You want to start a small and profitable business but you have no idea where to start? Here you’ll find 8 steps that can help you make up your mind.
Step 1: Motivation to start the entrepreneurial challenge
In this case, when starting the basis of a small and profitable business you must be motivated.
This motivation is positive, because it allows you to have a vision of what you want to achieve in the future.
Sure, we are talking about a small business, but then it can become a big business and then very big.
We have to have confidence in ourselves, to be sure that we will crystallize what we set out to do.
To say at every moment “I can do it and I will do it well”.
Persevere until we achieve it, always motivated.
It is a question of attitude, of being sure that you will achieve something good.
Step 2: Ask yourself: What do I want to achieve with this small business?
Before you even decide what type of business to choose, you must know what you want to achieve, and I say this because not all of us want to undertake for the same reason:
- There are those who want to start a small business to grow into a big business. For example, start as a freelance writer and then have a big Digital Marketing company.
- Others just want to get resources to do something very different from their small business. For example, start with selling homemade candy to raise enough money to travel to Europe or anywhere else in the world.
Determining this is important, because you will know how far to project your business.
So right now I want you to choose one of the 2 options:
Do you want a business to get some resources? Or
Do you want a business to grow into a great company?
As we move forward, you will realize how important it is to answer these questions.
What should you consider before deciding on a particular type of business?
Step 3: Select the small, profitable business you want to work with
If all you want is to earn a few Euros, try to select something you like. We never know if you’ll change your mind as the days go by and want to reach a great company!
But if you want to have that great company, it’s almost mandatory that you choose something that you are passionate about or at least that you don’t dislike.
I say this because it’s possible that what you love is just doing business.
So, maybe the industry you want to be in doesn’t matter much to you and you don’t like it.
Step 4: Building an entrepreneurial team
Since your goal is to start a small and profitable business, you will probably think about going it alone. It’s definitely your decision.
But I recommend a Plan B, working with other people, maybe one or two at the most, if you don’t have a big budget.
That way, you can get more done together, as long as you feel the same way: desire to do well and get positive and productive results.
This way they can unite dreams and crystallize them with greater intensity.
That way, you two or three will not be forming a work team, but, something more important: A Team of Entrepreneurs.
I also recommend you to become an autodidact.
Read, take courses, meet with people who know and share their knowledge and experiences about marketing, entrepreneurship, business ideas and other aspects that will be useful for you and your entrepreneurial team.
And put them into practice… Something good has to happen.
Step N° 5: What you have to do to start a small but PROFITABLE business
No need for a superstudio here. No!
It’s just a matter of being realistic and seeing if the business you selected above will generate revenue.
For this it is important that you do some research and see if people are willing to buy your product or service.
You can do surveys, visit similar businesses to see how much they sell, study statistics made by professionals, etc.
You can also contact us, do our courses or courses of others…
I mean, there are a lot of options you can take…
Think before you act
In case you keep researching about profitability and find that it is not good at all, go back to the previous step.
But if you want a big company, we need to look a little further. Here it is not necessary for the business to be very profitable at the moment.
So we’re aiming for the future. If it’s profitable in the medium and long term, that’s enough.
However, my recommendation is that you be aware of what to do at each stage. In the first phase the objective is to survive.
So, selecting something that is not profitable at all at the beginning but is profitable in the long term is not the idea.
Unlike the first case, you don’t need to earn a lot of money right now.
But we also don’t have to get to the point where we offer something that no one will buy at all until we have a lot of mileage.
In other words, if you decide to do something in the long term, it doesn’t have to mean that you won’t be profitable in the beginning or a little later. Watch out for your treasury, which is your fuel.
Step N° 6: The Business vs. the Entrepreneur
When projecting our business, it is necessary to define the key instruments that will allow us to develop it, in order to focus on them.
If we have a clear model, let’s go ahead and look for the pieces of the puzzle that will lead us to assemble it without problems.
In this way we gain energy, resources and ideas. Let’s get to work.
And to continue learning how to start a small and profitable business, we can move on to see what our project requires to make it work properly.
Once this is done, we must compare it with our capabilities and resources.
In simple words, we must know what we will need to start our small business. This mainly involves 3 types of resources:
- Human resources.
Whether or not you have these resources will depend on your particular situation. You may have the economic resource, but you are alone and do not have the human resource.
Or the opposite, you are part of an entrepreneurial team, but you have neither money nor technical resources.
I insist, each entrepreneur is a unique case, because it presents diverse situations and, according to their reality, their challenge will begin.
Each entrepreneur has his own reality
You must be clear that there are no rules that state that the process of starting a small and profitable business must be one way or another.
Every entrepreneur has his idea, his resources, his planning and then, in his own way, he will have to carry out his execution process.
Remember that your motivation and positive attitude are important to achieve your company’s goals.
That’s true, but another great truth is the satisfaction you feel when you undertake something you are really passionate about.
It’s the ultimate. Every achievement is greatly enjoyed and problems are minimized without major setbacks.
Step N° 7: Ready? Starting a Small and Profitable Business
Did you solve the problems that came up?
Are you ready to start this step?
It’s time to start your small, profitable business.
If you’re on your way, you see that you’re missing something, you’re still not afraid.
Along the way you will see that things get better, because every day is a new experience and you will have in mind that you will not repeat the same mistakes of yesterday.
Perhaps you will live moments of discouragement, regret, reluctance, disappointment …
But these are times, try to look for positive thoughts and support from the team of entrepreneurs.
Everything will get better as the days go by. Keep your spirits up. Remember that dreams come true with perseverance.
Of course, it never hurts to seek advice from the most experienced entrepreneurs during those difficult times.
A word of encouragement, advice, guidance in time, never hurts. It helps immensely and is appreciated with the same intensity.
Step N° 8: Promoting your small and profitable business
Advertising and promotion is essential to project your products and/or services and, in this case, your business.
However, each case is unique. It is not the same as promoting an ice-cream parlour or an office cleaning business.
In the first case, there are entrepreneurs who invite their family and friends to try all the flavors of their ice cream, with the aspiration that they be promoted by word of mouth, as one of the advertising options.
That could not be done by the one who set up the small company to clean offices.
It is probable that their alternative of projection is the elaboration of flyers or business cards and to give them in the goals of the buildings of their sector.
In short, the path in this promotional process will depend on the type of enterprise.
It is up to you to choose the option that best suits you, especially the one that suits your business.
- To undertake a project that you are passionate about is great, especially if your goal, in this case, is to start a small, profitable business. That desire will be your motivation to undertake. This will make it easier to define what kind of business you want and what you want to create it for.
- You must be clear, in the early stages, that you can invest a lot of money and time in the search for future profitability. But you must not lose your way, since it is also necessary to obtain some profitability now, because the worst thing is that you will run out of money and you cannot continue with the business.
- Alone or with a team of entrepreneurs, the commitment is: to work, to prosper and to achieve the goals. To crystallize the projects is fantastic.
- Try to have the monetary, technical and human resources. There are cases that you have one and others that you don’t. Do not be discouraged. As you go along the way, you will solve the problems.
- Promote your company through social networks or other advertising channels. Each entrepreneur will have the alternative that best suits his business. This is a modest start to what will come when your business grows.