Starting a business can be an extremely rewarding experience, but it can also be challenging. If you're thinking how to start a business, don't worry, we're here to help! In this blog post, we'll outline the key steps you need to take to start your own business. With these tips in mind, you'll be ready to start a business.
So read on and get started today!
5 Reasons Why One Should Start A Business?
If you're thinking about starting a business, you need to ask yourself some important questions first.
Why are you interested in starting your own business? The answer will guide you in choosing the right business type for you. If you're looking for extra cash, maybe you ought to start a side hustle. Perhaps it's time to quit your 9-to-5 job and try something new if you want more freedom.
Getting a startup off the ground is all about timing, planning, and the market, so take the time to determine if the economic conditions are right for you to start your venture and if your solution can properly address the market need that exists within your industry.
Here are five reasons why starting a business is worth considering:
2. Flexibility in your schedule
3. Financial freedom
4. Control over your own destiny
5. Creative outlet
How to Start a Business?
Starting a business can be difficult. There are so many things to think about – from developing a product or service to marketing and sales. It can be tough to know where to start. We’ve got the step by step guide to help you get there.
This list of steps is not a one-size-fits-all model for starting a business. It will help you organize your thoughts and iron out important details.
- Research the Market
Before starting your own business, you should take some time to research the market first. Look at similar companies that exist today and try to determine if:
- There is space in the market for another company like yours?
- What would need to change in order for people to buy from them instead of what they currently use?
- Are there any competitors who already offer something similar?
- Who are these companies?
- How much money do they make each year?
- Do they have many employees or just a few people who work remotely from home?
The next question to ask would be Who do you plan to serve? The objective of this step is to define the target market carefully. To be successful in marketing, you must understand the customer so well that your product or service fits him and sells itself.
For example, if you're planning to open a restaurant and you live in a town where there's already several restaurants, it may be better to look at another city or area that has less competition.
3 Useful Tips for Market Research:
Here are some useful tips for researching your market:
1. Find out how many competitors your business will have and how they're doing financially. You can do this by searching online and reading industry reports, such as Dun & Bradstreet Business Information Services (www.dnb.com).
2. Find out what customers want from your product or service, and whether you can deliver it better than anyone else. It might even be worth talking to some people who already use the same product or service as you do (for example, if you're planning on opening up a restaurant, talk to people who eat out regularly).
3. Research trends in the industry so that you understand how consumer behaviour is changing in relation to your business idea.
- Select Your Target Audience
The next step is to identify who your target audience will be.
Your target audience is the group of people who have the most interest in your product or service, and who will buy it. You can find them by talking to people in your network, friends and family, or by using Google Trends.
This can be done by finding out what types of people are likely to buy your product or service, how much they might pay for it, and where they live (or work). If you can't find this information on your own, you could try using social media networks such as Facebook and Twitter to ask questions about your target audience and their needs.
How to define your target audience?
You want to define who you want to serve and why they need your product or service.Start by asking yourself these questions:
- Who will benefit from my product or service?
- What problem does my product or service solve for them?
- Why do they need it?
Once you've answered these questions, you'll have a clearer picture of who your target audience is and how they might use your business.
For example, if you own a pet-sitting business, you might start by asking yourself: "Who needs me most?" That might sound obvious, but it's important to remember that this question isn't just about who will pay for your services — it's also about who needs or wants them.
For example, if you own a pet-sitting business, some people may be willing to pay for someone else to take care of their pets while they're at work. But other people may not be able to afford a sitter because they're unemployed or underemployed — and those are exactly the kinds of people who need your services most.
- Select a business model
When you come up with a business idea, you need to consider how you will implement it in your niche.
Before you launch your business, you need to create a business plan. A business model is a written document that describes the nature of your business and how you intend to run it. It also includes information on your financial goals, marketing strategies and projected costs.
A good business model will help you get financing, identify your target market and determine how much money you need to make it happen.
A well-written business plan should include:
- A description of the company, including its products/services and target market
- An explanation of why you think the company will succeed in its chosen market
- A detailed financial analysis, including cash flow projections and balance sheets for at least three years (five years is better)
If you plan to opt for selling products online, use a service like Markaz Technologies. Markaz helps you start selling online with zero initial investment.
If you are looking to start earning from the comfort of your home, all you need to do is follow the 5 simple steps:
1. Download the Markaz App
2. Sign up as a Reseller
3. Choose the products and mark-up
4. Generate a Purchase Link
5. Start selling in your circle through your social media
- Financial Planning and Break-even Analysis
Break-even analysis can help you figure out how much money you need. An important part of financial planning is determining when a company, product, or service will be profitable.
It is as simple as this:
Breakeven Point = Fixed Costs ÷ (Average Price - Variable Costs)
Using this formula as a tool is advisable for every entrepreneur since it informs you of the minimal performance your business should reach to avoid losses. In addition, it helps you determine your production goals by understanding how your profits are generated.
To perform a break-even analysis, three factors must be considered:
- Analyze profitability. Business owners are generally most interested in this.
Ask yourself: How much revenue do I need to generate to cover all my expenses? Are there any products or services that turn a profit, and which ones are sold at a loss?
- Pricing a product or service. Typically, when people think of pricing, they think about the cost of creating their product and how their competitors charge.
How much does a physical good cost? Identify the fixed rates, the variable costs, and the total costs. How
- Study the data. To be profitable, do you need to sell a certain volume of goods or services?
Ask yourself: what are the ways I can reduce my overall fixed costs? And how can I reduce my variable unit costs? Is there a way to increase sales?
With the Markaz app, you do not have to worry about calculating the break-even point. Why? Because Markaz is the only social commerce platform in Pakistan that gives you the freedom to set your own markup for each product!
- Arrange Funds For Your Business
Many entrepreneurs choose to start their businesses with their own money—either savings or earnings from day jobs. If you don’t have enough cash on hand to get started, you can take a few other approaches.
There are three main ways to fund a new business: bootstrapping, getting an angel investor and crowdfunding.
- Bootstrapping is the most common way of funding a startup. It means that you use your own money to fund your business. You may also be able to borrow from family or friends — but remember that if you fail, they're out of pocket too!
- Angel investors are wealthy people who invest in startups in return for equity (a percentage of the company). Most angel investors are high net worth individuals (HNWIs) — successful entrepreneurs or executives who have made money in previous ventures and now want to back other entrepreneurs' ideas.
- Crowdfunding is when lots of people chip in small amounts of cash — often via an online platform — so that a project can be built or developed. Popular crowdfunding platforms include Kickstarter, Indiegogo and GoFundMe.
- Register a Business Name
Before starting your own business, you need to choose a name. This can be daunting, but selecting a name that reflects your brand and what you hope to achieve is crucial. Once the name has been decided, the next step is to register it with the government.
The process will vary depending on your country, but in general, you will need to fill out some paperwork and pay a fee. You may also need to reserve the name with your local chamber of commerce or trademark office.
Once the registration process is complete, you are free to use your business name on your marketing materials, website, and legal documents. Registering your business name is essential in getting your company off the ground. By taking the time to do it right, you can ensure that your business has a solid foundation from the very beginning.
- Choosing a Legal Business Structure
All companies are required to have a specific legal business structure. This is important because it creates a clear separation between the business and its owners. This separation offers several advantages, including limited liability protection and tax benefits.
Without a clear business structure, the owners of the company would be personally liable for any debts or losses incurred by the business. In addition, the business would be subject to higher taxes.
The most common business structures are sole proprietorships, partnerships, limited liability companies, and corporations.
Each business structure has its pros and cons, so it's important to choose the right one for your business.
An experienced lawyer can help you determine the best legal structure for your company. For starters, here are the three most common types:
- Sole proprietorship: A sole proprietorship is an unincorporated business owned and run by one individual. This type of business has no separation between the owner's money and the business's money. The owner of a sole proprietorship is personally liable for any debts or lawsuits against the company.
- Partnership: In a partnership, two or more individuals pool their assets to create a business venture together. Partnerships are treated like sole proprietorships for tax purposes, with each partner responsible for his or her share of income or loss on Schedule E of Form 1040 (PDF). However, partners may be held liable for the actions of the other partner(s).
- Corporation: A corporation is a separate legal entity from its owners and shareholders. Corporations have limited liability protection so shareholders can be held liable only up to the amount invested in the company rather than for all its debts. State laws vary when it comes to incorporating; some states have significantly more stringent requirements than others do. You'll need to research those differences carefully before deciding where and how
- Choose Your Vendors
Choosing the vendor to start your business is a good decision. It could be an easy task if you have enough knowledge on it. The best way to choose a vendor is by asking for recommendations from people you trust. You can also use the internet to search for them.
Do not just choose any vendor randomly because it will bring lots of problems in the future. Here are some tips that you can follow when choosing the right vendor for your business:
1) Check their reputation: Before choosing any vendor, always check their reputation first. There are many ways to do this. You can ask people who have used their services before or search online about their reputation.
2) Choose the ones with good prices: When choosing a vendor, always pick those with affordable prices because this will make sure that you have enough money left after paying them off. Cheap vendors could also mean that they have low-quality products as well so always check out what they offer first before deciding on anything else!
3) Check their experience: Experienced vendors are always better than inexperienced ones because they know what they’re doing and won’t create any problems at all! If a company has been around for quite some time now then
How Markaz App saves you from the hassle of looking for vendors and suppliers:
As a reseller, Markaz is at your disposal. Markaz, the only trusted platform that connects multiple suppliers and resellers to anyone looking for information on how to start a business in Pakistan, connects various suppliers and resellers.
It allows users to browse and share 10,000 products from multiple categories with their social media stores to start their own reselling business online. Reselling the app will allow resellers to place orders for their clients, which can be delivered to over 300 cities and villages throughout Pakistan starting at Rs. 90 (per order). Following delivery, the reseller's digital wallet, such as Easypaisa or Jazz Cash, is automatically credited with the profit from each sale.
All products are sourced from wholesale suppliers to ensure the best possible prices. Over half of the Markaz resellers in Pakistan are women, making it Pakistan's fastest-growing and most significant reseller community.
- Create an Online Presence:
You may be a talented entrepreneur, but if you can’t get your name out there, then it won’t matter.
You don't have to have a website or social media accounts from day one, but they will make it easier for people to find out about your business and connect with you.
The first step to starting a business is to set up a website and social media accounts so that people can find you online.
You can use websites like Squarespace or WordPress to create a professional-looking site without having to learn how to code. Just make sure it includes an email address so that customers can contact you directly.
Next, set up accounts on Facebook, Instagram, Twitter and other social media sites, where people go to share their lives with friends and family. You should also sign up for Google My Business and fill out as much information as possible about your business. This will help people find your website when they search for local businesses online.
Create an Online Storefront:
If you want customers to buy from you online instead of driving all the way over to your store location, then you need an e-commerce platform like Shopify or BigCommerce that allows you sell products through their website directly from yours.
These platforms are easy-to-use and affordable (some even offer free trials). They also include built-in payment processing so customers don’t have to
- Market Your Business
Before you can sell anything, you need to be able to sell yourself. You need to be able to convince people that what you're offering is worth their time and money. That may seem obvious, but if you're not prepared to market yourself, your business idea is likely doomed from the start.
Start by asking yourself these questions:
1. What is my product or service?
2. Why would people want it?
3. How will I deliver it?
Marketing is about more than just getting your product or service in front of potential customers. It's about creating a relationship with them, building trust and helping them see how your business can solve their problems and meet their needs. What marketing techniques you use will depend on what you're selling and who you're selling it to.
Here are a few tips to keep in mind:
- Define Your Target Audience
Know who you are targeting. This is crucial because the language, channels, and information you use to communicate with one demographic may not be as effective with another. You gain direction in your marketing by identifying your target audience, and your message becomes more consistent.
Know your target audience and how to reach them effectively, both physically and mentally. Find out where the best place to reach your target audience is and how they will interpret your ad. Customize your marketing accordingly.
- Understand The Buying Journey
All marketing and sales efforts are built around the buying process. A buyer's pain points, where they get their information, and who influences their purchase decisions must be intimately understood. Even specific events can lead to a purchase. Depending on where they are in the buying cycle, customers have different expectations of how they will engage with you.
- Make Yourself Stand Out from Your Competition
In this fast-growing market, we see many brands trying to cash in on success by following ‘me too.’ Focus on what makes you unique instead of following this knee-jerk reaction. Consider your brand’s differentiators and recalibrate to fill the void rather than follow the trend. Every great brand idea starts as a new idea; innovate and strive to be the first to market.
- Offer a great customer experience
One of the most important factors in making your business successful is to provide a great customer experience, not just because it's good to be nice, but because it's good for business. When you provide excellent service and make customers feel appreciated, they'll tell others about you. If customers are happy with your products and services, then they're more likely to buy from you again.
Do what you do best and outsource the rest.
You don't need to be an expert at everything in order to run a successful business — especially if you're starting out small. Focus on what you do best (in other words, your "unique selling proposition") and outsource everything else that doesn't bring in revenue directly or indirectly through referrals from satisfied clients.
Customers will come back again and again if they like what they see when they visit your website or walk into your store location
If you’re feeling inspired to start your own business, we applaud you. It takes guts, determination and a lot of hard work to make it as an entrepreneur. But thankfully, there are plenty of resources available to help you get started.
The first step is to download the Markaz App and create a seller account. With our app, you can start selling in minutes and reach millions of buyers around the world.
So what are you waiting for? Start building your empire today!