Seven Things to Consider Before Starting a Business

Many people dream of having a viable business. Some dream and continue dream while some dream, wake up and turn their dreams into reality.

Business is about taking risks. It is like a journey, setting off without knowing what might happen ahead.

Starting a business required a sober mind. It needs proper consideration as before venturing into it. Here are seven things that you need to put in mind before starting a business:

1. Capital

There is no business without a capital. This is the amount you intend to start your business with. It is how much you are willing to invest in the business you want to start. How much do you have? How much are you willing to invest?

2. The business

There is where the problem comes in. The business itself. What kind of business are you planning to start? Many people have the capital but have no idea what they should invest in. Such people end up investing in a business just because they have seen other invest in it.

3. Purpose

This answers the question WHY? Why are you starting a business? What do you want to achieve? Simply, what is the purpose of setting up that business? Do you want to make a livelihood? Do you want just to make an extra coin? Do you want to solve a problem? Do you just want to start a business so as to get back to others in the same business? What is your purpose?

Read: The risks and rewards of starting a small business

4. Customer

A business is business when there is a consumer of the product or the service you are willing to start. Considering your customer base is, therefore, very important. A good business is that that has a niche to target. What kind of customers are you planning to target? What social aspects are you going to base on when you start your business? What do you want your customers to have? Remember, the best business is that that solves a problem. The best way to determine your customers, therefore, would be to identify the problem they are facing and then focus on solving that problem either through your products or services.

5. Location

Where do you want to set up your business? Is it in town, in the rural areas, by the road side or inside your car? Always choose a strategic position that will maximize your business’ exposure to your customers.

6. Employees

What kind of people are you planning to work with? What kind of talent are you going to employ? Remember, you can have the best business but with a poor team that will lead to the fatal failure of your business. Your employees are a great determinant of the direction your business is likely to take. They can also determine how customers will interact with your products or services.

7. Advertising

Starting a business without making it known is like smiling and winking at a girl in total darkness. How do you intent to make your business known? What channels are you going to use to reach your customers? Are you going to use the media, posters or use of agents? Or are you going to start off by giving out some offers as a key to unlock your customer’s interest in your products or services?

Off the Cuff…

• Do not just start a business because you have money.
• Do not just start a business because other people are doing it.
• Do not start a business without knowing who your customers are likely to be.
• Do not start a business without planning.