7 Things You Have to Consider Before Launching a Startup Company
While we are all very aware that there is a long way to go from getting a good idea to creating a great startup company, the fact is, not many people know how to go around doing it. And, while we cannot teach you how to get rich, we can point out some of the essential things for the transition between ideas and a successful company.
Here are seven the most important things to ask yourself before starting out.
Are you prepared to start a company?
Do not rush with this one. Making your own startup company is a huge lifestyle change that not many people can stomach. It is a lot of hard work, has a steep learning curve, and takes a lot of determination. If you are used to being an employee in a company that does 8 hours a day, this is going to be a drastic change that you might not be ready for.
Are there actual customers for your idea with money to spend on your company?
The fact that you love the idea you came up with does not mean that the others will see it the same way. It is quite necessary for you to believe so, but you should get a product that convinces the customers that they need it rather than just like it. And you should always think about who you are marketing the product to. The people who would benefit from your product the most might not be able to afford it. Try talking to some of the experts in the domain to see what the challenges might be.
Market opportunity – Is it large, and is it growing?
Try to avoid relying on your judgment when it comes to this and remain as objective as you possibly can. Find an unbiased source that analyzed the data for you and see if the market reports support your business idea. Remember that just because there is a large market for it, it does not necessarily mean that it will grow fast enough for your startup to survive.
Check for competition
Before going on any further than the basic idea, use any of the online search tools to see if it is already a crowded sector. If Google offers hundreds of results near you when you search for a product or a service that you want to start, selling it might just be an unprofitable idea.
Does your idea come with some unexpected complications or costs?
A lot of products fail before they even start selling due to various dependencies or complications that can cost a lot of money. A great example would be creating a brand new type of vehicle. While you might sell a few units locally, the lack of repair shops and services around the world would simply complicate it far too much. Also, consider if your project might need some approvals and try to get them before spending big money on your startup. You should do your research and get to know all the possible costs, marketing necessities and cultural issues that might affect your product’s success.
Can you properly defend your intellectual property? Do you even hold that property?
This is something that should not take up too much of your time or effort. However, it is incredibly important. Check the patent office to see if the idea you currently have has already been patented by someone else. You might be surprised when you find out how many wild ideas already hold patents around the world. It could even be a good idea to pay a patent lawyer to do it for you.
Can you get enough people to create a qualified team that is going to be as motivated as you are?
You really do need a team. Although you could try and do it all by yourself, that would be incredibly difficult depending on the idea you have. You should keep in mind that most startups fail, and when we say most, we mean 9 out of 10. If you want yours to avoid that statistic, you need a well-motivated team, and every member needs to carry their own weight. Do you have someone to handle sales, development, marketing, etc.?
And remember, just because someone is your friend doesn’t mean that they are competent enough to hold an important position in your company.
More in Business Lounge
If You Believe in Yourself, You Can Be As Successful As These People
Every one of us experiences ups and downs in his/her life. From not getting the desired job or position, to getting...May 28, 2017
Anger Management 101: Tips On How To Control It
As human beings, we often deal with emotions. Emotions such as happiness and love make us feel like we are flying...May 28, 2017
How To Look Smart on Meetings
Do you have a business meeting coming soon on your schedule? Then you should read those pieces of advice given by Sarah...May 28, 2017
What the World’s Most Beautiful Women Would Tell You
Who doesn’t want to look beautiful and feel good at the same time? Well, taking it from the most alluring women...May 28, 2017
The Most Expensive Gifts Ever
When you have loads of money, it seems pretty pointless saving it. And there’s no better way of spending it than...May 28, 2017
Tribute to Obama: Things You’ll Surely Miss about This POTUS in 2017
Barack Hussein Obama was moved to tears when he had his meaningful farewell speech on January 10, 2017 – especially during...May 28, 2017
Signs That Your Body May Be Dehydrated
Up to 70% of human body is made up of water. Without proper hydration, the blood would be unable to transport all the...May 28, 2017
How The Joker Played With the Mind of His Actors
If you’re a fan of the Batman series, your favorite villain is probably the clown everyone loves to hate and hates...May 28, 2017
Some Great Summer Beauty Remedies
The winter has gone past and brought upon us a better weather in the form of summer. People who were never stepping...May 28, 2017