If someone tells you that anyone can create their own business from scratch, don’t believe it. Not everyone and not everyone. People who are too lazy to do something will not be able to. People who believe that someone should do something for them, and they themselves will simply manage it, will not be able to. People who do not know how to set goals will not be able to. Another thing is that you can change yourself. And become the kind of person who can create his own business with nothing at all but a goal, aspiration, and an idea.
Well, we’ll get back to why some people can’t afford to start a business from scratch. Most of the problems come down to our way of thinking. Here’s an example for you. If you have the following thoughts, then most likely the business will not open in the near future (until you get rid of them):
- I have a cool idea, but I don’t want to start anything until I have a lot of money for a quick promotion.
- I urgently need to start a business in order to immediately earn a lot and quickly repay the debts that will appear when I borrow for a new business.
- I’m tired of the boss being stupid all the time. I’ll quit, open my own business and do what I want.
- Look, the neighbor could. I’m not worse, I’ll also open my own business.
Try to find a similar image in all these thoughts and understand why you should not try your hand at entrepreneurship based on this way of thinking.
And here you have almost the same thoughts, but a completely different vector. Try to feel the difference.
- I am excellent at providing this service, this product will definitely be taken, it is in demand. It’s time to start.
- Of course, there is not enough money, but I will not borrow until the risks of earning nothing are so high.
- When I leave my job, I will have no superiors, which means that I will be responsible for my own discipline. We need to start doing this now.
- The business will not pay off for a long time, so I need to organize sources of passive income or a financial reserve.
Feel the difference? Yes, it’s all about a rational approach and the acceptance that a business is no easier than being hired, and if it’s from scratch, it’s more often and more difficult. You have to work hard and hard. And also – to answer to yourself, not trying to find the guilty ones.
In general, there are many unkind myths about starting a business from scratch. Partly they are based on the fact that the entrepreneurial environment is really set up very aggressively toward newcomers. And without such qualities as diligence, willpower and a desire to develop, it is practically impossible to survive there. According to statistics, 8 out of 10 new businesses close within the first 18 months of existence. However, some myths are indeed myths. If you want to open your own business, but you do not have enough finances, you can quickly earn them, it is enough to play online casino.
Myths about starting your own business
Myth 1. You need money and connections to start a business
For a large number of undertakings, money is really needed. At least even for ordering the first batch of goods or advertising. But there are also options that allow you to start earning without investing money. Another thing is that you have to invest time or effort. What about connections? No, not at all.
Myth 2. Bandits will take my business away
Yes, scams are everywhere. But the nineties are long gone. Now the bandits act differently and from other levels.
Myth 3. Taxes will choke
Yes, the tax burden for entrepreneurs is a serious burden. But it is quite within the power of those who approach the use of legislation wisely to carry it. So, for example, you can choose simplified taxation regimes, and take online cash registers on favorable terms at bank rates.
Myth 4. Without entrepreneurial talent, it is impossible to start a business.
Yes, we often hear about the geniuses of the business world who founded entire empires. But much of what business people do is based on skills, abilities, and knowledge that are acquired, and are not innate properties.
There is nothing unusual or special about the fears that these myths give rise to, but it is important to step over them if you are really going to do business. And to make it easier to stay on the right track, here are a few rules for doing your business.
7 steps to starting your own business from scratch
Step 1. You need to choose a direction
In fact, this is far from being an easy question. It is very difficult for most people to make a choice when it is offered too much. And there are really a lot of directions in business. It is clear that you can immediately dismiss some as unsuitable, but even after that there will be many options to choose from.
Therefore, to facilitate the task, we advise you to make a list of ten areas that would be close to you in terms of interests or skills. And then analyze each one, filtering out the less suitable ones.
What is all this for? In order for you to succeed in the future. It’s no secret that if you do an uninteresting business, then the efficiency will be several times lower.
Step 2. Study the market on the chosen topic
And now, that you have decided on what you would like to do, it’s time to study the market in this direction. The first step is to get acquainted with competitors in this area. The more you learn about them, the deeper the picture of the market you will be able to see. In general, you can start by just visiting all the establishments, or getting acquainted with the prices, site traffic, and other things that will give you some information.
Your task will be to understand what is on the market a lot, what is missing, what can be offered, and what to count on.
Step 3. Create a USP (Unique Selling Proposition)
You can go the easy way and not offer anything new. Just take the most effective of what is and offer consumers, hoping to “leave” on simple diligence. It is possible, but, firstly, it is long and requires additional costs, because you will have to put a serious emphasis on advertising in order to stand out among the same. And secondly, existing market players will always have an advantage.
Therefore, you should think about what you can do better and more profitable for the consumer in order to attract attention right away.
Step 4. Write a business plan
An extremely important part of any business is that, with the proper competent approach, is able to prepare you with a convenient and transparent platform for successful growth.
The fact is that the business plan is not just a formality – it is your “dissertation” on the topic of “how can I achieve success in this business.” And it does not matter that it is only for you (if you are not looking for an investor). A detailed cheat sheet with detailed steps, expectations, forecasts, warnings, and backup plans will do the trick and give a noticeable boost to your business.
Step 5: Get Started
And again, here you can encounter an obstacle that can be called “the pursuit of the ideal.” The fact is that many people prefer to think out everything to infinity in their heads. By doing so, you will only harm yourself. You need to understand this:
You can think endlessly. Therefore, you need to paint everything on paper in a business plan.
It is possible and necessary to make adjustments to the business plan, but it is advisable to do this after certain specific actions. Divide everything into stages. Go through the first stage, and then sit down and analyze what has been done, what needs to be changed in the plans, and how the next stage will change.
Step 6. First profit. What to do with mountains of gold
Yes, of course, there will be no mountains, but inspiration from the first small successes is guaranteed. It is important to understand here that this is only the beginning of the beginning, and far from the result.
And it is strictly not recommended to spend the first money earned by your own business to satisfy your needs. And the thought “well, I deserved it” drive away. Now you need not to lose the fuse and make sure that the money received brings even more money. Always remember that until the business pays off, you do not receive profit.
Step 7. Analysis, adjustment, and expansion
After each stage, it is necessary to analyze the work done, the results, and their coincidence with the original plans. And on the basis of this, adjust further actions. If you do this constantly, you will be able to move in the right direction, accepting the experience of your own mistakes and new knowledge gained in practice.
And this applies to the whole business. After you achieve a result, or vice versa, after performing actions that should have led to a certain result, but for some reason did not, you need to do analysis and correction. Within the framework of the entire business, this will allow you to come to the correct scaling.
And you need to scale. Is always. In business, you can’t stand still, at least because you will simply be quickly moved from your familiar place by competitors. You constantly need to improve and offer something new, in demand, and interesting.