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Last Updated on January 20, 2024 by Work In My Pajamas
Business should never be a guessing game. Start by defining both your long-term goals and the short-term objectives that will get you there. Structure your business plan around an honest, attainable overview of the prospects for achieving your entrepreneurial vision. Here are some considerations that should be a part of your ongoing strategy.
In This Post:
Define Your Company Vision
Great business owners, like Dallin Larsen, founder of Vasayo, know that behind every company is a vision that drives you to a great future. Such a vision will help you grow and help define your principles. There should be a clear company strategy that aligns with that vision. It’s easy to feel overwhelmed as your plan evolves, but it’s important not to lose focus on your goal. Attaining your vision should be your motivation, but growing to-do lists can make it seem like it’s eluding you. So can the skeptics and critics.
To avoid depression and frustration, it’s important to prioritize your time. Translate that list of chores into a realistic daily schedule. Instead of feeling stressed, make the effort to share your vision with your team and start delegating some of those essential tasks. Celebrate your collective victories and craft lessons from your failures. The goal is to have everyone involved working on the same mission.
Evaluate Your Market
Whether you’ll be catering to local, national, or international consumers, determine which market segments will be using your product or service. Determine the most promising audiences and demographics and put your focus there, such as on a certain age group or social media platform.
Check on the presence of competitors. If there are any at all, you’ll have to think in terms of capturing your fair market share, especially to survive the first few years. Although you may grow later, be sure that a realistic market share will generate enough profit to keep you going.
List Your Startup Needs
There’s a long list of things you may need, such as raw materials and vendors who can reliably supply them. You might need certain machines, tools, and technologies such as IT networks or testing equipment. You’ll have to buy or lease space, hire employees at some point, and purchase computers and office furniture. Most businesses will also need local licenses and permits. Be realistic, and admit that you may be forced to start on a smaller scale.
On top of the initial cost, you’ll have recurring expenses just to stay in business. This will include rent or mortgage payments, different types of insurance, utility bills, payroll, taxes, supplies, advertising, and other hidden costs. You may also need the regular services of contractors such as landscapers, janitorial companies, and freight handlers. Estimating these costs will give you a good idea of the profit margin you need to maintain. Always plan for unexpected costs. You may want to consider lining up investors or small business loans before you need them.
Build On Your Competitive Advantage
Your best odds of success lie in identifying, or developing, practices and ideas that set you apart from your rivals. Identify any special skills or knowledge that you can leverage. Assess your top competitors to see what they may be overlooking. Learn from other successful entrepreneurs. Upgrading your knowledge and skills is easy than ever with how-to videos, tutorials, forums, and even free college-level courses online.
Your own approach could involve things like stellar customer service, free shipping, generous loyalty programs, or any additional value that increases your appeal. Exceeding expectations is the best way to build a loyal following.
Even with unexpected success early on, don’t allow yourself to be complacent. Sustaining your business involves risk management, solid relationships, setting priorities, and above all careful planning for every possibility.
