Most people who are merely thinking of starting their own business meet this information in almost every article. They stumble upon the claim that 9 out of 10 new businesses fail within the first year. Or, what is more optimistic is that roughly 50% of new firms close during their first 5 years, and two-third – during 10 years. You can believe it or not, but statistics is a quite inexorable thing. And what do you think? Of course, something like: “It’s not about me. I will carefully study all the success stories, and my business will be maybe not as great as Coca-Cola, but definitely not worse than the biggest local companies.”
Do you know that it makes sense to study not only the success stories but the failure stories as well? It is like the story with military aircraft. When engineers first used to analyze the results of those warplanes, which returned from the battle and had bullets traces on them they tried to fortify those parts damaged with bullets as the most vulnerable. But later they realized that the fact of return is the proof of success. So, they made their best to find the planes, which crashed and analyzed their damages. Those ones were really crucial and the parts where the damages occurred needed to be improved.
The same can be done in business. When you know what will surely lead to the failure, you have a chance to avoid that. But this will be a bit later. First of all, what can you start with?
What Are The First Steps When Starting Your Business
Probably you have heard this phrase: “An advice for the beginners: begin!” You will find hundreds of reasons for postponing the start of your business:
- I don’t have a start capital
- I don’t know what I will do
- I should write a business-plan first
- I should make a marketing research first
- I have to gather a crew
- I need support from my family and friends…
Just stop it. You will never start because you will never be ready enough. If you read about the most outstanding businesses you will find out that none of them was started with thorough preparation.
The most exciting question is the field you will work in. Here are some ideas to think of.
- What are you good at? What is your specialization? This is the simplest way since it requires less effort to enter the niche you are an expert in. Most people choose this way: first, they are employees, then – business owners.
- What is your hobby? If your job is not something you would like to do for many years, perhaps you have a hobby that inspires you and fills your life with more sense. If you have no ideas how to monetize it, you can appeal to other people’s experience or read appropriate literature.
- If these two options are not suitable there is a very prospective idea that many businessmen use. Look around and define what is actual and popular, what all people actively buy, wear, eat, play or aspire to. Regardless how many companies have already entered the market, if there is such a huge demand, there should be same supply. Here are several recent examples that helped many people to earn their first money on their own business: uggs, iPhone replica, smart watches, and finally spinners.
- Maybe you aspire to make your dreams true? For instance, you have always dreamt of flying, and your business will be connected with paragliding rent? Or you love kids and dream to spend more time with them. Therefore, you will open your private kindergarten.
- Plenty of the entrepreneurs start their businesses in order to satisfy their own need. For example, if you are a fan of a particular brand, and can’t find it in your city, it is a perfect opportunity to become a supplier of it. Or if your small town can’t boast with tasty pizza, it’s your turn!
No doubt, nothing can be better than uniting of all of these points; in such case, there is almost no chance for failure. But the likelihood of it tends to zero.
So, what should you start with? Today Internet offers any manuals you only could desire, starting from how to write a resume and finishing with how to fold T-shirts as in the store. Of course, you will find also something like how to register an enterprise and set up the Google Adwords campaign. There are many instructions. But the main idea is that you should not yearn for doing all perfectly. If you concentrate on every detail from the very beginning, you will spend months selecting the logo, instead of building sales or digital marketing strategy. No, in doesn’t mean that you should be negligent, but allow yourself being not an ‘excellent pupil’. It’s enough to be somewhere near average mark, and improve everything step by step.
The second crucial idea: firstly, you must do everything on your own. No, don’t create a logo if you are not a designer, but control the process. Write or at least carefully read the content of the website. Take part in creating a structure of the website. Make first sales by phone, visit all important meetings, participate in the negotiations with the partners or suppliers. Interview the employees, even if you have an HR-manager. Control finances, ads, PR, SMM… and everything. Yes, it takes much time. However, if it is your first business, there is only way to succeed. It is to know all the processes that are run in the company.
The First Hurdles For Any Businessman
This is about that story with warplanes. Most companies fail at this stage and never recover. What happens? Let’s imagine you have started a business. You’ve got the first clients, first sales, and first money. You have overcome first obstacles and succeeded. And suddenly you face something you didn’t expect. It can be tax inspection that had appointed fines, or extremely dissatisfied client who had spoiled your reputation, or unscrupulous workers. You may lose clients, or much money, or just feel defenseless and powerless in front of this trouble.
It is your first abyss. If you take yourself together, step over your possibilities, find strength to stay active and daring, you will climb up and go ahead. Otherwise… you will join those 50% who give up within first 5 years.
The good news is that if you climb to the top, you will be among those 50% who stay afloat within 10 years. The bad news is that then the second abyss comes. It can be related to the necessity of making the spontaneous processes systemic, or to finding out that the business needs either scaling or closing, or to feeling it boring to play this role and seeking for a new one.
However, forewarned is forearmed. So, if you feel that something goes wrong, it doesn’t mean that it is the end. It is only a regular abyss to get out.
For more business-related articles and information from us here at Bit Rebels, click here!