Starting your own business can be a formidable task. You have to take into account many things, such as fulfilling legal requirements, funding, marketing, etc. There could be many reasons that influence your decision, but you must have a great business idea and the funds to start your own business. However, many people who have entrepreneurial aspirations are reluctant to start their own venture because of the fear of failure. The uncertainty associated with it is sometimes too intimidating for prospective entrepreneurs to go ahead with their plans. There could be many factors that can hold you back, but you have to think of those factors and get rid of the apprehensions.
But once you have decided on setting up business in India you must plan everything to the last detail. Though there is no secret formula for starting a small business, we will try to offer some useful tips for the same. When you start your own business, you keep on learning as you move forward, but we expect that the tips offered here will stand you in good stead.
The first thing you need to do is seek advice from others. Talk to friends, family, experts, and others and discuss your idea with them. Listen to what they have to say and absorb everything. The more people you speak to, the more diverse views you are likely to get, which can create a lot of confusion in your mind regarding the viability of your project. Gather as much information and knowledge as you can and assimilate their ideas and suggestions and work out the idea in your head. Note things down and make a detailed plan.
When you tell people about your plans, try to read their reactions. Gauge their body language to understand whether they like your idea or are just being nice to you when they actually disapprove of your idea. Encourage them to give an honest opinion, and based on their collective response you can get an idea of how the consumers would react. Take the advice of experts and experienced business persons seriously as they have first-hand knowledge of what works and what doesn’t.
Be a Solution Provider
Instead of thinking about selling something, think about what you can offer as a solution for something. Your product or service should fill a gap in a particular market. When your business tries to fix a problem, it becomes easier to gain customers. Be very clear why you want to start your own business as understanding the motive behind your decision will help you plan your marketing strategies.
Keep your concept simple and don’t make things complex, otherwise you could end up offering an expensive product that may not be well-received by the consumers. A new product by a hitherto unknown company has to be simple and affordable, or else consumers will not show much interest. Keep the product basic without adding any unnecessary features and keep the cost under control.
Once you have developed your business idea and made up your mind on setting up a business in India, the next step would be to calculate the cost involved in launching and operating the business. Factor in all the expenses, including production costs, marketing expenses, working capital, and other overheads. The general rule is that whatever figure you arrive at, you should multiply that by four. There are bound to be unexpected costs while running a business and you must account for them. Also, calculate your personal expenses. It is better to be prepared for any contingency than run short of cash when you need it most. You may also have to take a business loan, so explore all options before taking the dive.
Be Prepared for the Worst
Available data suggest that more than 50 percent of new businesses have to shut shop within the first five years. So, irrespective of how diligently you have planned for your new venture, there is always a chance that it may not succeed. You have to be prepared for the worst-case scenario. What if the business fails and you go bankrupt with no money left? Think of every possible set back that you may encounter and prepare yourself accordingly to deal with such a situation. It is, therefore, advisable that you don’t quit your current job until you have settled down in your new business. New businesses have a gestation period and it takes time before steady income starts coming in.
Face the World with Confidence
One challenge many new business owners face is that they are clueless about how to sell, and get intimidated while trying to share their business with the world. Don’t bother about what people think about your business, just go out and speak to your consumers to sell your product or service. Don’t shy away from speaking to a large audience; get out of your comfort zone and speak fearlessly and confidently, after all, your business is at stake. You have to constantly market and network, so be confident when you communicate. You might find it difficult initially, but gradually everything will fall into place.
Setting up a business in India is an arduous task, but if you plan it diligently and follow the tips to start small business mentioned above, and are confident, then your chances of success will be very high.