If you are a new business owner, congratulations! Establishing a start-up is no easy job, and it is often the case that these businesses have been in the pipeline for years. Before you can do any of the fun parts of business ownership, you need to acquire your funding. Regardless of how you get it, it is absolutely imperative that you calculate a reasonable and realistic budget for your start up costs.
Ask A Consultant
While this can initially eat up some of your money, a visit to a reliable consultant will ensure that you make it back. They can advise you on any pitfalls your competitors may fall into, and how to avoid them yourself. If you are a university graduate, a low-cost alternative is to visit your alma mater’s employability consultants, who will usually have a member of staff on hand to advise alumni on entrepreneurship.
Keep Your Personnel Minimal
This is already a point for most startups, but be sure that your original team is as minimal as possible – you will have a lot to do, but the chances are you can’t afford to pay an assistant a salary just yet. For being the brains of the project, make sure that you and your partner(s) can do as much of the initial legwork as you can, before having to hire new staff. Then when calculating your start-up costs, ensure you have enough money to live on – even if this is a lower salary than you are used to.
Marketing Within Your Means
Marketing is an absolutely imperative part of launching a start-up – if nobody knows about your business, they won’t be able to use it. If you don’t quite have the budget to call in any professionals yet, take the initial marketing into your own hands. Digital marketing software is increasingly affordable and allows you to track data and manage ad campaigns on your business computer. Social media is also a great tool that initially will cost only your time, and so by being savvy you can generate plenty of interest, and business.
Think Wisely About Premises
It’s a common story for many startups that their Head Office is in the spare room of the entrepreneur’s house; and this can be an excellent cost-cutting solution. However, in some cases it is necessary to rent premises. When looking around, try to find the right compromise between affordability and space, as you’ll need to be sure you can cater for the customers you aim for. The location is also a factor – while being on a main street increases your chances of attracting business, don’t go out of your way if you can’t afford to.