As a business owner, creating your own company from the ground up is very difficult in the best of times. But, during a pandemic, it’s even more complicated to attempt to start a business. With that said, there are ways to ensure that your venture has the best chance of success. Sure, it will take hard work and dedication, but you can easily overcome a brief drop in the markets by bolstering your company and learning where to invest your capital. Below, we’ll show you our best tips for helping your new business thrive during uncertainty.
Tip #1: Create a foolproof plan.
Before you start marketing and creating a logo (aka doing all the fun stuff), it’s important to sit down and write a business plan. Although it may be daunting, it’s really just about outlining your short-term and long-term ambitions for your company.
The short-term section of your plan should detail what your business will do and how it will do it. And, for the long-term section, you should explore what kind of growth you’re looking for. Keep in mind that you will need to be flexible with these goals as conditions change and your growing company will likely have to shift its goal posts as time goes on.
Here’s a checklist for your business plan and the questions you’ll need to answer when drafting it:
- Executive Summary
- Why will my business be successful in the market?
- What does my business change?
- How much money is necessary?
- What is the ROI?
- Business Description
- What type of business is this?
- What are the products we sell?
- What is the growth potential?
- How is it different than other competitors?
- Who is our audience?
- How large is the potential market?
- How will the product or service be priced?
- How will we advertise?
- Research and Design
- What research and design needs will the business require?
- What are the costs for these requirements?
- Where will the business HQ be located?
- What are the product needs?
- What type of transportation is necessary?
- Who will be the suppliers?
- Who will manage the business?
- How many employers do you need?
- What licenses and permits do you need?
- What are the potential risks involved and what is your risk management plan?
- What are the total estimated costs for one year of business?
- What does your business budget look like?
- What sales volume will you require to make a profit?
- What are you potential funding sources?
- What are you total financial needs?
Once you know the answers to these questions, you’ll have a much better idea of how to write your business plan.
Tip #2: Get your finances sorted.
Just like you wouldn’t forgo wealth management services if you had a big pile of money in your personal bank account, the same can be said for that investment capital sitting in your business bank account. It’s important to have trusted financial advisors and potentially a lawyer on hand who can help you sort out your company money complexities.
Tip #3: Network early and often.
One of the best ways to help your company is by building up a robust network. Connect with other entrepreneurs at in-person meetups and online through LinkedIn. Reach out through friends of friends to make connections. You never know who can help you and your business, after all.
Tip #4: Don’t surround yourself with yes men and women.
We all like having support and positive affirmation, but honesty is also important. Hire a team who you can count on to speak up if they disagree. Make sure you’re looking for qualified people who have the right experience and personality to work in a start-up environment – not everyone is cut out for it.
Starting a business is never easy but with the right strategy, you can build an amazing business no matter the market conditions. Plenty of big companies were founded during a recession or market downturn, so don’t let that stop you from pursuing your dreams. So, draft up your plan and take those first few steps to creating the company you’ve been planning for ages.