Starting a business can be an adrenaline rush! The possibilities are endless, the sky’s the limit, and the only thing in your way is you (well, maybe capital too, but why kill the fantasy?). As enticing and exhilarating as that sounds, some tend to forget that starting a business requires careful planning and a solid foundation of knowledge. This quick hit list of questions will help you take a step back and consider the good, the bad, and the ugly – i.e., the reality you will need to be willing to embrace on your entrepreneurial journey to ensure you’re well-prepared before taking the plunge.
Assessing Your Knowledge and Expertise
Question #1: What is your zone of genius? Translation: In what field do you have competitive knowledge, skill, and overall expertise?
You may love to cook, draw, sing, and even tinker, but can you do it to the level of staying ahead of the competition? What credentials do you have to prove your commitment to your craft? To what level have you pushed your skills? These are critical questions because your price point is equivalent to your “know-how.” If you have been sketching, designing, writing for years and have the samples to show – fantastic. Those skills can be demonstrated quickly and easily. However, if you are providing services like bookkeeping, accounting, editing, or coaching, they may be more challenging to demonstrate, and you might not have testimonials as backup. It’s extremely important to enter a business arena where you have a firm grasp and a deep understanding of your niche. For example, if you are an expert in accounting, starting an accounting business would make a lot more sense than starting a social media company just because you heard it was in high demand and have posted on Facebook a couple of times.
Passion vs. Practicality
While practicality provides a solid foundation, it is also essential that you are doing something you love! Running a business will have its ups and downs, ebbs and flows. There will be times when you feel overwhelmed and ready to quit. While quitting may seem like the easiest option, it isn’t fair to those who have entrusted their business to you. You need to be ready to commit to your idea until you are the last man standing (or at least give it a year to give it every opportunity to be successful).
Combining the last two thoughts, if your background is in accounting but you absolutely loathe it, you may prefer to start in the social media field because it speaks to you. If so, it’s imperative that you educate yourself thoroughly in your desired niche; otherwise, consider pivoting to a complementary field where your expertise will shine and your passion will thrive. No matter what – do your homework first. Engage with experts, join relevant social media groups, and participate in industry roundtables to determine if your desired niche is right for you. This will also provide excellent ways to deepen your understanding and network with like-minded professionals.
Understanding Your Motivation
Question #2: What drives you to start this particular business?
Your ‘why’ will be what helps you when you are in the thick of it and you can’t see the light at the end of the tunnel. The late nights, the consistent doubts, the dread of another opportunity missed, the endless efforts with no returns. For some, this may only be the first couple of weeks; for others, it may be the first six months. Identifying the ‘why’ behind your business can significantly influence its direction and success. If you pit passion against doubt in a boxing ring, passion will win every time as it has more force behind it. For instance, if you are passionate about health and wellness but also love to cook, starting a business as a personal trainer with nutrition guidance and meal plans will fulfill both a personal and market need.
The ‘why’ doesn’t necessarily have to be the business itself but it should be positive encouragement, not driven by a grudge, vendetta, or some way of proving someone wrong about you. Starting a business for the wrong reasons will position it to fail once the negativity driving it subsides.
Evaluating Attraction to the Business
Question #3: What aspects of this business excite you the most?
We have your ‘why’ which either aligns with or fuels your passion, but what else excites you about the business? Interest aside, the tasks that need to be executed to keep a business afloat may become monotonous and mundane. You may love illustrating but would you also love being critiqued, having someone else influence what you draw, meeting deadlines, receiving unrealistic demands, relinquishing the rights to your creation, conducting meetings, and managing the administrative and day-to-day of your business?
Your passion for the business has to extend beyond the honeymoon phase to the actual operations and long-term commitment required to make it successful.
Setting Realistic Expectations
Question #4: What are your financial and personal expectations for the business?
S.M.A.R.T Analysis – learn it, live it, love it. It’s critical to set achievable goals. While some businesses experience rapid growth, most require time to establish themselves and become profitable. Maintaining realistic expectations about revenue and growth will help you in the long run as it will keep things in perspective, limiting rash decisions that may cause financial strain or mental health detriment due to perceiving yourself as a failure.
For those of you who are not familiar with a S.M.A.R.T Analysis – it stands for:
S – Specific: Clear, well-defined objectives that are precise and not open to misinterpretation.
M – Measurable: Goals that allow you to track progress and measure outcomes effectively and precisely.
A – Achievable: Objectives that are realistic and attainable, ensuring that goals are within reach.
R – Relevant: Goals that are pertinent to your overall business strategy and truly matter. T – Time-bound: Setting a timeline for objectives to encourage focus and dedication.
Embracing the S.M.A.R.T Analysis isn’t just about setting goals, it’s about creating a pathway that is attainable, manageable, and encouraging.
Few Things to Remember
Work Hard and Stay Committed
It’s not uncommon for new businesses to stumble a few times before they find their footing. Remember, persistence is key, and a SMART Analysis along with a business plan will help keep your journey in perspective. Remember, even baby steps are a step forward.
Consistency and Persistence
Jumping from one business idea to another can be tempting, especially if you’re not seeing immediate results. Resist the urge and stay the course! Consistency is key and persistence is vital. Building your brand takes time, and algorithms are not on your side. They favor sustainability and consistency. Just like a garden, give it time to grow and resonate with your target audience. Trust in the process and shut out the noise from those who swear they were an overnight success. This is your story, not theirs – don’t fail trying to reproduce someone else’s optical illusion of success.
Leveraging Social Media for Engagement and Growth
Social media is a powerful tool for reaching and engaging with potential customers. It may be exhausting at times, and again, the algorithm is never on the side of newer businesses, but it is a necessary evil and the best way to reach new faces and places. Before launching, set up your social media presence and, if possible, keep the profile name consistent across all platforms. Use the market research you conducted to be where your people are. You may not need to be on TikTok if your ideal market favors Instagram. Remember to tailor your content and ads to attract and retain your target audience. They do want to know about you, but they really want to know that you understand their pain points and can help them find a resolution. Focus less on selling and more on educating. Engaging with customers on platforms like Facebook and Instagram can provide critical feedback and help build a loyal community around your brand.
Starting a business goes beyond a light bulb moment. It is an uphill battle that will test your commitment, resilience, patience, and skills. It requires thorough preparation, a deep understanding of your ideal market, and dedication, even when it feels like you are giving it all you’ve got but just aren’t going anywhere. By considering these critical points, you are in a better headspace to move forward with your business journey or revisit it when you can give it the devotion it needs. Remember – if you ever find yourself in need of guidance or have questions, don’t hesitate to seek advice from more experienced entrepreneurs or business mentors. There are plenty of free resources available – whether it is a Facebook Group, a chamber of commerce in your city, or a business association. Here’s to turning your business dream into a thriving reality!
This is a contributed blog post by LaKenya Kopf, the founder of Kopf Consulting. Kopf Consulting provides technical support for those frustrating programs that help your customers through the Customer Value Journey. From websites that house your blogs, to squeeze pages for opt-ins, to client relationship management systems that manage your pipeline, to email marketing systems that deliver your message, they’re here for you.
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