Thinking of Starting a Business? 8 Things to Check Before You Register It

I was recently privileged to give advice to young entrepreneurs on what to consider before getting started in business. Starting a business can be very exciting and fulfilling for the involved parties. However, there are lots of hurdles to overcome, (especially by new business owners) before one can begin to make profits.

The newly established business must first be viable and one also has to consider a number of legalities and financial implications. One should also understand that the process of registering a business is only the tip of the iceberg. There are several commercial, legal, financial, and strategic aspects to consider when launching a business venture.

 

These include:

  1. Have a Clear Business Idea and Value Proposition

Before settling on a business name, one must think through what one intends to achieve and what value proposition one will bring to the market. A prospective entrepreneur must think through the purpose of the business and the problems it will solve.

 

  1. Deciding on and Registering a suitable Company Name

The prospective company name should befit the venture, be appropriate and unique, and have the potential to grow with the venture. Therefore, it is important to decide on the most suitable name for a venture and register it with the Corporate Affairs Commission.

 

  1. Identifying your Target Customers

Understanding the prospective market and customers is important. In other words, one must know what one intends to sell and who will buy the goods or services. This can be done by conducting customer research and identifying the characteristics of the target customers, such as: age, gender, location, occupation, interests, etc.

 

  1. Conducting Due Diligence and Market Research

Before launching a venture, it is important to conduct due diligence and market research to ensure that there will be demand for the intended goods or services. This will help reduce risks associated with launching a venture and ensure that profitability is achievable.

 

  1. Develop a Sustainable Pricing strategy

It is important for a prospective entrepreneur to identify the most appropriate pricing strategy for the intended venture. The costs associated with the proposed venture should be taken into consideration when deciding on a pricing strategy. One should also ensure that one’s pricing strategy is realistic, considering the value provided to the customers, the associated costs, and the prevailing prices employed by competitors.

 

  1. Understanding one’s Working Capital and Startup Needs

It is important to understand the amount of working capital and startup costs associated with the venture. Working capital needs should be segregated from startup costs. Start-up costs are the costs incurred when launching a venture whereas working capital is the amount of money required to operate a venture.

 

  1. Prepare for Business Compliance

It is important for a business owner to understand the legal requirements and obligations associated with a venture. These may include: legal requirements and statutory obligations, tax requirements, filing requirements, and licensing requirements. A venture’s legal requirements will depend on its nature, and as a responsible business owner, one should ensure that all legal requirements are complied with.

 

  1. Separate Personal and Business Finances

One should ensure that a business account is opened, and systems are put in place to monitor all business expenses and revenue. It is advisable to separate business finances from personal expenses.

 

Pause a bit, and ask yourself, these few questions…

 

What need am I addressing? Who will pay for it? How will I make money? How will I remain compliant? How will I compete? And how will I grow?

A venture should not be launched or registered just for the sake of having it. It should be strategically planned and positioned to serve a purpose and make profits.

 

Are you considering starting a new business, registering an existing venture, restructuring, or growing your business?

 

At D’PSR International, we offer end-to-end business development and advisory services to entrepreneurs and businesses, from inception to compliance, strategy, and growth.

 

Let’s help you grow your business by building a solid foundation for it to grow and scale strategically and profitably. Do you need a Business Development Consultant to discuss with, book your free consultation now by commenting “YES” in the comment section below.

 

Mr. Babatunde Karunwi
Business Advisory Consultant
WhatsApp +234 802 875 4741

The Promotion He Didn’t Get

While personal development skills can benefit all parts of your life, these particular practices may be useful in the workplace and help you advance your career:

I remember the story of a young professional I read some years back. It was an inspiring story that made me to appreciate and become an advocate of personal growth and development.  The word of John C. Maxwell, “Character shows that who you are and who you appear to be are one and the same, and that is the first key to greatness.”

Tunde was the technically competent worker in the department

He delivered,

He performed,

He gave more than those of his level,

He was the best,

But on the day the promoted list was posted, he was surprised not to find his name on the list of those promoted. He then asked why the person junior to him was promoted instead of him. He was told, “Being good at executing requires positive character, influence, emotional intelligent, and strategic thinking. It got him thinking and opened the need to develop; to develop his character, influence, strategic thinking, and leadership. He worked on his communication, influencing skills, leadership, and strategic thinking. He was a good communicator, manager of people, and a strategic thinker. He invested in himself and was not only rewarded for his efforts but was also promoted.

Lessons

Character plays a very vital role in how far one can go in life

Competence gets you hired, but skills such as leadership, influence, emotional intelligent, strategic thinking, and others help you rise higher while delivering.

Hard work is important and will see you go far in your organization. However, without visibility and influence, it will not take you as far as you want. Develop beyond your functional area to influence, add value, and contribute beyond your specialty.

However, despite all the above, corporate politics are not in our control, although we should do more to develop our areas of improvement.

Which of the lessons resonated with you most?

Let us know by commenting in the comment section below. And if you are ready to take your leadership, strategic thinking, and personal growth and development journey and leverage our coaching and capacity building to make better decisions in your business, career, or general life, you should reach out to us.

 

Coach Babatunde Karunwi
Lead Coach, D’PSR School of Development Lagos, Nigeria
WhatsApp +234 802 875 4741

 

Read Also:https://dpsrinternational.com/the-day-my-strategy-failed-me/