When you’re starting a business, it becomes a 24/7 job. A great marketing plan may come to you in the shower, your business slogan may hit you suddenly before falling asleep, and you might remember you forgot to email the business card template to the print office while dropping your kids off at school.
Even with this whirlwind of thoughts and things going on, there are still some things that can be overlooked from time to time. With a mind stuffed full of so many ideas, it’s only natural that a couple of thoughts are going to leak out somewhere.
Below, we have a few things that can sometimes slip under the radar but are still quite important to remember.
Overestimating Costs is Better
When you’re budgeting, you plan to do plenty of research to make sure everything is going to be just right. Your budget will suffer if you invent a number on every line.
At the beginning stages of your business, you’re going to be spending money, a lot of money. It’s a huge reason why it takes small businesses, on average, about three years before they can turn a profit.
So when you’re planning expenses, give yourself a little leeway room. You may not realize what you need to purchase or invest in until it’s staring you in the face. You also want to make sure you have some money ready for any rainy days that pop up out of the blue.
No Competition is Typically a Bad Sign
We say this with a grain of salt because having no competition can usually mean one of two things.
One, it can mean that there is no competition because there is no market. Chances are, you’re not going to invent the latest and greatest thing or business idea and trying to do so will often lead to failure.
Now, it can be a good thing for certain sectors. If you’re a dentist and you see that a certain area doesn’t have a pediatric dentistry option, then there could be a market for that.
Oftentimes, people will get so wrapped up in their idea that they won’t stop to think if going into that market is a good idea.
You Should Look for Help
Oftentimes, we hear success stories about how Mr. and Mrs. Smith came from an unfortunate situation in Big City to start a business. They had 13 cents and half of a sandwich to their name. They came up with their million-dollar business idea and moved to the Florida Keys to retire after running their company for just 74 seconds.
These inspirational stories (and those that are more realistic) often make it seem like the person did, well, everything. In some cases, they might have. But more often than not, there are plenty of background characters left out.
Attorneys, accountants, IT, marketing firms, and more may have had a hand in guiding Mr. and Mrs. Smith to success. With all the hustle and bustle, you might be overlooking your need to seek out help.
Even though you might be starting in your house today, investing in the help of others can help grow and expand your business without making any crucial errors.
While many business-planning steps are somewhat exciting, paperwork and bureaucracy is not. Things, like registering your business, applying for a business name, and choosing a business structure, may seem to just slow you down.
However, they are incredibly necessary for keeping your business on the right side of the law and being legitimate.
Another thing you shouldn’t overlook is acquiring business insurance. All states require you have it and some even require you purchase disability insurance for your employees. It’s something you shouldn’t cheap out on either because having proper coverage is going to protect you from the unknown.
Real Market Research
When coming up with your wonderful idea, you might have polled your respective friends and family members on their opinions. While you’re likely to be greeted with positive responses, those don’t mean much in the real world.
That’s why you need to perform real market research. Sometimes, this isn’t something that’s forgotten as it is something that’s a bit scary and unpredictable. Basically, you don’t know what the results may bring and they may not be what you like.
That’s OK, however, as it just means you’ll have to pivot your plans. Be sure to be flexible and take market research seriously. It’s going to help give you a footpath and guide your business down the right road.