Starting a Business in 2020: Where to Start Your Thinking and Planning

One of the most common questions I’m asked is how to take the massive amount of information out there and use it to start and run a business. The truth is, there is no right way. You can get stuck in a place of learning and never move fast enough to building. The most important thing you can do is get started. You don’t have to have all the pieces just right to achieve this but there are a few areas you’ll want to focus on first.

Know the Important Steps

There are a few important steps to getting your business off the ground. Here’s what I recommend as a starting point:

Evaluate yourself, including why you want to start your business, what skills you have, and what you can afford to spend on your business.
Create a business idea that really offers something different from the competition, whether it is a new product or service, a better approach, or a solution to a problem.
Do your market research and gather key feedback about what you’re creating before you move forward. You want to ask questions, listen with curiosity, and be open to suggestions.
Structure your business legally. This should include setting up the business structure, registering your tax ID, and setting up business accounts.
Then, create your business plan. A business plan is an invaluable tool for creating a clear way forward.

Get Set for the Road

Even if you spend hours upon hours working on your business and learning everything you can, there are going to be ups and downs to this process. That’s why it is critical to meet the psychological toll of business building. You need to have determination but also realistic expectations of what is to come.

Should You Trust Your Gut?

In the times we are currently living in, it can seem nearly impossible to do anything without data. It’s true that data is an excellent way to minimize risk, but you should not be afraid to trust your gut and go with what you know. You are going to run into problems along the way but with the ability to trust in your expertise, you can make critical decisions.

Get Your Money Straight

Here’s the bottom line. To be successful, you need to build a profit-centric business. Even if your idea, app, or service is fantastic, if there is no clear profit path, it is doomed before it can even start. Be sure that you have a financial plan in place to handle those lean times and, if you do not have a backup plan, get that in place first. Once all that is in place, be as frugal as possible. It’s best not to spend money on things that do not create a profit point. You want to invest in things that drive profit in your business.

When it comes to building a business, just get started. Take it day by day and don’t get lost in the “what ifs” that may be lurking around the next corner. Cross those bridges when you get there. Just focus on the here and now.