Growing your own business will be the hardest step in the beginning stages. Especially if all you have is a good idea with no money. That is usually the majority of young (in experience) entrepreneurs. It is said that the way to know that a business will be sustainable is if it lasts at least for 5 years. Within that 5 year range there is a good chance that the business will fail. I believe the reason why a lot of businesses don’t pass the 5 year mark is because of this first steps in the preliminary stages. Some experts believe that your business can fail simply because you chose a bad name. If that is the case I would assume that your business name is the most important step at the beginning stages.
Step 1: Business Name
Everyone should know that your name defines who are. Your name may not have a personal definition, but as you build a reputation whether good or bad it will become a part of you. For instance, if you have a reputation of being a perfectionist, over time people will begin to label you as a perfectionist. So whenever your name is mentioned amongst your peers people will automatically associate your name with a perfectionist, because of the reputation that you’ve built.
Same with your business. What do you want your business to represent. Maybe you are a fashion designer and you want your business to be a symbol of elegance. You can call your business “Elegant Apparel” Now that you’ve let people know that whatever products you launch, it will be associated with elegance.
However, you can’t be all talk and no walk. You have to fill those big shoes that you created for yourself.
Step 2: Business Plan
Yes, yes I know you know this already. Having a business plan is basic. But why are businesses failing so much? Think of a business like a house. The business plan is a part of the foundation. The strength of the foundation determines the stability of the home. If your foundation is weak, Hurricane Henry (Economy) will wipe out your house(business).
So the question is. Have you developed a solid business plan that will be able to endure economic downturns? Did you set up your business for longevity? I don’t think you want your business to last as long as the Snuggie Company. No you want your business to have a long life. So this is how you have to approach the beginning process of growing your business. Don’t come up with a business plan without effort. Know your goals and try your best to achieve them. Map out where you see your business in the next 5, 10, 20 years. Then plan accordingly. This is the most delicate stage and this stage determines whether you succeed or fail.
Stay tuned as we dive into this subject in later posts.
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