Start a New Business – 5 Crucial Steps

To start a new business takes courage, drive and perseverance. There’s plenty of anecdotal and concrete evidence that the attrition rate of new businesses is high, but don’t let this put you off. There’s also a mass of evidence proving – when you do things right – how a business can succeed and grow. The resounding theme in the plethora of excellent advice and information available is – PLANNING! Plan and research every inch of the way as you follow these steps to start a new business.

1. Goals
You need to fully understand, and be able to clearly state – why you are in business, what you want from the business, what is unique about the service or product you will be taking to the market. Clarify this to yourself and your planning will get easier from there. Click here First steps in planning a new business for some sage words on this point.

2. Know Your Market
You can have a great product or service but if there is no one interested in buying it then there’s little point in going any further. It’s important to research and determine if there is a market for your product, who they are, where they are and how you will reach them. Here are some helpful links to understanding how to get to know your market:

Defining and knowing your customer | Researching your customer | Knowing your market and competition

3. The Business Plan
This will take time and work but it’s worth it. It will help you understand all aspects of your business intimately and thoroughly – goals, product, market, business structure and finances. It’s important for strategy and planning, but essential for seeking finance or investors. This can seem overwhelming but keep it simple and follow the basic steps. There are many resources and templates to assist you in getting this done. Here are just a few:

Business Plan Templates | Government grants assistance | Angel Investors

If you’re the type of person who has the tendency to over plan things, then this next pointer is for you. You don’t need to cover off every aspect of your new business on paper before you start a new business. In fact in the planning stages this simply isn’t going to be possible without getting the experience first. You will find that you are sometimes better off learning as you go, Darrell Henley summarises this as the Learn-as-You-Go Mentality.

4. The Business Environment
Your business should be an evolving entity. Keep it dynamic by knowing your business environment and staying abreast of factors that can influence and change your market or business practices, such as developments in technology, demographic shifts, the Economy. It pays to keep up with the news, note what Successful business owners are doing right that could help your business. There are some great insights in this ABC article Radio National Life Matters – Talkback Transitions in the job market

5. Brand Name & Design
By the time you come to launching, your branding should be telling your target market, loud and clear, what defines your business from the competitor and what the customer can expect from you. Coming up with a brand name, designing the logo, website and promotional material, all requires a good deal of reflection and effort and it is worth investing in professional advice and design.

A well-designed brand name should encapsulate the essence of your business. The logo should reflect what the company is and does, it should be original, work well across all media, and be durable. An example of creating a new brand name and brand design is the one we created for fish and marine life business – which we named Aqueus, check out the brand name and design case study.

For further reading on creating a brand name, have a read of our article called ‘Naming your business‘

And finally, inspirational quotes aren’t normally our thing, but we do love the words of Steve Jobs in this great quote, which might come in handy if the task of planning your new business ever becomes too daunting.

‘I’m convinced that about half of what separates successful entrepreneurs from the non-successful ones is pure perseverance.’ Steve Jobs