10 Extremely Important Tips for a Successful Business Launch

What’s Your Passion? If you are thinking about starting a business, it should be something you enjoy. Since a lot of time and energy goes into running a business, it is smart to look at your hobby or professional experience as a potential business idea. For example, if you are good at sewing, consider a tailoring shop; or an accountant could look at bookkeeping or tax service. Now, imagine what your life would be like if you spent the majority of your day actually doing what you love. Do you have what it takes to be an entrepreneur? To improve your chances, here are 10 Extremely Important Tips for a Successful Business Launch.

Tip 1: The Name Game

Now that you’ve narrowed it down to ONE ‘business idea,’ you’ve got to figure out a name. A major challenge in starting a business is the process of searching and choosing the right business name. Choosing the right business name can mean success while a poorly thought out name could doom your business from the start. Three smart business name tips:

  1. A smart business name must be unforgettable. It is imperative that potential clients be able to remember your business name. I’m sure most people have heard of Nike, Walmart, Target, Home Depot and McDonalds. Like these household names, your name should be easy to pronounce and memorable.
  2. A smart business name must describe what your business does. When you create your business name, potential clients should be able to understand what products or services your company offers. For example in ‘ Browder Consulting Group,’ the word “Consulting’ is a clue that I provide specialized advice; or as in Lynn’s Styles & Cuts,’ the words ‘Styles & Cuts is a clue that this is a beauty salon.
  3. A smart business name should be as short and sweet as possible. As you advertise your business, it is important that your name display well on your marketing material, such as business cards, ad campaigns, domain name and email. As potential clients search for you on the internet, you want it to be an easy spelled and searchable name.

Tip 2: On a Mission

A mission statement is an important tool that tells others who you are, what you do, how you do it and why you are superior than your competition.

  • It identifies and clarifies the business’ vision, purpose and direction.
  • It provides the path and focus needed for making and implementing decisions.
  • It helps define to your future employees what they are doing, why they are doing it and where they are going.

Tip 3: Make it Legal

Be diligent in choosing the best Legal Form for your business. This is one of the first important decisions that you will have to make. This decision can have long-term implications, so here are a few things to consider when deciding which business structure is best for your business:

  • Scope of business you plan to attain
  • Size of your business
  • Business’s vulnerability to lawsuits
  • Tax implications based on the different ownership structures
  • Level of control do you wish to have
  • Expected profit/loss of the business

Tip 4: Surround yourself with a Progressive Team

Who do you need to know or collaborate with as a part of your external team? Having the right people on your team will allow you to focus on your business and help you to avoid costly mistakes. For example, you might need the following:

  • Certified Public Accountant: best form of ownership, establish bookkeeping, record keeping procedures and tax planning, etc.
  • Business Attorney: reviewing lease contracts, determining the right business structure, etc.
  • Computer Information Technician: set up systems, repair issues, etc.
  • Human Resource Management Consultant: assess your current HR processes for compliance, navigate through delicate labor issues, set up hiring processes, compensation and benefits and create employee manuals, job description and Standard Operation Procedural manuals.

Tip 5: Research Licenses & Permits Needed for Your Industry

As you can see, there are many steps involved in starting a business. With the daunting task of figuring it all out, it’s easy to overlook the important legal requirements associated with permits, licenses and registrations. Here’s a list that your business might need:

  • State Requirements: Business licensing requirements may vary from state to state.
  • Business Licenses: Depending on your state, county and city, a business license may be required for tax purposes and to conduct other basic business functions.
  • Occupations and Professions: Depending on your profession, state licenses may be required for occupations such as, appraisers, accountants, barbers, building contractors, cosmetologists, funeral directors, physicians, private investigators, private security guards and real estate agents.
  • Tax Registration: Some states carry a state income tax. If you establish your business in a state that does, you’ll have to register and obtain an employer identification number. If your business engages in retail sales, you will need to obtain a sales tax license.
  • Trade Name Registration: If you plan to run your business in your local community only, registering with the state may be adequate.
  • Employer Registrations: Are you planning to hire employees? If so, you’ll probably be required to make unemployment insurance contributions.

Tip 6: Know Your Clients

A common mistake that I encounter with new business owners is that they don’t know who their customer is… possessing a poorly defined target market. Most want to sell their products or services to ‘everybody’ instead of narrowing their targeted customer base to a manageable size. You must do your homework… i.e., market research. I’ve created a business resource guide to assist you, Resource Guide for Women.

Tip 7: Got Marketing?

In business, marketing plays a key role in getting the word out to your prospective clients. You must create an image and be consistent! It’s important to mold and hone your business image to successfully appeal to your prospects and customers. By choosing a relevant company name, answering your phone professionally, creating a professional and clear elevator pitch, investing in professional business cards, logos and brochures, etc… all are key in marketing your business.

Tip 8: Don’t forget Uncle Sam

Understanding tax obligations is one of the most important issues facing small businesses. The local, county, state and federal agencies does not care that you didn’t know or you forgot to pay your taxes. You will be subject to penalties for not paying on time. Here are some resources to assist you:

  • For a list of state agencies: business.gov/states/
  • For a SBA resource guide by state: smallbusiness3.com/magazine
  • For IRS business information: irs.gov/businesses/index.html

Tip 9: Don’t forget the ‘B’ Word… Budget!

Create a start up budget. Because businesses are different, each will have its own specific cash needs at various stages of development, so estimating your start-up costs may vary. Some businesses can be started on a shoestring budget, while others may require considerable investment in inventory or equipment. It is imperative to know that you will have enough money to launch your business venture.

A few ways to prepare:

  • Create a list of anticipated expenses for your first three years
  • Projections are fine, be realistic

Have a tracking system

QuickBooks, Quicken, Ledger, Excel spreadsheets, I don’t care which you use…. It’s important to put a system in place that works for you. Personally, I use QuickBooks. I can send files to my CPA, easy to work with. In addition, as the treasurer on the board of a non-profit organization, I also use Quick books to reconcile the organization’s bank statements and to bill our member’s annual dues.

Open a business checking account. The worst thing you can do is run your business from your personal account… it is an accountants nightmare. Open up a business account so that you can separate the two… plus it tells others that you are serious and professional.

Tip 10: Put it all together… in a plan!

Last but not least, you must write your business plan. By failing to plan, you are planning to fail. If you can’t take the time needed to plan for the success of your business, then don’t waste your time starting one. Statistics show that 8 out of 10 businesses fail within the first three years. This is staggering but true! Invest your time in researching and writing a business plan. Many prospective entrepreneurs think that a business plan is very hard and tedious. The truth is it’s a powerful tool that can help you plan and achieve business success.

So, what is this thing called a business plan? Well, a business plan is your blue print or what I tell many of my clients, it’s your bible! A business plan defines your business, identifies your goals, and serves as your company’s resume. It will help you arrange strategic alliances, obtain financing and attract key personnel. By planning for success, you will be able to overcome many hurdles that may arise.

A closer look at why a business plan is important:

  • To secure funding, your lender will request your business plan with completed financials. DO NOT approach a lender without having a completed business plan. In his/her eyes, you will look unprepared and too risky. By being prepared, you will have a better chance at securing funding for operations or expansion of your business.
  • It is a great way to test the feasibility of your business idea. By the time you complete your market or competitive analysis, you will have a clear picture of the viability of your idea.

As you can see, there is a lot of work involved before starting a business. To ensure success, it is important to research thoroughly, take advantage of the resources available to you and learn as much as you can. Preparation is key to a successful start!

Sylvia Browder is Founder of National Association Women on the Rise, a virtual membership community for aspiring and established women entrepreneurs. For more about NAWR or resources and information for women entrepreneurs, visit us at http://www.nawomenrise.com.

Best Strategies for Home Based Business – Client Development in 2008

When you set out to develop your Small Business, you first learned some useful strategies to guide you in the right direction. Lead Generation Strategies are your plans of action you want to take to succeed. Setting goals is a great way to get started with your small business.

Still, you must discover what you really want in life. In this guide we will walk you through some helpful tips leading you up the road of success. Keep in mind, many writers have made so called home business help guides. Typically most are full of blind theory I call it. I’m tired of that myself. I felt disoriented and bad advice-ed to utter frustration. And it literally tore a hole in my Corporate account. It can be confusing at first as well. There is so much well meaning advice out there. Rule #1 Listen to people to Actually Do what they talk about. Surprisingly – Many are just “Theory Ridden Egos” selling books and tapes.

To get started you will need to build a Mailing List of Prospective Clients and a List of Clients. With this you must stay in a continuing relationship with them. They will help you immensely with your new client discoveries… Good Advice – Focus on Tested and Proven Lead Generation, Marketing and Promotion strategies. Know your source of info however – There is a ton of Fluff and Ego Based Theory online… I personally use and tweak all of the home business marketing and promotion strategies I share with you.

Typically most home business owners Start Somewhere – They “Fall Forward” I call it, and draw from their results to create home based business marketing strategies to implement daily. Keep in sight that shrewd business people succeed because they consider all facets of home business promotion before stepping into the game. As soon as it is in the home business budget – Get the Proper Lead Generation Strategy as it will Save you Thousands of dollars in “Marketing Bruises”.

Becoming successful with your Small Business depends ultimately on 3 things – A Reasonable Marketing Budget, Persistent and Durable “I Can” Attitude and a Proven Marketing Formula. For more essential tips and secrets on developing your own small business plan – go to the websites mentioned in my resource box below.

Secrets of Successful Business Relationships Online

Operating a successful business is largely about building and maintaining relationships. Sure, your customers are concerned about price, quality, service, etc., but the most successful businesses are those that work to develop a relationship with their customers. Look at Wal-Mart, for example. Do you really need someone handing you a shopping cart on your way in the store? No, but they always hire a nice, elderly type people who smile and says hello to you as you walk in. That’s relationship building!

Truth is people will often pay more for something if they have established some kind of personal connection with the person or persons within the business. Certainly, such relationships lead to repeat business, whether you run a grocery store, a restaurant, a sporting goods store, or a movie theater.

For most of us, it’s not often that we develop substantial relationships with people at the places we frequent. This is due to a number of reasons; maybe the store is large and has many employees and therefore you never really see the same people with each visit, sometimes it’s just a quick stop or perhaps you don’t visit all that frequently. But if you think about it, there are probably places you go often, where you have established some kind of relational bond with someone who works there. It’s that kind of familiarity that keeps bringing you back. And of course, not every place of business can develop an intimate relationship with every customer, but those that try are often more successful than those that don’t.

Building Business Relationships Online

While online businesses lack the ability to build relationships face-to-face, this does not negate the importance of building relationships with your customers–you just have to go about it a bit differently. In part, this is accomplished through your website itself, sometimes through email communications, and occasionally over the phone. Since the website is usually your first point of contact, and therefore the point where you establish your first impression, it’s vital that your website do all that it can to set the groundwork for building a strong relationship. The website can’t do everything for you, but if your visitors come and leave without ever having made even a superficial contact with a person or a persona worked into the site copy, they will leave without having established any sort of intimacy, and therefore no sense of “connection,” with you or your business.

I found the following quote the other day in regard to building relationships with people in a personal sense, but I felt it also applies to building relationships for business as well:

People are insecure; give them confidence.

People want to feel special; compliment them.

People desire a better tomorrow; show them hope.

People need to be understood; listen to them.

People are selfish; speak to their needs first.

People are emotionally low; encourage them.

People want to be associated with success; help them win.

–Pete Vossler

While all of the above are generalities, they do largely apply to most people, regardless of how successful, “important” or how well-known they are. And of course, it also applies to the average Joe and Jane Doe web surfer looking for a place where they feel comfortable handing over their money. So how do you go about building relationships with your potential customers online? Glad you asked.

People are Insecure; Give Them Confidence

It’s easy to buy from a brick and mortar store where you see real faces involved. Even if it’s some 16-year old kid, with numerous body-piercings standing behind the counter, you have confidence that when he takes your credit card he won’t be stealing the numbers. This kind of confidence in the buying process is lost online. My biggest issue with buying products online is the return process if, for whatever reason, something goes wrong. It’s easy to drive back to Target and return something you don’t want. But online, once the purchase is made, the return process is more cumbersome and often results in extra shipping fees.

You need to give your visitors confidence, not only in the security of the purchase process, but also in the quality of your products, their expectations and your policies and procedures in case something doesn’t go as expected. This is most easily accomplished through making sure you have pages on your site that address each of these issues, and clear and obvious links in the places where the customer will be most looking for them. For example, your product pages might need an obvious link to your return policies page–even if that link is already available through the main navigation.

People Want to Feel Special; Compliment Them

Who doesn’t want to feel special? A compliment goes a long, long way in helping to establish that mental relationship. How do you compliment someone you don’t know? Some simply ways are to write these compliments into your content, “You’re obviously looking for quality baby clothing, you’ve made a wise decision visiting our store.” It might sound a bit cheesy, but it works, as long as you don’t go overboard. These types of compliments can also be worked into your email and phone communications.

People Desire a Better Tomorrow; Show Them Hope

Will your products or services make their lives better or easier? You must already believe that otherwise you wouldn’t be selling what you do. So use this opportunity to explain how your products are going to be good for them. Explain how life will be better once your customer purchases what you are selling. Illustrate to them the benefits, not just the features. If you can give your customers hope–convince them–that your product or service will improve their lives; you’ve got a sale in hand without the cost being a significant factor.

People Need to be Understood; Listen to Them

Even before you have a chance to communicate with your clients verbally or via email, are you listening to their needs? Whether or not you listen to your website visitors can easily be determined by your USP, Unique Selling Proposition. What? You don’t have one? Then you may not be listening to your customers needs. Your USP is what makes you stand out from the thousands of other stores online peddling the same wares as you. Why should they buy from you as opposed to someone else? Price alone is rarely the determining factor.

You need to offer your visitors something unique that tells them that you have listened and responded to their needs. Even if you sell the same product or service as others, your unique approach is one developed out of conversations with your customers and seeking ways to find solutions to problems even before those problems existed.

People are Selfish; Speak to Their Needs First

More than anything, people want you to meet their wants and needs. They’re not shopping on your site for your benefit; they are there because they are in need of a solution for X. Your first order of business on your website is to tell the customers how you can meet those needs and what your products or services will achieve for them.

People are Emotionally Low; Encourage Them

For some sites, shopping cart abandonment is astronomically high. Why is that? Primarily because people need to be encouraged to proceed with their purchase. I’ll often start shopping for a book or DVD, have it in my basket, go through much of the checkout process, but just before I finalize the payment I hesitate. In my mind I’m thinking, “should I buy this now?”, or “Will my frivolous spending upset the wife?”, or for larger purchases, “Can I afford this?” Most of these questions surface on an emotional level; sometimes rooted in fact, sometimes not. The bottom line is that a little extra encouragement can help persuade visitors through the selling process.

In fact this very thing happened to me just the other day. I threw a couple of books into my Amazon shopping cart but since I’ve purchased quite a few books lately so I began to think twice about buying a couple more now. Amazon provided the encouragement I needed. By filling out an application for an Amazon Visa card I got something like $30 off my purchase. I was sold and so were the books. You don’t have to give away money to encourage your visitors to make a purchase, but you can re-iterate the benefits of their purchase one more time.

People Want to be Associated with Success; Help Them Win

Everybody wants to feel successful. The funny thing is that people don’t even have to be successful in the larger financial/business sense in order to feel successful in every day life. Success often comes from the little victories achieved here and there. Your product or service may not be able to change your customer’s destiny, but you can help him or her feel that their decision to purchase from you will help them be successful at something.

Selling baby diapers? Your diapers can successfully prevent leakage. Selling batteries? Your batteries can successfully start the car each morning. Selling cleaning supplies? Your supplies can help them successfully clean their house better. Let your visitors know what they will be successful at with their purchase.

The other side of this is that people also want to see that you are successful. Your success–or lack thereof–is inferred by how your website looks, the number of employees that work for your organization, or possibly even the number of clients you have. A business’ success is determined mostly by superficial perceptions. If visitors perceive that you are successful they will gravitate to you based on that alone. After all, you must obviously know what you’re doing if you can afford a great site, X number of employees, to charge outrageous fees, etc. But be careful here as well, success can often create a negative perception of you or your business. You might be considered too successful to be able to give them the time or quality your visitors expect.

If you are able to build strong relationships with your website visitors, even perceptually, this will give you a significant sales and marketing advantage over many of your competitors. Building these relationships alone won’t make your business the most successful in your industry–there are many other factors involved–but relationships are a crucial factor in being able to establish and maintain long-term customers. Every marketing dollar saved by not having to seek a replacement for a former customer that now shops elsewhere is an additional dollar (plus additional sales profits) that can be spent in obtaining and maintaining new customers.

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