Creating a business can be easier if you follow these steps:
Ideas are going around in entrepreneurs’ minds, but they don’t always lead to action, which is what is really important. To transform these concepts into action, it is a good option to create a plan that allows you to fulfill them.
We tell you how you can divide some tasks more easily and meet objectives of your venture to be successful.
Create a business plan
The key to a successful venture is to have a good start, so it is important to keep things simple and low cost. This is not only about money, but also about time being well spent.
To make it easy, make a concrete business plan that takes no more than one page. Do not fall into the trap of making a very big and solid one, because what you really need is investment or financing that can be achieved by testing ideas or defining these concepts:
- What will be the end result of your business?
- Unlike a vision, your mission should explain why your business exists.
- Objectives: What are you going to do, what are your goals, what will lead you to the fulfillment of your mission and vision?
- Outline of basic strategies. How are you going to achieve the objectives you have just set?
- Simple action plan. Write down the smaller task-oriented actions required to achieve your stated objectives.
Define a budget
When creating the budget, you have to be realistic with the figures, taking into account that it is a business that is just starting up and this way you will be able to know how much to spend or save to get started.
One of the recommendations is to save an additional 20% for unforeseen expenses, this will help you keep the business afloat. This is known as the burn rate and is the amount of cash you are spending month to month. Knowing this figure is important to know how long you can stay in business and what you will get in real profit.
The key to this step is to set up your business taking into account the profitability of the first 30 to 90 days and having the budget reserve to survive if things go slower than you expected.
Choose the legal entity
To carry out the acts of commerce that are subject to commercial law, you must choose the commercial company that best suits the type of business you want to create.
Create your website
In these times where digital has come to impact all areas of our lives, businesses are one of the most benefited because they can improve the visibility of their product or service. That’s why it’s key that you get a domain name URL so that you can later monetize it by linking to online purchases.
Try to spread your offer cheaply and creatively
Since you have a sufficient base, you can start trying some sales.
If you have a service-based business, immediately connect with your local chamber of commerce and ask what resources are available to talk, present or share information about your business. If you have a product-based business, test the viability of your offering at local trade meetings, farmers’ markets, or other community events to find out what the public really thinks (and whether they would buy) of your products.
Drive traffic to your website through simple Facebook ads on limited budgets or set up a basic Google AdWords account.
You can follow these steps on your own with little money. It’s a great way to test the viability of your small business before spending all your time and money on an unproven idea!