Start a business today!
You have an idea. That’s great! Let’s look at the steps to take to turn your idea into an income generating business.
There are many places you could start, in fact, much of it is done at the same time. If we jump to Step 4 which is your business plan for a second, this will include market research to check that your idea is viable.
Let’s jump right in an assume you’re pretty sure this is a viable idea.
step 1: choose your entity
Choose which entity you want to start your business in. It may be practical to start the business in your own name and operate as a sole proprietor. Should you wish to operate as a trust or a private company or Pty (LTD), it is relatively easy to get set up and there are some companies that assist you to get going very quickly. Try the Shelf Company Warehouse.
Step 2: Create a brand and a logo
I like to get a web presence going as a matter of urgency. While you choose your brand name, it may be worth skipping to Step 3 and check that your brand name or similar name is available as a web domain.
Before you can create your web presence, you need a brand identity. There are many free Logo builders online but building a brand encompasses more than a logo. Creating a brand identity requires careful consideration so that all your documents and marketing have the same feel and represent the kind of business you are running.
We have a brand builder tool to get you going!
step 3: set up your contact information and web presence
Most businesses require a professional website. While I do recommend that a professional assists you with this, it is possible to set it up on your own.
To register your own website, you will need to purchase a domain. Domains have affordable domains available, great hosting packages, not to mention great support. This will also allow you to get customized email addresses hosted affordably.
There are platforms that host your website for free but you may not get a custom domain name and the functionality will be limited.
Set up your social media accounts. Choosing which platforms to select depends on what kind of business you want to run. A more professional based business may be better on LinkedIn whereas a fashion brand may be better on Facebook or Instagram.
Step 4: write your business plan
This could be step 1, however, done is better than perfect and with the exception of your market research which should be done in advance, getting going with the basics above is a great start.
What is a business plan? A business plan is your roadmap to success. A business plan is a working document that:
- Defines your goals
- Investigates the market you plan to operate in
- Describes the methods to achieve your goals
- Describes methods to measure your goals
- A business plan includes marketing, operational and financial plans.
A business plan is not a document to write once a year and then ignore. It should be used in operation to a) communicate the goals and strategies of the business to the employees, b) to adjust where necessary and c) to check progress along the way.
Contact us for a Business Plan template to get you on your way.
Step 5: Set up compliance, registrations and licences
This may not apply to your businesses, but many businesses require registration with various bodies to legally operate. This may include a governmental bodies on a national or local authority level and it may include the industry body specific to your business.
There will also be various tax registrations that may be necessary such as VAT, PAYE and UIF.
Consult experts in your industry if you are not sure what compliance matters apply to you.
Step 6: Set up Operational infrastructure
You have already set up your website and social media accounts. Establish the rest of the physical and digital infrastructure needed to run your business smoothly. This includes setting up a physical location (if applicable), implementing accounting and inventory systems, and securing necessary equipment and supplies.
Once you start operating, keep referencing your business plan. Adjust and document your systems and standard operating procedures to continue to operate optimally.
step 7: secure funding
This may be necessary before step 6 and should have been explored when your business plan was draw up. Your business plan will include a financial plan, will play a key role in securing funding.
Proper cash flow is crucial for the successful running of a business.
Determine how much capital you need to launch and sustain your business until it becomes profitable. Explore various funding options, including personal savings, loans, investors, crowdfunding, or grants.
Your detailed financial plan will demonstrate your business’s financial viability to potential investors or lenders.
step 8: TIME TO LAUNCH – Always prioritise marketing
When starting a business, your launch is all about getting the business itself in place but it is also the launch of your marketing campaign which is going to remain and evolve throughout the lifetime of the business.
Once again referencing the business plan, your marketing plan will become the heartbeat of the business. Your marketing will continually communicate who you are, what you do and how you add value to the lives of your customers.
Always prioritize marketing. It is often the first item to be scrapped from the budget when times are tough. If times are tough, it’s actually time to increase your marketing budget.
Start with the end in mind
One day when you want to sell the business, it will need to be presented for sale in an organized manner. Maintain a proper set of books, keep good records, systemize your processes and secure licenses and leases integral to the business. In this manner, one day when you sell the business, you can maximize the value and sell in a shorter time frame. For more information read our article on preparing your business for sale.
Good luck with your new venture!
People with goals succeed because they know where they are going.
– Earl Nightingale
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