10 ways to start your business

Running a business can have a powerful impact on your life and the lives of those around you, but before you can manage it, you must start it.

If you've never owned a business before, the thought of starting your own can seem scary. Fortunately, many other entrepreneurs have already done so, so you can take advantage of the wisdom they gained from their successes and failures.

These 13 time-tested steps will help you start a business, be it the first or the tenth, with advice on all related aspects, from finding and validating your idea to make money, to discovering your shipping strategy, to finally launch your product or service.

No matter how ambitious your business goals are, you can still start a business in your spare time, and tailor it to your current life commitments. Not everyone has the ability to give up their full-time job to dedicate themselves to developing something of their own, but that doesn't mean you can't start.

For example, it is possible to create a handmade products business in parallel to a full-time job, or start a blog that later turns into a business. If you're looking for more inspiration, here are seven more ways to start a business without giving up your 9-5 job.

Finding a business idea is something you can systematically tackle by relying on time-tested approaches that have worked for other entrepreneurs. Here are 12 ways to identify a product that you can sell , including strategies like:

• Exploit your personal interests. What do you like to do in your free time? Are there products you can sell that relate to your hobbies, or that resolve a common frustration you have?
• Research existing products. Examine product reviews for common complaints about popular products, and see if you can identify gaps in the market.
• Capitalize on trends early. If you notice that a particular product seems to be popping up everywhere, or if you have a great idea to help you get the most out of a popular product, you could generate great business ideas.

Remember, all you need is an idea to get started. Many successful businesses launched with an exclusive product and expanded into complementary products from there.

This may sound difficult, but it's really just a matter of testing whether customers are willing to pay for your product before you spend too much time and money on it. No matter what type of business you are starting, it is important that you validate your idea.

There are many ways to do it, some are simple and others a little more complex. Here are some tactical examples that can help you figure out how to measure market demand before going too deep.

• Set up a store to take orders in advance.
• Launch a crowdfunding campaign .
• Create a beta version of your product or service to sell.

There are other ways to validate your product ideas, but if in doubt, start selling as quickly as possible. Learning from direct customer feedback and understanding how they are using your products is invaluable when developing a small business.

Take a look at the PopSockets case, a now ubiquitous way to confidently hold a smartphone in one hand. Initially, David Barnett designed PopSockets as a way to prevent headphone cables from becoming tangled. It wasn't until he saw the students in his class using their PopSockets to better control their phones that he realized the unplanned value his customers saw in the product. That information helped PopSockets sell more than 35 million units.

Work to find a name for your business that makes what you do clear, short and memorable, and not in use in your industry. It is not an easy task, but it can be accomplished with a little effort and imagination.

Name generators can help you find a list of unique ideas, and there are also many proven best practices for choosing your business name that can help you build your own list.

Generally, a good name has some characteristics:

• Short and simple. Customers should be able to quickly remember your name, and the best way to do this is to avoid long names. One or two words are ideal, although three or four short words can also work if they create a memorable phrase.
• If your market research shows that everyone in your industry seems to have similar names or are based on similar elements, you should avoid them to get a name that really stands out.
• In addition to avoiding similar names, you must ensure that no competitor is using the name you want for your business. To do so, do a free search for trademarks in the countries where you will do business, and be sure to check Google and social media sites as well. (The same goes for URLs, so do a domain name search as well before registering anything.) Even if someone has not registered a trademark, in many jurisdictions they could legally contest that you use a name that they have been using to do business in the same industry. If you have questions, consult an independent legal advisor to obtain specific advice for your situation.

Writing a business plan helps validate and formalize your idea, and can streamline the business creation process by inviting you to sit down and think things through.

A classic quote that applies especially to the business plan development process is: "Plans are worth nothing, but planning is everything." Many entrepreneurs say they rarely look at their plan once they've opened their businesses, but they will also tell you that there is value in thinking and researching your idea as you develop the plan.

If you have never done it before, we leave you a complete guide to write a business plan and a business plan template (in English) that will help you structure your thoughts.

When creating your plan, be sure to pay special attention to the Competitive Analysis and SWOT Analysis sections . While nothing can replace validating your idea by confirming that people will pay for it, the research required to complete these sections may be further proof that you are on the right track.

The shared goal of any business is to earn money, so fully understanding cash flow is an integral part of running a business. In this sense, you must understand some basic concepts to start and scale that knowledge as you grow.

There are many businesses that you can start with only a small initial investment , but others will require money for inventory, equipment or physical space. Therefore, it is essential to have a clear vision of your total investment, before spending a penny, as it will help you make important projections, such as when you will reach break-even point .

It is essential to have a clear vision of your total investment, before spending a penny

If those calculations show that you need more funds than you can spend out of pocket, you may want to consider financing options like a small business loan or crowdfunding campaign.

The accounting should be one of your main financial tasks as soon as you're ready to start shopping for your business. Keeping accurate records of your income and expenses will help you control cash flow and smoothly transition to work with an accountant or accountant later.

To make the process even easier, consider opening a bank account and having a specific credit card for your business, since keeping your personal and commercial finances separate makes it easier to prepare your business taxes and can also help automate some of the steps.

You have done the preliminary work and understand the finances, now is the time to delve into the product or service that you would like to offer.

For a product-oriented business, developing your idea could mean taking one of these three general approaches:

• Create your own product. Whether you're creating craft items or looking for an original product from a manufacturer, developing your own product to sell can help you stand out in the market.
• Customize an existing product. With print-on-demand options , you can add your unique designs and ideas to products that include t-shirts, leggings, towels, backpacks, and more.
• Cure a selection of products. The dropshipping is a way to fill your store without creating a new product, so you can start selling almost immediately without having to manage inventory.

As you develop your product, consider your total costs when calculating your prices. While the price of your product is not based solely on cost, and there are many factors that influence the pricing strategy , it is important to price your product profitably .

Your business structure influences the key parts of your business, from taxes to operations to personal responsibility. In this sense, choosing the right structure for your business will help balance the legal and financial protections you need, with the flexibility that different options offer. It is an important decision that you should consider carefully before launching your business.

Choosing the right structure for your business will help balance the legal and financial protections you need with the flexibility that different options offer.

Business structures vary by country and area, but two common types, which may have different names in your country, are proprietary and corporation. A sole proprietorship is great if you are the only person involved in the business, and it is generally the structure that requires the least effort, but you are still personally responsible for the business and its activities. You can even hire employees as the sole owner, but you will need an employer identification number to do so, which means registering your business.

On the other hand, if you opt for a more formal structure like a corporation it is easier to involve multiple owners in the business, and you will not be personally responsible for the business, but there is more paperwork and steps involved in starting and maintaining a partnership.

When it comes to choosing a business structure, there are a few factors to keep in mind.

• Where is your business located? The laws of your country describe the different business structures that you can form, and whether or not you need a business license to start.
• What type of business do you have? Some structures are more suitable for businesses of a certain scale or within particular industries. There may come a time when you need to restructure your business to work with new partners. It is not uncommon for large companies to ask that their suppliers or partners have formed companies, for example.
• How many people are involved? If you go alone as a solo founder you may be able to consider optimized options. If you have a business partner or multiple people with ownership in the company, you'll need to look for more advanced options to make sure everything is set up and shared correctly.

An accountant or attorney can be helpful in evaluating the different options available in your area and helping you through the process of establishing your business.

No one wants to have legal problems. Remember that your business is subject to the laws that govern the businesses in your area, as well as the laws and regulations specific to your industry. For example, a food service company needs to respect specific licenses and regulations to handle the products it sells, but it must also pay attention to the legality of its marketing efforts and to trademark and copyright laws, among others.

Invest time and money to obtain timely legal advice from an attorney, who can guide you according to the specificities of your business, such as industry and geographic location, before starting, so that you avoid future headaches.

One of the best ways to reduce the heavy lifting of running a business and prepare for future success is to choose software that helps you automate or streamline the things you need to do.

Often when you choose the right software systems, you can configure them once and get them working efficiently with little effort. Consider looking for software to help you manage the following tasks:

• Accounting Software: With multiple options to help you keep track of everything from a meal with your business partner to a large inventory order, accounting software is one of the best ways to start your business on the right foot.
• Email marketing:  A good email marketing tool will help you stay in touch with your current (and future) customers and make sure you can send the right messages to the right people at the right time.
• Marketing software: Paying for ads is usually an inherent cost of a business, especially for the online business, but there is marketing software that can help streamline the process and make the most of your advertising budget, no matter how much you have to spend.
• Projects management. Even if you are the sole owner, having a place to plan your work and track important tasks can help you stick to your work schedule. Tools like Trello and Asana can be of great help.
• Website or online store. Choose a platform that allows you to easily manage all the critical tasks involved in running your business. Find a theme according to your product lines, and that allows you to easily take and manage orders. To give you an idea of ​​what to do, here is a complete store launch verification list .

Your business plan will help guide what kind of space you need for your business. If you sell printed T-shirts on demand, you may just need to find a place in your home to create a small workspace, desk, and laptop. On the other hand, if your business requires a physical commercial space, you must find a place to rent.

To help reduce what you need from your business location, consider asking yourself these questions:

• How much space will I need for inventory? If you agree to receive thousands of items at once, you may not be able to accommodate them in your living room.
• Will I offer  retail sales in person ? Although selling at home may be an option for your first orders, if selling in person is an important channel, you will need a comfortable and easily accessible space for customers to visit.
• How to pack and send  orders from my location? Depending on the size of your shipping operations, you may need more space than you have available in a home office.

It is possible that you can manage your business from a space that you already have available, especially if you do not plan to sell in person. If that's the case, here are some home office design ideas to help you create an effective workspace while your business takes off.