The past two years have been quite extraordinary. People have lost their jobs, others suddenly had to work compulsorily from home. Still others went for the total career switch, for example from working in the hospitality industry to working in healthcare. All this caused a lot of people to start thinking about their future, and especially about what exactly they want in that future. Many people also decided that they wanted to become entrepreneurs now. Did you too? Then we would like to give you three tips for setting up a business.
Make a comprehensive business plan
As an entrepreneur, you don’t have the safety net of a permanent job. So it’s important that you know what your goals are and how you’re going to achieve them. In a good business plan, you specifically describe all your business goals and how you’ll achieve them, as well as the pitfalls and challenges in your sector. Are you going to offer a new product/service? Then it’s important to know how you’re going to market it.
In addition, your marketing plan (part of your business plan) is also very important. How are you going to draw attention to your product or service? How are you going to find and convince customers? Market research can help with this. It’s important that you have thought about everything before you take the plunge into your own business.
Your financial plan should also be solid. You can also use this financial plan to apply for financing, for example at a bank. It’s important to make an operating budget with expected revenues and costs per period. Take enough time to work out your entire business plan; this is important. Will all this info make your ears ring? Then you can find a lot of good information and even coaching online about making a business plan.
Know your strengths and weaknesses
Maybe you want to become an entrepreneur because you can sell everything, even ice cream to the inhabitants of northern lapland. You’re a sales tiger who gets everything sold. Great! But maybe you’re also a bit sloppy with your paperwork … and that’s ok. You can’t be good at everything, but it’s important to have an understanding of what you are good at, and what you are less good at, so you can anticipate this. For instance, by hiring an accountant for your paperwork. Or by outsourcing your marketing tasks to a freelance marketer, so that your company gets brand awareness, but you can focus on sales.
In addition, it’s also a good idea to always know the details of a good debt collection agency (in Dutch: incassobureau). Should one of your customers fail to pay, this often brings out the worst side of an entrepreneur. This can also cause you a lot of stress! Therefore, leave the collection (in Dutch: incasso) of your bills to the professionals, they know exactly what steps to take to collect your money, such as seizing accounts and goods.
Don’t forget to take a break from time to time!
Many new entrepreneurs give 100% for their business and that is great. But if you sleep too little, exercise too little and barely see your friends and family, this is guaranteed to affect your mood … and maybe even your success rate. After all, how can you possibly sell a product or service if you are completely overworked? So don’t forget to take some time for yourself every now and then.
Good luck with your business!