search for some online business ideas.
If you are wondering how to start a small business at home, you can consider small business ideas such as online reselling, online teaching, online bookkeeping, transcription services, etc.
2. Identifying A Suitable Business Structure
While starting your own business, you must choose a suitable structure. The right structure is essential to maintain an equilibrium between the financial position of the firm and the legal position of the firm in the market. The business structure may vary from place to place, but some of the most common structures are limited liability companies (LLCs), corporations, and sole proprietorships.
3. Getting Funds For Your Business
Every business requires investment to sustain its operations. Several startups shut down at the initial growth stage due to a lack of funds. Thus, startups must have adequate funds to keep them running. Some of the popular funding are:
- Business Loan
- Investors and venture Capitalist
- Business Grants
4. Developing A Business Plan
Once you have identified the business idea, you must prepare a business plan. A business plan will help in giving a structural shape to your small business ideas or startup ideas which will help in the easy implementation of the idea. Startup guide says, a business plan must highlight the following:
- Name of the company
- Its product and services
- Operations and the Logistics
- Management and the type of organisation
- The targeted audience
- Marketing Plan
A detailed plan will keep you aware about all the essential things related to your idea reducing the element of surprise.
5. Get Federal and State Tax ID Numbers
A federal tax ID, also known as an employer identification number or EIN, is a 9-digit number. This number is assigned by the Internal Revenue Service (IRS) to businesses for the purpose of tax. You can also consider it as the Social Security Number of your business. The EIN helps you to file your business-related taxes and gives your business legal protection.
6. Get Hold of Business License, Permits, and Bank Accounts
To make your business legal, you must acquire a business license/permit from the required government body. Also, your startup is subject to certain rules and regulations specific to your industry. However, the license/permit requirements might vary from location to location; hence, always research a bit about the same. Moreover, to easily manage your finances, make sure to open a business bank account exclusively for your business.
7. Create A Website
Creating a website or online store can be extremely rewarding if done in the right manner. Shopivana is the best website builder as it is user-friendly. You just have to share details pertaining to your startup idea and product information with them. They will build an amazing website for your startup within 3 to 5 days. Moreover, they will help promote your website with powerful marketing tools such as Facebook Pixels, Google Analytics, and Shop Analytics. They will also manage your orders, inquiries, and payments with the help of their admin panel.
8. Getting Your Business Insured
Get your business insured to safeguard it against any unfortunate circumstances, such as losses. While there are various types of insurance to choose from, you must first carefully consider the risks involved in the industry you’re going to work in and then select the suitable insurance for your business. Contact a licensed and reputable insurance agent for guidance if you find this task overwhelming.
9. Selecting Tools and Software for Your Business
As a novice business owner, you should pay attention to the importance of having good software to run your business. Entrepreneurs use software to automate or streamline various repetitive tasks, including sales and marketing work.
10. Hire Your Team
Before building your team, you need to consider two factors: the amount of work that needs to be done and the skills your potential teammates should possess to run the business. Hiring team members can be tough and time-consuming. However, building a good team will be worth it. You can save on recruiting charges by posting ads on various popular platforms such as Facebook, LinkedIn, or Jobs.com.
11. Promoting Your Business
You must build a strong brand image to stand out among your competitors. A brand is not merely your name and logo but how people perceive your startup. Your business must have a strong marketing strategy. You should promote your startup on social media platforms, run paid advertisements, start a blog, create a podcast and hire influencers to market your products. You should also offer discounts and use your network to reach potential customers.
Starting your own business can be very exciting and daunting as well. However, starting your business can become a bit less overwhelming if you progress systematically. While brainstorming for the best business ideas, make sure to prepare a list of small business ideas from home too.
The steps mentioned above startup guide can help you to progress slowly but steadily. However, once you have started your business, marketing becomes one of the essential factors to give wings to your business. This is where you will need help from some of the best e-commerce website builders for small businesses. Nevertheless, before choosing a website builder, make sure to study a bit about the pros and cons of website builders for small business.
Laying the foundation of your business is undoubtedly difficult but not impossible. Nothing can deter your business from prospering with the right strategy and hard work.