What You Should Know Before Starting A Business
Before starting a business and leaving you well-paid job, you want to make sure you have the best knowledge and understanding on how to build your business and 6 figure future income.
Check out the four steps below that will make your life so much easier when exploring what it takes to become successful as an entrepreneur while still having your salary and other company benefits supporting you.
4 Steps To Follow Before Starting a Business & Leaving Your J.O.B.
Step # 1: Validate
Before you decide to leave your corporate life or your J.O.B. you must first validate your business idea. I cannot stress enough the importance of actually filling an existing need in the marketplace! Your home-based business idea MUST solve a problem, fulfill a need, or satisfy a want of your target market. I see many entrepreneurs who have an awesome business idea, leave their job, and create a business only to find no one is interested in it. Spending countless hours and investing your hard-earned money developing a product of service only to find out no one is willing to take out their wallet to pay for it can be devastating!
>> Related Article: 20 Home Based Business Ideas For Moms
There are many ways you can validate your business idea before starting a business to make sure it fits your lifestyle and passion.
- Send Out a Survey to your target market. www.SurveyMonkey.com or www.Wufoo.com are great tools for this.
- Presell your business idea or service before full development. I did this with the Sexy, Self-Made, Success Club. If people are actually pulling out their credit card to buy what you have to offer you are good to go!
- Create a Focus Group of about 6-10 participants (or as I like to think of them, potential clients). You can ask questions, gather feedback on price points, marketing, and packaging.
Step #2: Line Up Your Prospects
Once you validate your business idea your transition from your J.O.B will be a lot smoother if you have prospects lined up or purchase orders for your products. Better yet, contract signed!
- Email Everyone You Know and let them know “You are so excited to share with them that you birthed your home-based business idea and these are the services you offer….” Please ask them to think about who they know that could possibly use your services. You may think it is assumed that you are asking them to make an introduction but not everybody understands that, so you may want to simply say…”If you know anyone that would benefit from …., would you please connect us?” In appreciation for any new business, this leads to I have a referral program (explain what compensation or affiliate program you offer)
- Make a Target List of 20 Ideal Prospects and create a marketing campaign to land them. Actively working on 20 prospects you are bound to close some sales!
- Connect and Create Alliances with other people and businesses that compliment your business. This was truly one of the keys to my multiple 6 Figure Success!
Step #3: Get Your Finances in Order
- Make Large Purchases Now While Still Employed. If you have any plans on making a large purchase in the next couple of years it is best to do it know when you still “look good on paper! Some entrepreneurs and home-based business owners forget that banks like to see that steady paycheck rolling it. Even if you are able to pay your obligations It is much easier to prove you can pay your obligation by showing your steady corporate income.
- Have Enough in Savings in your home base business idea fails. We never want to believe that our plan A may fail. But the reality is without proper guidance and direction from a Mentor someone who has walked the talked that most small businesses fail. You need to make sure you have enough money saved to fund your startup as well as have money in reserves just in case it takes a little longer for your business idea to take off than expected.
- Create a Business Plan with realistic financial projections and a budget. It is a good rule of thumb to always budget 30% over what you actually need. There are always unforeseen expenses as a startup.
Step #4: Build Your Team
Whether that means outsourcing services you need to support your business. Or possibly bringing in extra hands at home whether that means a personal assistant or a housekeeper to free up your time on your business. Building your team for your business also includes establishing or joining a mastermind of other success-minded women who are on the same path to 6 Figures and beyond. Here is a blog post about how I delegate so I can focus on my true genius.