Ever dreamt of owning your own business and turning that big idea into a profit making enterprise? Well you’re in good company! Brits are full of entrepreneurial spirit with data from StartUp Britain revealing that over 135,000 start-ups have been launched this year.
If you’ve always wanted to start your own business, the new tax year is a good time to take the plunge and put your dreams into action. Here are five tips to help you on your way to business success.
1. PLANNING IS KEY
Whilst having a detailed business plan is an obvious requirement, the planning stage should include more than just your financial goals and objectives. Set yourself a clear mission with distinct achievable goals. Maybe you want to be known for good service so might set yourself a goal of responding to every customer query within 48 hours. It’s also worth remembering that whilst a detailed plan is necessary, you do need to allow yourself some flexibility for unforeseen circumstances or changes in direction.
2. GET ON TOP OF YOUR FINANCES
Financing is likely to be the biggest challenge you’ll face as a start-up. Initial set-up costs are often high and ensuring you have enough cash to get you to a point where you can operate comfortably should be an immediate priority. From government grants to crowdfunding and peer-to-peer lending, there are multiple routes to obtaining external funding so do your research and pick what works best for you. You may also want to learn a few core accounting skills if finance is new to you or you may decide to seek external help. There are a range of accounting software services, like Xero, tailored to start-ups so don’t feel like you have to go it alone.
3. KNOW YOUR MARKET
Even the most basic market research will get you a long way. What customers do you want to sell to and what would drive them to buy from you specifically? What is the competition doing? Even if your product or service is an industry game changer, think about what it would take to convert prospective customers into loyal ones. Understanding your market will help you come up with a proper business strategy for success.
4. COLLABORATE AND LISTEN
It’s important to know where your expertise lies and where your limits are so make sure you build up a support network of advisers, mentors, and strategic partners who can help get you to your goal. Make professional networking a priority. Get out there and sell your business idea to other likeminded individuals who may be able to support you in one way or other. These initial connections may be the start of great partnerships. At World First, savvy networking landed us a former Deputy Governor of the BoE as our chairman.
5. THINK GLOBAL
It is never too early to start thinking about expanding your business abroad. And with competition rife in the UK, you may even find that your product has certain appeal to other markets beyond the British Isles. Take Wake Drinks for example, a drinks start up in Chester founded by Alex Buckley after noticing the appeal for Union Jack branded products during a trip across Asia. They’ve experienced phenomenal success selling their drinks in China through online marketplaces like Taobao. Just by selling on international marketplaces like Amazon, Rakuten or TradeMe, you could increase your customer base tenfold and take your idea global.
This article is part of our spring edition of Transfer magazine. Download your complimentary copy here.
Further reading:
Inflation focus: five things that have gotten much more expensive and why