A while back I attended a “dragons den” type day for senior college students to pitch their ideas to a bunch of business advisors and experienced businessmen and women. It was part of the Young Enterprise Scheme as was my chance to give a bit back to the community.
While some ideas were a bit “me too” in their nature, some were surprisingly sophisticated and had real legs. I used a start-up summary guide that I use when assessing new businesses as a basis for my questioning, so I have included it below.
If you are thinking of moving from working for someone else and starting your own business, I suggest you use this outline to plan your new venture. You might just avoid the pitfalls that many new business owners fall into. When you are ready to take the plunge, you might want to sign up for my Trades Coach Academy, online course for newer business owners. It’s packed with ideas, systems, tools and templates to help make your new business a success. Check it out at: http://tradescoachacademy.co.nz
The FIVE CRUCIAL AREAS to concentrate on –
- Know your customers
- Know your numbers (breakeven, gross profit, overheads)
- Know WHY your customers buy what you want to sell – the benefits they are seeking
- Know your competitors
- Know your business – and become an expert. There will be some CRITICAL SUCCESS factors that must be identified and communicated to ensure a project’s success. What are they?
The THREE DEADLY BUSINESS SINS –
- Failure to research and plan
- Undercapitalization
- Poor management
The ONE STRATEGY that will minimize your risk –
Plan your business. Set your path after you’ve done the research
The “P3” formula that focuses you on the things that will make a difference –
People – that is, customers and staff
Place – that is, your business’s location, or segment in the market
Positioning – that is, differentiating yourself from your competitors so that you gain a competitive edge. Your “USP”.
How to SET THINGS UP so that you stay on top –
Establish bookkeeping, record-keeping and reporting systems that give you the timely information it takes to run your business