Entrepreneurial individuals often have a business idea that rarely is executed on. It is true that 99% of running a successful business is execution and only 1% is the idea itself. Execution is the hardest part. It requires effort, strategy, finances, marketing and sales skills. If you are the executor on fire and ready to launch, start by asking yourself these 5 questions before you start a new business.
Five Questions to Answer Before You Start a New Business. Listen to the episode here.
1. Do you know your “why”?
One of the first questions I ask a client is to tell me their mission. Last year I had interviewed a potential new client and asked the same questions I always do in regards to their mission, vision and CORE values. When I asked them what their mission was they replied “to make money.” While you must make money to run a business, this cannot be your “why.” Your business should offer a product or service that will solve a problem. People do not buy products or services, they buy the answer to a problem. So knowing your mission, vision and CORE values before you strike up that business deal will ensure you are headed into your business with the right motive. Your “why” is less focused on you and more focused on your potential buyer.
2. Who is your ideal customer?
Who is your ideal customer? What is the problem they are experiencing and how will your product solve that problem? The big question here is will they actually pay you for your product or service? So many people around you may tell you that they love your idea, but the real question is, will they exchange a fair market value in exchange for the idea you would like to bring to the marketplace. If you are not sure, start a market survey. Consider reaching out to 25 potential buyers and ask for their honest feedback. Also, ask them what they would be willing to pay for the product or service you will create. Market survey results will help you to make wise decisions regarding your product or service financially.
3. Do you have a business plan?
Entrepreneurs have believed a myth that they do not need a business plan if they are not taking out a startup loan. Not having a business plan is the worst decision you can make. Do not start a business without having a plan that includes the following elements:
- CORE Values
- Description of Your Business
- Legal structure of your company
- Buyer Personas
- Goals and Objectives
- Marketing and Sales Strategy
- Market Analysis of Products/Services
- Key Partners
- Projected Revenue and Expenses
4. How will you tell the world about your product or service?
One of the biggest mistakes new businesses make is the assumption that their product or service is so good it will sell itself. This is a devastating mistake that most entrepreneurs will make. A lack of marketing efforts is amongst the top reasons that a business may close the doors. Marketing can become a full time job in addition to running your business. As Grant Cardone says “marketing is the holy grail of business success.” Marketing will be a requirement to experiencing success. If you are not sure where to start, consider taking our Marketing and Sales Bootcamp. This affordable 2 day workshop will help you:
- Offer a Clear Proposition
- Invite Your Customers Into a Story
- Create Marketing Collateral That Stands Out
- Boost Customer Engagement
- Grow Brand Awareness
- Attract New Customers
- Educate and Inform Customers
- Create a High Quality Lead Generator
- Significantly Increase Sales and Revenue
- Create a Website that Converts Leads to Buyers
- Install Email Marketing Systems
- Position Yourself as the Guide with Empathy and Authority
- Establish Loyalty and Trust with Customers
- Attract New Customers
- Increase Sales and Grow Your Business
It’s a noisy world. It is not who has the best product that will win. Rather, whoever has the clearest messaging will win. Donald Miller will teach you how to clarify your message so that your customers will listen in his book, “Building a Story Brand.”
5. Are you coachable?
One of the greatest leadership skills you can develop early on is to be coachable and trainable. At Jump Start Business Builders we train entrepreneurs in the foundational areas of:
- Product/Service Development
- Overhead and Operations
- Cash Flow
The greatest advice I can give, is to never stop taking advice and wisdom from businesses that have been there and done that. Did you know that Bill Gates still reads 50 books a year? Even a multi-billionaire still sees the value in learning from others.
Hiring a coach is the best investment you can make. A business coach will see potential in you that will help you generate revenue and grow a profitable business. Without a coach you run the risk of spinning your wheels, losing revenue everyday that you are playing the guessing game.
Deanna is a Certified Business Made Simple Coach offering group coaching and masterminds, one-on-one coaching and trainings to help you scale your business to 6-Figures in your first year. We will also dispel the myth that you are 2-3 years away from your first paycheck. See what other successful businesses have experienced under our coaching and training.
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