Starting a small business can be a daunting task, full of information coming from multiple sources. Before you get started diving into your startup, it’s important to not forget these three crucial areas.
Taxes
Do your homework. Small businesses are tough enough without knowing all the facts.
Come up with a game plan to ensure that you are setting aside your taxes. There is nothing worse than getting an unexpected bill from the state or IRS demanding money you don’t have. Research taxes that are due in your state. A great way of being prepared: set up a separate savings account to be used only for taxes. It’ll keep hands from withdrawing and spending money that shouldn’t be used in the first place.
Competitors
Research, know, and understand your competitors. Brick-and-mortar coffee companies, for example, should be knowledgeable about products, marketing, and best practices in not only both indie shops and corporate chains but as well as national bottled companies, wellness trends, and local restaurants. The key is to know as much as you can about the product you desire to bring to your potentional customer. Knowledge is key.
Demographics
Opening a marketing firm in a retirement community might not be the best move starting out. Come up with your core targeted customer you wish to serve and hone in on them first and foremost. Utilizing the television industry as an example, define your demographic in age ranges (18–49, 18–54, 12–17) and gender. As exciting as it would be, you cannot serve everywhere. Once you have your demographic narrowed down, it makes looking for a space, marketing plans, and product offerings easier to define for yourself, saving you a ton of headaches in the long run.
Startups require many different hats in getting off the ground. I encourage you to take a little bit of time to invest in putting your business on solid ground before you dive in full force. As Guy Kawasake, the Co-Founder of Alltop put it in perspective: “Ideas are easy. Implementation is hard.”