Building an Emergency Fund

 

As the workforce goes through unprecedented changes, many people are considering taking the path to entrepreneurship. While the internet has made it easier to start your own business, you will still have to plan out a detailed strategy to help you obtain your goals. These steps can be used to help create a solid business plan.

Conduct Market Research

The very first step in building a business is to identify a niche that appeals to you and to create a product that falls into that niche. You will need to research the market for your product once you determine what type of business you'll be creating. As you look into the market, you should be looking to see how many competitors are already selling products similar to yours. In evaluating your competitors, you should also look to see how well their products sell. If companies similar to the business you want to create are struggling to earn a profit, you'll have to determine what type of problem is affecting those businesses. It may be a marketing issue or it may be that consumers just don't have a need for that type of product. If the problem lies in the product itself, you'll need to find something unique in your product that will help you fulfill consumer needs.

Estimate Operational Costs

Even if you're starting an online business, you will still have operational costs. This will include your need for computer hardware, internet connectivity costs, and your own clerical supplies. This process should involve figuring out how sales taxes will be paid and how you'll pay taxes on earnings at the end of the year. Additionally, you'll need to cover the costs associated with marketing your business and products. Unless you're selling a service or a digital product, such as an ebook, you'll also have to have the capital to cover shipping costs. Other operational expenses may include obtaining insurance coverage, incorporating your business, and paying for third-party services.

Fund Your Business

Once you have an estimate of your operating costs, you'll be faced with the challenge of raising capital for your business. If you plan on starting an online business, your expenses will be much lower in that you won't need to pay a lease, buy machinery, or hire personnel. However, even an online business has minimal expenses that must be met. If you also work full-time, you may be able to use that income to help you fund your business. Additionally, you can consider peer lending, traditional small business loans, or crowdfunding as ways to raise capital for your business. The options you choose will depend on your financial situation and the amount of capital you'll need to raise.

Create Your Website

Even a traditional brick and mortar store needs a website in today's marketplace, and most commercial sites offer e-commerce solutions. For many people, a company's website serves as a portal to the business, providing them with their first interaction with that company or brand. This means your website should look sleek and professional while providing a user interface that's easy to navigate. Your website should feature a blog where you can create unique content that can be used to increase engagement and online visibility. All of your business' social media accounts should link back to the blog on your website to ensure your followers can find your site. You can also create an account on a fan site for content creators, where your followers can subscribe to get access to your premium content. This is recommended for entrepreneurs who create digitally downloadable content.

You should also make sure you utilize a newsletter as a service to help bring in more customers! You can use email newsletters weekly to update your customers on deals, new products, and more. 

Start Marketing Your Business

Marketing your business can be both exciting and frustrating, so you should expect to go through a series of trials and errors before you discover what works for your business. In today's digital world, consumers want to form relationships with their brands and they do that by following them on social media. For this reason, it's essential to grow a strong following on one or more social media websites. There are many types of digital marketing that you can utilize to grow your business, including social media marketing, mobile device marketing, and SMS marketing. Some entrepreneurs experience success and growth strictly through the free marketing opportunities available through social media websites.

Even after you create an actionable business plan and launch your new business, you should expect to dedicate hours upon hours to your business' success. Many entrepreneurs fail their first time out, but find that their perseverance helps them to ultimately achieve success.

By Maggie Bloom