Getting a business up and running successfully is not the easiest task in the world. In fact, approximately 20% of startups fail within the first year and around 50% by the 5th year, according to Lending Tree.
It’s so important to know what your business needs before you open the doors (online and traditional). Take the necessary time to create a solid plan that includes financial projections. This way, you know what you’re shooting for and if you get off track. In this article, we’ll look at some of the major things (beyond a business plan) that your start-up business needs.
Quality Help (staff, consultants, mentor, etc,)
First of all, if your business is launching as an entity large enough for employees, you’re going to need a fantastic team. You need employees that are dedicated to their jobs, the company, and to providing the best possible service to your customers/clients. When hiring, look for the most qualified candidates but also use your gut intuition. After all, someone may look great on paper, but may not fit into your company vision or culture. Use unique questions and screening techniques to bring out those that will serve the company optimally.
One thing that new business owners can struggle with is decision making. This primarily happens due to a lack of experience and confidence. Obviously, the main way to get these things is to walk the walk. That said, there is another way to build your knowledge and self-confidence. I believe everyone needs a mentor. This mentor can be someone you pay as a coach or consultant. Alternatively, he/she can be someone you know and trust who is willing to give you some pointers about building your business. You can also pay this forward after you get some experience under your belt.
The Right Equipment and Inventory
It’s important to know exactly what equipment your business needs to operate efficiently. Securing everything you need may not be easy, especially if you’re on a tight budget. However, don’t deny your business quality, crucial equipment such as computers, software, and other tools of operation.
Waiting to purchase these things could prevent you from moving forward or even succeeding at all. Do also look for pre-owned items that are in good condition to save you money upfront. Make a list of everything you need to perform the best service possible, and then go and find the best places to source these items from.
Find good vendors before you open to stock your store. Some of these may extend credit to you if you qualify. This also helps to spread out the costs of starting. Businesses that buy and sell parts seek out quality sources for inventory like ILS Mart for the things they need. Of course, you’ll need to find sources that fit your particular industry and business model.
Finally, you are going to need proper funding in order to open and sustain your business. If you are funding your business yourself, be sure you know exactly how long those funds will last. If you have outside funding, make sure you know the terms well and can comply with them before you sign anything. Yeah, read that fine print!
I do also recommend that you have multiple sources of funding to start with. That way, if one source dries up, you have a backup plan that will sustain you until things get going. Additionally, do work on creating multiple streams of income with your business.