Starting a small business can be difficult and stressful, but it also can be very fulfilling. While there is no hard-and-fast set of rules for starting a business, here are 10 tips to help you start on the right foot.
- Develop a business plan. Establish an achievable timeline for goals, materials needed, actions required and a revenue model for economic milestones based on your business model’s projections.
- Build your budget. Make it as detailed as you can. Compare this to your revenue model to see where equity injections will be needed to start up and where sustainability and profitability could be achieved. Realize that a budget is fluid and will require adjustment.
- Seek out professional counsel. A great certified public accountant, attorney, insurance agent and banker are critical in guiding you through various issues you will encounter. They’re also critical in helping you avoid disaster. Budget for them.
- Build a barrier. File for your legal entity name and tax ID number with the state. Afterward, open bank accounts under this information and ensure you’re never comingling private funds with business funds.
- Logistics — and more logistics. Location (rented or purchased), internet, phone systems, software, office supplies, etc., everything you need to perform in your business, should be obtained, understood and in place before opening day.
- Design your logo or brand. Hire a graphic designer to do this. Obtain all AI vector, jpg, PDF, and other digital files. You will need them for whatever you want to place your logo on in the future.
- Marketing and advertising. By the time you open, you should have utilized every social media platform available. Build a business page on Facebook, Instagram, LinkedIn, etc. Send invitations to everyone you know. In the first 90-180 days, pay for boosted ads to get your business name out there. Building a brand takes time, so keep at it!
- Forget what your competitors are doing. Run your business with integrity, tenacity, respect and appreciation for success, and you and your product will be in demand.
- Analytics and evaluation. Combing through every aspect of your business, at least monthly, is imperative. You can never look too deep. What worked, and what didn’t work? Were goals met, and where did you fall short? You will fail only if you don’t address your shortcomings and find ways to improve. Proof is always in the numbers.
- Be driven, but stay balanced. Your business, in the first year or more, could consume your life. There is a fine line between professional success and personal failure. Take at least one day a week to forget the job and spend time with the people you love doing the things you love.
Royal Spragio is owner/executive principal with Coastal Select Insurance. Reach him at royal@coastalselectins.com.
