Did you know that in Australia 60% of small businesses fail within the first twelve months? For those looking to start a small business – or perhaps even work from home – this is a very discouraging statistic
Does this mean your idea for small business is doomed? Far away from here! There are steps you can take to significantly increase your chances of success.With a little time and serious research , you can get started right away. Let's start from the beginning...
Does this mean your idea for small business is doomed? Far away from here! There are steps you can take to significantly increase your chances of success.With a little time and serious research , you can get started right away. Let's start from the beginning...
Excellent idea
First, of course, you need to come up with an idea and business development
Typically, business opportunities can be divided into four groups that help in business development
Offering an existing product/service in an existing market.
Introducing an existing product/service to a new market.
. Offer a new product/service in an existing market
Introduction of a new product/service in a new market.
At this point in the game, there are no limits to your imagination. Inspiration can come from anywhere: maybe you have a hobby that you'd like to turn into a full-time job ; Maybe one day you come across an unpleasant service and decide to try to improve it yourself; or perhaps you have a talent you would like to utilize
Once you've found something you want to do, it's time to take a look at the market and see what's on offer.
So you have a great
Introducing an existing product/service to a new market.
. Offer a new product/service in an existing market
Introduction of a new product/service in a new market.
At this point in the game, there are no limits to your imagination. Inspiration can come from anywhere: maybe you have a hobby that you'd like to turn into a full-time job ; Maybe one day you come across an unpleasant service and decide to try to improve it yourself; or perhaps you have a talent you would like to utilize
Once you've found something you want to do, it's time to take a look at the market and see what's on offer.
Pass the exam
So you have a great
idea for small business and
want to put it into action; Now it's time to test it. For this exercise, let's assume that you are passionate about healthy living and want to sell a range of lifestyle accessories that promote healthy living through a do-it-yourself approach.
Ask: Is there a market for products that promote a healthy lifestyle? What types of products are available? Who would you compete with and what do your competitors offer Do you have the skills to run such a business and more importantly, what skills would they be? Where would your business be located
Ask: Is there a market for products that promote a healthy lifestyle? What types of products are available? Who would you compete with and what do your competitors offer Do you have the skills to run such a business and more importantly, what skills would they be? Where would your business be located
After answering these questions, you should have a pretty good idea for small business of what your business will look like
You buy some products and decide to research more about the lifestyle product line of a company called Vitality 4 Life. Your life experience and work as a nutritionist have equipped you with the necessary skills You think that you’ll be able to work from home, giving you more time for family. There is an existing market, but there’s room for expansion. Now it’s time to take a closer loo
To be or not to be
It's time to get to work. You don't want to rush into something and find out the hard way that the budget just doesn't work.
First, sit down and think about the need to hire staff, that is, pay a salary
If you rent an apartment, you need to be able to pay the rent and your location needs to be tailored to your business and your target audience (which also means you need to think carefully about what that means). ). is the reference market). You also need to calculate the expected demand for your product/service
OK... You have determined that there is enough demand for high-quality juicers, sprouts, water filters, and other accessories to utilize distribution as a home business opportunity. Now you need to make some marketing decisions
Look at me! Watch me!
Advertising can be expensive. Therefore, make sure you use your advertising budget wisely. That means more market research, this time individually. Profile customer groups so you can target your marketing efforts to the right groups of people.
Prepare a questionnaire (short questionnaire: people lose patience if you stay too long) and hang out outside some local gyms (in our particular example). Offer a mix of open-ended questions (what are you thinking about?)..?) and closed questions (Do you have a gym membership? Yes/No.); Mobile scales can also be useful.
For our health supplies business, a good question might be, “How did you hear about this gym?” Radio, television, newspapers, word of mouth... So this question will help you determine what types of media your target audience responds best to.
Choose a small businesses name, print business cards, buy stocks, and get ready to trade!
Measure it, manage it!
One of my professors pointed out that you can't manage anything in business if you can't measure it.
You have to be able to plan and to do this you have to know (or be able to accurately predict) your total sales. The equation is simple: number of customers x average sales x frequency of visits per customer per year = total sales. Remember, check it regularly, measure your business and you will be able to manage it!
Keep an eye on your results and, most importantly, always pay attention to your cash flow - the cash you have in the bank. When planning your budget, consider billing periods (14 days, 30 days, etc.).
The market has a life of its own and no one can prepare for every eventuality. Think about your idea a little; Make sure there is a market for what you are offering. Research, research, research; Promote your business effectively; Always know what's happening in your bank account and don't forget about cash flow!
It's not perfect, but if you follow these simple steps you'll be miles ahead of many new small businesses.If you've heard about a great home business opportunity or are looking to launch your own product or service, you're off to a great start!
