It takes a lot of courage to become your own boss, especially if you have a salaried job that you wish to quit. Often, running your own business requires constant motivation and innovation, and the time you take to establish a steady revenue stream can be a taxing one. Little wonder that so many people give up on their dreams after a few months or a couple of years of starting the business. But if you want to start your passion project and see it through to a successful journey, this article is for you.
Your own venture will challenge you and make you want to give up several times. But taking the right steps before you launch is important. Here are some pointers to take on board:
* Build your business idea on solid research: Every second person has the Next Big Idea that can change the world – and if you do, too, then you need to bolster it with a lot of market research to ensure it doesn’t flounder and fail. Take the help of experts to get the right perspective on your idea, and/or hire a market research team to know if the chosen market is ready for your products and services. Don’t forget to test the product idea on a focus group to get honest feedback. Though this exercise might cost some money and time, it can give you invaluable insights about the direction your business can take, or not. If nothing else, it can give you the confidence to launch the business, or overhaul your initial strategy to ensure success.
* Create a business plan to show investors: A lot of people put in their own savings and investment corpus to fund their business. This is useful, but you should also consider venture capital if you want to start on a good footing. Before you approach private individuals or banks for seed money, create a professional business plan that outlines company goals and deliverables per quarter for at least two years. A detailed business plan with a targeted strategy and researched market projections is more likely to receive approval for funding than simply an idea presented passionately. Do not hedge or exaggerate your numbers.
* Invest in what the business needs: You’ve decided on the launch date. Now work backwards to gather resources like office space, staff, storage space for orders, office supplies, stationery, etc. Naturally, this is a costly affair and will require a bit of planning and a handy revenue source that can pay for whatever you need for at least six months. You could consider borrowing a low interest personal loan from a trusted loan app or your bank. (Read more on getting the personal loan in the last section of this article)
* Make every quarter count: Your business will need a constant look, and it helps to set clear marketing and sales goals from the get go. Sit with your teams to chart out goals for every quarter and discuss strategies to meet those goals.
Can you get a personal loan for business?
Whether you are a first-time entrepreneur or a serial startup founder, you can get a personal loan for business provided you have a healthy credit score. Personal loans are relatively simpler to get – you might even have a pre-approved one waiting for you at your bank – and you don’t need to give the lender a reason for borrowing the money, nor furnish any collateral for it. A few reputed loan apps and several banks and NBFCs offer highly flexible personal loans for business with minimal paperwork. But do crunch the numbers with your accountant to assess your overall need and have a clear repayment plan in place before you apply. Though personal loans are easy to get, they also have amongst the highest interest rates amongst all loans today.
(Featured image courtesy https://articles.bplans.com/14-resources-to-help-you-start-a-home-based-business/)