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Important Things to Consider Before You Launch a New Business

Launching a new business can overwhelming and is full of risks. It takes a lot more than just a great idea to launch a successful business, you need to surround with a good team, you need a good level of finances, a savvy marketing plan and so much more. Here is a list of important things to consider before you launch your new business.

What Problem Are You Trying to Solve and Who Is Your Target Audience?

For a business idea or product to be valuable it must help people in a way that they are currently not being helped. Asking yourself what problem can your product or service solve is essential to achieving business success.

It would be a good idea to undertake some research into what challenges people are facing and find one that is common, unsolved and which you could provide a profitable solution for. You also need to put yourself into the mindset of someone who refuses to accept the status quo and has an ambition of making the world a better place

If you already have a product or service idea, do some research to make sure it solves an existing problem.

Do Some Research and Figure Out Who Is Your Target Audience

It is crucial for you to figure out who the main competitors are within your niche? It doesn’t matter as much if you are entering a saturated marketplace if you have a established a strong purpose and a unique selling point that aims to solve a problem that people are begging to be solved.

When undertaking research for your business idea make sure you, search for communities of consumers relating to your area. What are the main pain points consumers want solving that you could provide solutions for?

Take into consideration factors such as; age, gender, social economic status and any hobbies and interests your target audience predominately have.

Also take into consider any factors such as how they communicate. Are they all on Facebook, Instagram, TikTok or is email the best way to keep in contact with them?

In terms of geography, it would be wise to ask yourself what areas of the world does your ideal customer live in? Are you targeting audiences in a specific location like an estate agent might be, or is your audience spread around the world across a large variety of different cultures and time zones?

Create A Strong Business Plan and Strong Marketing Campaign

This may seem like an obvious thing to do but it’s often overlooked. Although it’s unlikely that your business will follow the exact path outlined in your business plan, it provides a way to focus your mind, come up with concrete goals to shoot for, and plan your finances in advance. This is also a great way to secure investment by showing potential funders that you know exactly what you’re doing.

Ask yourself what are your goals for the first few years and what do you hope to achieve within a certain timeframe?

Ask yourself what is your budget and how much money can you afford to spend on things such as; marketing and to hire new staff?

No matter how good your idea is, you’re going to need to run a marketing campaign that is highly impactful to keep new leads coming in, raise brand awareness, and advertise your services.

Do research into the main advertising mediums for your niche, what works for your industry and what marketing tactics doesn’t. Ask questions such as, are short term or long term marketing campaigns the way to go?

Once you know the kind of campaigns you are going to run, you should investigate the cost of running them and scope out the agencies and platforms that will help you get your campaigns off the ground.

Have Your Finances Organised

You need to have a realistic expectation of how much your business will cost and have 100 percent certainty that you know where that money is going to come from.

Don’t waste your time starting a new business if you don’t have the money to sustain it. Build up reserves of cash wherever possible. If you already have a regular flow of income, set aside some of it for contingencies; you never know when you’ll be bit by a surprise bill, have a major client drop out, or have a supplier raise their prices on you.

Have A Backup Plan in Case Your Business Fails to Succeed

In the unfortunate event where your business fails you don’t want to end up stuck with a warehouse full of products that you are unable to sell or a mountain of debts you can’t pay off. Before you start your business, you should make the sensible decisions to ask yourself “if everything goes wrong and my business fails, what’s the worse that will happen?”

You need to consider this question very seriously and know what the honest answer is. Maybe you can sell off your capital assets so that you’re not left with a massive financial loss. This is where it’s important you didn’t tell your boss to shove it before going solo, because you may need to ask for your old job back if things don’t work out.

Starting a business involves a serious amount of risk but, in many ways, it’s never been easier to do so. Many new businesses begin lives as internet-based projects until they have the capital to expand and today there are more ways to advertise your services than ever before.

EFX Accountants and Advisors