4 Tips For Turning Your Business Idea Into A Reality

Published On February 12, 2018 | By William Thomas | Business

If you asked the person next to you right now if they’ve ever had a business idea, they’d most likely say “yes.” Although a dream for many of us, becoming an entrepreneur seems somewhat unobtainable, reserved for those who already have money. However, by taking the right steps in planning and execution, this isn’t as unreachable as you might think. That’s why I’ve outlined a few helpful tips to get started. Check them out below:

Create A Business Plan

Although it may sound like one of the simplest steps to starting a business, writing down your plan can make a tremendous difference. Not only has this gone from just an idea in your head to something that can be acted upon, but it additionally allows you to start collecting feedback from others. This is a crucial step for success because as noted in a study by Harvard Business Review, 16 percent of businesses that wrote down their plan were more likely to achieve viability. And if you’re looking to get your business idea off the ground, then it’s time to start writing.

One of the easiest things to begin with is a business plan rubric. You can find these all around the web, but the basic points it outlines are what your company does, why it exists, and who it serves. Additionally, it’s important that your summary or elevator pitch is brief, as it’s something you should be able to relay to others with ease. All-in-all, the goal of your plan should be to have a piece in place that helps with refinement, as well as getting better at pitching. Use this to your advantage, as it’ll be your compass to success.

Learn Where You Fit In The Market

As you’re refining your business plan and putting things in motion,  a huge hurdle for any company to understand is where they fit in the market. According to Entrepreneur, approximately 42 percent of businesses fail due to a lack of market need; which while that might sound obvious, is much harder to overcome than you might think. Even if you feel in your gut that this idea will take off, you have to learn your market to show others that you know how you’ll be sustainable in it.

First, start out by looking at what type of competition is in your market. See what type of needs they serve, as well as how your business model differs. For example, let’s say that you want to start a coffee shop and know that no one else in the immediate area does egg sandwiches. While factors such as location, price point, and market size will make a difference, you’ve figured out the overall fit you can work from. Start thinking about your business idea from a market need standpoint, as it’ll be what allows you to start collecting revenue as soon as you’re open.

Find Strategic Partners

If there’s one thing almost every business needs, it’s those that are better than them at the certain tasks. As you can’t handle everything, finding those that are willing to not only help but at a rate that’s at a fraction of the cost you’d pay to hire a contractor. For example, as noted by Thumbtack, the average corporate lawyer cost approximately $300 per hour, but if you’re able to find someone out of law school, you’ll be in a much better position to bring them on retainer long-term. Try to brainstorm what your business might need in order to be successful, as this is one strategy a lot of founders use to cut costs.

Look Into Funding

Once all of your pieces are in place, the final step to making this dream a reality is looking at how you’re actually going to afford this. Despite common misconceptions, starting a business isn’t as expensive as most would imagine; in fact,  as noted by Quickbooks, 44 percent of businesses were started with less than $5,000. And no matter if you have that type of capital right now or not, it can be much more attainable than you might imagine.

Regarding how to get funding in your pocket, there are a few different routes you could go. One method is getting a loan, which while they’re awarded to entrepreneurs, can come with a lot of scrutinies. As businesses fail quite a bit, unless you’re loaning the money for liquid assets that can be sold to recoup the loan, this is generally looked at as a risky investment.

The second method is getting an investor or partner with capital. This should be someone interested, or who has experience the industry you’re looking to work in, as well as has the resources to help this thing take off. Your partners are critical for investment, which is why you should choose wisely. And finally,  if you’re able to raise the upstart costs, then that’s by far the best method, as you have the sole ownership of your business and it’s success.

What are you most excited about in starting your first business? Comment with your answers below!

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