It’s quite common that people confuse managing a company with starting up a business. That’s why this article focuses on defining startups.
Starting up a business refers to the ability and disposition to perceive, create, and take action; an ability that stems from combining a creative act with an effective, efficient action. This means that entrepreneurs are those who build a company from the ground up and face multiple challenges while doing so.
What’s the Difference Between Entrepreneurs and Businessmen?
The difference lies in that businessmen don’t necessarily found a company, although they can buy it, while entrepreneurs create markets where none existed previously.
Setting up a company requires passion, motivation, perseverance, and sacrifice.
Startup Development Stages
- Identify a need
- Come up with an idea
- Turn that idea into a business
- Draw up a business plan
- Create a company
When going through these stages, it’s important to devise a business plan that sets forth a series of factors, such as the characteristics of the products or services to be launched, the analysis of the venture’s feasibility and profitability, a marketing strategy, and all the criteria necessary to grow the company.
A business plan comes in handy to map out a given strategy, identify risks and opportunities, and know-how to sell your idea to both investors and customers.
The Two Ways to Start a Business
There are two ways to start a business:
- Developing products or services that already exist or that were designed previously.
- Innovating new products in response to a need that hasn’t been satisfied yet.
Startups have become incredibly popular due to people’s desire to find a balance between their personal and work life. Entrepreneurship is a decision that must be made carefully keeping some tips in mind.
Quick Guide to Successful Startups
Don’t prioritize money
Startups have pros and cons. If you decide to set up a company just for the sake of profits, the entrepreneurial path won’t be easy, and certainly not the best option, for you.
Implement a plan
Before starting a new business venture, it’s advisable to formulate a plan to determine whether it is viable or not.
Delegate if you’re growing
Build a talent network that can take on tasks in which you don’t specialize.
Know your added value
Regardless of the field you choose to work in, competition will be fierce. That’s why you must be able to identify what sets your business apart from the rest.
Make a list of all the things at which you excel and which can bring added value to customers.
Study your target market
It’s essential to identify your potential customers and the audience that best fits your services or products. This way, you won’t lose time with leads that are not your target.
First-time startup founders are very likely to make mistakes. Here are some you must definitely avoid.
Startup Mistakes to Avoid
Skipping the planning phase
Starting to operate in the dark can lead to future problems.
Underpricing your products or services
Selling at too low a price is a common mistake of first-time startup founders.
You must take into account that it’s always harder to raise prices than to lower them. Therefore, you must study your competition to find out what they’re charging and compare the value they’re bringing to the table with yours.
Through this research, you will be able to determine a price point that proves profitable for your business.
Remember that your products won’t sell themselves. You need a strategy that allows customers to identify your products or services, as well as a dedicated marketing, advertising, and branding team.
Overspending at the start
It’s crucial to budget for your startup expenses and make sure not to be burdened with substantial debt.
Setting unrealistic goals
Establish goals that you can reach in the short run; otherwise, you’ll end up with a feeling of frustration rather than with profits.
4 Characteristics of Successful Startup Founders
Successful entrepreneurs are characterized by:
- Being passionate about what they do.
- Having a clear vision of what they want to achieve.
- Knowing their business plan inside out.
- Having sufficient funds to get their business up and running.
Wondering what kind of business to start?
There are plenty of options out there, but call centers are one of the most thriving businesses.
Although building a contact center may seem like a difficult task that can cause you to incur great expenses, the reality is quite different.
Begin Your Entrepreneurial Journey with Nuxiba
CWT by Nuxiba is specially designed for meeting your software and telephony needs in a simple way.
This business proposal is aimed at entrepreneurs who want to start up a call center. With CWT, you can operate with a handful of agents, ranging from one to seven.
Nuxiba believes in you and your business. We want to see you grow and be part of all your achievements.
Request an expert consultation and learn more about this service.