Key Strategies for Entrepreneurs Starting a Business
with Hollis Carter
with guest Hollis Carter #MakingBank S4E13
Starting a business is a challenging task. There will be a lot of how’s and why’s as a new entrepreneur such as how to get started, where to get your financing, or how to market your products. A lot of young entrepreneurs are easily overwhelmed by all these things.
It is important though to stay focus on your goals for the company you’re building. The following are key strategies that you can follow when starting a business.
For business startups, personal connection often comes first before the sales occur. Connecting with people who can support your business or buy your product is critical to winning sales. By building connections, you can lay the foundation for trust and establish your business values.
There are two ways you can make connections. First, you can build personal connections. These are the people you can connect with based on common affinity such as your family and relatives. Second, you can build a connection based on business value or the strength of business impact. These may include your buyers, manufacturers, suppliers, or your potential investors.
Research for your Business
Don’t go on blindfold when starting a business. You need to start gathering information and research like a pro. Information like the state of the market and understanding what you need to do to succeed is critical in successfully launching your own startup.
Start figuring out what your customers want and learn about some cultural factors that may influence your buyer’s behavior. Learn from other businesses and find out what’s working and what aren’t working.
Ask the Right Questions
Joining conferences and business gatherings is the best opportunity to ask a lot of questions for your research. You can meet new people, sit with them and talk about business. Every entrepreneur has struggles in their journey. Your aim is to know what these struggles are and how they overcome them.
You may need to ask prying questions without making it obvious and learn some techniques, trending issues in business, and how they have faced these challenges. Asking questions is one way to educate yourself and to personally know how other people struggled and came back up. Then you can use this information to help move forward with your business.
Hangout with the Right People
Who says you can’t party when you’re busy starting your business? Actually, you can take advantage of socialization to hang out with the right people. From now on, you need to decide which side you’re in or which group you belong.
Quite often we become like the people we’re around. So if you hang out with people who don’t care about their job or business, then you’ll most likely be drag with them. But if you hang out with people who are self-motivated, perseverant, and goal diggers you will most likely succeed.
Analyze your crew and filter out the negativity. Your business partners, employees, friends, and families will seek you out to share incompatible ideas with you. Instead of allowing them to drain your energy, you need to capitalize on ideas that will help you move forward. Follow people who can help influence your business. These influencers in your business life will be important for your overall growth.
Manage your Financing
Raising financing for your startup can be a challenge. It’s like a bump in the road that you can never ever avoid. Unfortunately, you can’t convince enough investors to finance your startup. There are a lot of things that you’ll have to prove first if you’re thinking of convincing investors or venture capitalists to invest in your company such your business plan, marketing plans, and projections.
Eventually, you will be forced to use your own pocket to finance your business. When this happens, remember this one golden rule – don’t bite more than you can chew. You must keep on top of your expenses and learn how to thoroughly understand financial statements and budgeting.
A lot of startups have failed for overspending or taking a loan they couldn’t afford to pay. One key is to manage your expenditures is to establish a detailed budget plan. Don’t take out a big loan if you know you can’t pay it back on time. More importantly, don’t rush on expanding if you haven’t even started yet. Start small and work on it to become successful so for your next products, you will have the investors’ eyes.
Respond to Changes
Change is inevitable whatever kind of business you’re into. As a startup you must learn to accept changes and adapt business plans accordingly. Lack of adaptability can result in loss of potential investors and customers. So if you need to change your marketing strategy to the last minute so you don’t get left behind then do it. Be more versatile and flexible.
Hire the Right People
If you want a successful business, you need the right people on board. Hiring the right employees to join your company is quite a daunting task but having the wrong people is expensive. When you have the right people on your team, it is easier for you to grow. It improves your productivity and contributes to the overall impact of your total work environment.
Plan your recruitment strategy. Make sure your job description clearly describes the work needed for your company and that applicants are able to understand them. Use a checklist of qualities, skills, and experience necessary to join the team.
Market your Product
Just like building connections, you can start marketing your product before they’re out. You need to make a buzz about them and inform people why they must be excited for the launching. By the time your product is out, you already have thousands of people waiting for them.
How do you effectively market your product? Nowadays, there are many ways to communicate to people about a product you’re about to launch. You can start with social media promotions. Try to see what your competitors are doing and counter whatever strategies they’re up to.