Starting a business can be an exciting adventure yet a daunting task. New entrepreneurs experience a variety of concerns: intellectual property, marketing, financing, product development, legal issues, human resources — the list is a long one. As a result, many new entrepreneurs or startup business owners are easily overwhelmed by all the things they must know.
There is no cookie-cutter solution that guarantees the success of entrepreneurs. However, there is wisdom from other people in the business. To know how to seamlessly start your own business, you must heed the advice new entrepreneurs get from other entrepreneurs.
Start your journey equipped with knowledge.
Here are the best lessons new entrepreneurs should know, as often cited by successful people in the business.
Success Starts with a Great Business Name
The name of your business can either make or break your journey to success. If you pick a great name, you’ll be on the right foot with your marketing. However, if you pick the wrong name, you might deal with plenty of business and legal hurdles.
When naming your business, consider the following tips:
- Avoid names that are difficult to spell.
- Search the internet for business that could have the same name as the one you’ve chosen.
- Avoid picking a name that could limit your business as it grows.
- Conduct a trademark search.
- Come up with more than one name. A selection of five names is enough to test the market with.
- Make sure your team will be happy saying the name.
Business Financing is a Long and Difficult Ride
Most business entrepreneurs have a dream of attracting a couple of investors eager to pour in funds for their business. Although that is THE dream, getting to it can be a time-consuming and difficult process. After all, it takes a great deal to convince venture capitalists or angel investors to invest in your business. The sooner you accept that raising finances is difficult, the better it is for your emotional and mental wellbeing.
Avoid spending your time trying to require prospective venture capital or angel investors to sign a Non-Disclosure Agreement (NDA) so they won’t steal your business idea. It’ll just slow down the raising of your funds. At the same time, many investors aren’t big fans of NDA. Meeting with an investor is already difficult enough.
Strengthen Your Sales Pitches
You must become a strong salesperson to succeed. Remember: you’re not just selling your business to customers; you’re also pitching it to potential investors and employees.
Practice is key. Always refine your pitch. Practice it in front of loved ones or trusted friends and ask for feedback. If you are an introvert, this is the time to be extroverted. You must show confidence and positivity when presenting. On top of that, you must show people that you are trustworthy and that you know how to listen.
In line with strengthening your sales pitches, it’s important that you perfect your elevator pitch. This pitch is intended to be a compelling yet concise introduction to your business. You can change your elevator pitch depending on who you’re pitching to (partners, customers or employees).
Here are a few tips to consider when coming up with a great sales pitch:
- Be enthusiastic and positive.
- Start out strong.
- Avoid using industry jargon.
- Keep the pitch to 60 seconds in length.
- Pitch the problem you want to solve.
- Convey the unique aspects of your business.
- Invite audience participation.
Focus on a Great Launch — But Launch on Time
You need good products and services to attract more clients. They have to be unique in an important and meaningful way to set you apart from your competitors. After that, all else will follow. So it’s natural to take time with developing your products and services. However, avoid spending too much time on perfecting your offerings that you’re always delaying your product or service launches.
Getting your products and services out to the market is one of the best ways to get customer feedback, which is important in improving your offerings.
Understand Budgets and Financial Statements
Staying on top of your finances and expenses is another great way to secure your business’s financial success. Many business startups have failed because they didn’t understand their statements, couldn’t budget well or failed to adjust spending to avoid running out of money.
Establishing a monthly budget keeps you on track with your finances. At the same time, understanding your financial statements can help you answer concerns from investors.
Starting a business is no walk in the park. But the long journey can be a successful one, as long as you are equipped with knowledge. Keep these nuggets of wisdom in mind as you continue building your business.
