Before you start your startup, stop and ask yourself some questions, starting with what are your interests? Do these interests have money-making potential? Do you have enough experience and/or gumption to turn the money-making potential of your interests into a new business?
If you answered yes, great! If you answered: Why it’s important your business is about your interests? Well, because statistics show most new startups stop. That’s the hard truth of the matter. But if you’re working on something you love, you will gain a priceless education on what interests you for future projects, if the one at hand tanks.
Harsh words, for sure. So, brace yourself for another tough question. Are you prepared to be told no? Odds are you’ll encounter nay-sayers en route to making your startup a reality. You have to believe in your business to make others believe in it. When they say no, be prepared to cite the reasons why they should say yes—especially when it comes to investing in it! Remember, persistence is key in realizing your dream.
But it’s also key to be prepared. You need more than dreams to make your startup a success. So, before investing money, invest some time to answer these important questions:
Do you know how much money you need to start your startup?
Do you have a business plan?
Do you have investors? If so, what is your agreement with them?
Do you have a team on experts working on your side?
Have you assigned your team players specific roles to play?
How will you manage losses and liabilities?
How well do you know your business?
Have you done your research on the industry?
Is there a market for your startup?
How well do you know your potential customers?
What is your competition doing?
Can you define the brand of your startup in three words?
Do you have a marketing strategy?
Are you prepared to turn an interest you love into a job?
Did any of these questions give you a headache? If so, take a deep breath and repeat.