12 Things You Need To Know Before You Start A Business
Starting a business is right up there with the most important events that will happen in your life. It represents the moment when you stop depending on a paycheck or wages to survive but have made a conscious decision to take responsibility for everything that happens in your life, including the income.
Starting a business is not something to be taken lightly and it requires a lot of skill, knowledge and expertise to get it up and running. The best businesses are ones that don’t depend on the owner and if you can create something that you are able to sell, you will have played a winning game. In today’s world, the internet has become the main driver of business for all types of establishment including retail, food, travel and services. This has led to huge opportunities to service the needs of companies online with Websites, marketing and E-commerce.
There is more opportunity than ever in the world today and if want to take a slice of the pie, have a look at our Top 10 Tips To Consider Before Starting Your Own Business.
1. Have A Clear Plan And Goals Set Out For What You Want To Achieve
Vision boards and 5 year plans are a great idea for your business and personal life.
Decide what you actually want to get out of the business in a best case yet possible situation. Don’t sell yourself short and pick a target from a scarcity mindset, go BIG!
Grant Cardone’s the 10X rule covers this excellently when he says to aim for 10X your target. Even if you fall short of the higher target, you will still probably exceed your original target.
Don’t just set long term goals either, Set 1 month, 3 month and 6 month goals and don’t lower the target, work hard to increase your performance if you are falling short.
What gets measured, gets improved.
2. Online Is Key In The Modern Age
Everything is online nowadays and with the recent Corona Virus lockdowns we have seen that the Online business model provides a lot of advantages and security over traditional businesses.
- Less Overheads
- Doesn’t Cost Anything To Start
- No Long Term Fixed Expenses
- You Can Learn All The Skills Needed Online
- Easier To Scale Without Risk And Full Time Staff
These are some of the reasons why we suggest to people to start online businesses and Why our site is geared towards the online side of business.
Some Of The Best Options Are:
- Digital Marketing Agency Or Lone Wolf
- Web Design
- Authority Sites Or Blogging With Youtube & Affiliate Marketing
- Print On Demand
Even if you don’t start an online business, your website and marketing are going to be crucial to your success.
Even for a restaurant or a gym, you need to be on Google Maps or people wont know you exist and you need to have positive reviews.
Being top of Organic and running Paid Ads can also generate valuable sales and customers for your business so never under estimate the importance of your online presence in business.
If you sell physical products, you need to start thinking about selling online through Google Shopping, Facebook, Paid Ads and SEO.
Good SEO with E-Commerce can bring in a never ending flow of potential customers and it is your websites job to convert them.
Another great thing about Online businesses is that you can build them up in your spare time while still getting your steady paycheck from employment.
3. Learn As Much As You Can Before You Start
My first business was a Digital Marketing agency that I grew from the ground up to over 6 figures per year within the first 3 years and it thought me almost everything I know about business today.
“Knowledge APPLIED Is Power.”
I decided to quit a comfortable job with Microsoft to start my business but I didn’t just quit and hope for the best.
I spent 6 months learning as much as I could about Digital Marketing by doing Tutorials on Youtube, Attending classes and practicing myself in my free time.
I also saved up $10,000 to invest in the business and that thought me that money wouldn’t solve my problem of growing a business on it’s own.
I became a knowledge junky, tearing through business books like confetti to learn from the people who had come before and to not make the same mistakes that they had made throughout their business careers.
Reading Biographies and business books is one of the most important things you can do as a business owner and we suggest you check out these books that help me on my way to success.
4. Avoid Long Term Leases, Fixed Expenditure And Debt When Starting Out.
“Only An Idiot Would Start A Business on A Loan.” – Mark Cuban
Some people have the incorrect knowledge that taking a 5 year lease on a building is going to be the first step in their business and this could not be further from the truth.
You need to ensure that your idea is at the very least capable of making money before you commit to any long term expenses.
- If you want to be a personal trainer, find a gym to learn your trade first.
- If you want to sell clothes, do it online first to generate some sales.
- If you want to start a food business, go to local markets and see how your food is received first.
- If you want to start a digital marketing agency, start from your home.
When you lease buildings and start with big loans, you are not only risking your time anymore but you have a lot of skin in the game.
You may quickly realize the business is not going to work and then you are in trouble.
Test your concept before you commit to anything long term.
5. You Need To Learn How To Sell – Even Online
“The Only Way A Business Can Fail Is By Not Selling Enough Products At A High Enough Profit Margin.”
I started my Digital Marketing Agency and thought I would spending my days making websites, running Ads and doing SEO all day but there was a significant problem. WE DIDN’T HAVE ANY CUSTOMERS!
That is when I knew I needed to learn how to sell. I had watched a Youtube video where I guy called around to various business with flyers and asked if he could create a website for them so that is what I did and just before I gave, I got my first paying customer – Persistence is key!
I then discovered Grant Cardone who was all about selling on the phone which was a little tougher but even more effective once you stick with it.
I spent full days on the phone perfecting my script but it was tough work!
Even if it is not cold calling, everything in life is a sale from talking to your suppliers to talking to your customers to every other interaction in your business, there are always advantages to be had.
I advise you to check out books like Sell Or Be Sold, The 10X rule or The Way of The Wolf to understand the importance of selling.
6. Experience Is Worth More Than Money
“People will gladly exchange money for the knowledge gained through experience.”
You can do all the courses and preparation in the world for starting your own business but nothing compared to the real thing.
You will have a certain conception of what things are going to be like and then the reality is going to be a lot different.
Getting a business up and running for the first time was a really tough experience for me but it is somewhat like riding a bike in that once you do it once, the experience and knowledge stays with you and it will be much easier the second time around.
“Every successful person has jumped at least once in their lives.”
You become some of like a business connoisseur once you run your own business, constantly critiquing how other business are running and making mental notes of ways you would improve them.
Having run one successful business, you can quickly learn what the attractive business models are and what businesses you wouldn’t set up in a million years. That kind of experience is crucial in the business world.
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7. Work For Free If You Can To Get Started
Find Someone Who Needs Your Service And Offer It To Them For Free.
Preparation for your business is key and there is nothing more rewarding than getting to try out your skills with a friend or someone you know for free before you go full time or part time.
When I wanted to become a PT I trained my friend for free and when I wanted to do digital marketing, I built a website for a friend who needed it for free.
It is the exact same feeling as getting your first real customer. You have to reach out to ask them if they want the service and then you have to deliver to the best of your abilities.
This can then generate referrals for you to start making real money and it gives you a portfolio, confidence and some much needed experience in the field.
Take photos or screenshots and put them on your website to show off what you can do.
8. Running A Business Is Harder Than Being An Employee
“I Gave Up My 9-5 And Ended Up With A 95”
When starting out in business, I incorrectly thought that it would be easier than being an employee and I would have plenty of time for my hobbies, friends and social activities which couldn’t be further from the truth.
Getting a business up and running is going to require all of your attention and energy to get it off the ground.
All the responsibility falls on you and you need to get the business up to $100 per day as quickly as you can to have a decent salary.
There is no security with being an Entrepreneur and the pay off is less in the short term.
Once you keep going and become successful, the pay off down the road can be much much higher.
9. Hard Work, Consistency And Persistence Are The Key Traits For Success
“The Difference Between Successful And Not Successful People Is In Their Daily Habits.”
What is going to separate you from the pack is how hard you work. There are plenty of people out there who are putting in 12-14 hour days, 365 days a year.
Those are the kinds of levels of massive commitment you need to make it to the top of any industry.
Entrepreneurship is like a rollercoaster, there will be plenty of ups and downs but it is your ability to not quit and stay consistent that will get you to success long after the others have given up.
“Judge an Entrepreneur Not By His Best 10 Days But By His Worst 10 Days Of The Year To See How Successful He Will Be.”
Business is a ruthless game and you have to be willing to make sacrifices and keep going when it gets tough.
10. Don’t Neglect Your Health & Personal Life
“If you are not looking after your health, you are doing your business a disservice.”
A lot of times, the only time I will take a break during the day is to eat and to go to the gym.
Exercise releases endorphins and reduces stress and it is also a great release that is good for our overall health.
I consider the gym a part of work and make sure to workout at least 5 times a week.
Same is true for important relationships that you have. If they are important you need to make time for them but if you have a girlfriend or boyfriend that doesn’t support your business, you may need to consider getting rid of them.
11. Build Something That You Can Sell – With Passive Income
When you start out, everything will be dependent on you, the owner but as you grow and expand, the more duties you need to outsource and you eventually need to create systems so that the business can run automatically without any need for you to be there physically.
It requires you to move from operations to sales to management, replacing yourself with employees and systems each time.
That will be the true determination of value added to the market and it will allow you to sell your business and achieve financial freedom.
The key stage to get to with your business is to be on holidays with no phone and the business keeps growing without you.
Or you can start businesses that are inherently passive in nature like Blogging with Affiliate and Youtube.
12. Enjoy Life In The Moment
Don’t wait to enjoy your life at some time in the future when you have a lot of money.
Learn to enjoy the journey, embrace the struggle and be content with where you are right now.
The thing is that Entrepreneurship and self development are lifelong journeys. When you get to where you dreamed of, there will be goals and tasks waiting for you that will take all of your time and effort again.
Remember to enjoy the moment as much as you can because it is all we have.
The internet has made business a lot more accessible to everybody and if you are interested in starting an online business, check out more information here.