by Jess Guim
It takes more than a dream to become successful in business. It is a risky endeavor if you will simply jump into it without proper planning. It’s not just money, but time, reputation, job, and family relationships are wrecked when the business fails. The risks never stop even if the business survives or becomes financially successful. But you can dramatically reduce the odds of failure if you develop the right plan and actions in every phase of your business. Don’t forget to consider these 3 M’s you needed in getting down to business.
Setting up a business is like planning a long distance road trip. You need a road map to trace down your starting point and list the names of highways where you are going to turn until you reach your point of destination. To start a business you need a marketing plan that details how you intend to distribute or sell your products and make sales. You need a system plan that outlines the space and types of equipment for your business. Most important of all, you need a financial plan to trace down how you will build and maintain a positive cash flow.
Knowing your market and target customers is another factor to consider in starting a business. Some people open a business because they were simply driven by a desire to make more money without surveying first if their planned business would really serve their target customers. Niche marketing is a type of doing business based on a specific need of a group of customers. This is an end product of proper surveying before an entrepreneur opens a business with a specific product or service for a particular group of customers.
Time management and people management are also important factors one should consider before opening a business. Focus and attention are needed in growing a business. So, if you don’t have much time to directly manage your business, you should be able to delegate it to the right person who could manage it. See to it that this person meets the requirements, having the attitudes and characteristics to manage the business in your absence. The people plan determines what kind of employees you’ll need, and what skills should they possess to run your business.
As an entrepreneur with no experience yet in business, these are the three “M’s” you need to know before you go into business – money, marketing, and management. With money available, right marketing strategies, and proper management of people, your business will grow as you expected at the start.