Top 5 Tips for Setting Up your Own Business
by Natasha Christou Digital Marketing ConsultantAs many business owners know, there is a
lot that can go wrong when setting up your own business, hence why it is
probably one of the most challenging tasks. In the private sector in the UK,
there were 5.9 million businesses at the start of 2019. Over 5.8 million of
these were small businesses of up to 49 employees. This is a 3.5 per cent
increase on the previous year which shows more people are deciding to start
their own business.
Sadly, approximately 20 per cent of
start-up businesses fail in their first year, with half succumbing to failure
within five years. Preparation and meticulous planning are crucial if you want
your business to have a chance of success. So, what should you be thinking
about when setting up a new business?
Here, with LPG suppliers, Flogas, we’ve
narrowed it down to 5 top tips for starting your own business.
Energy
Do you know how much energy you will use in
your business? Do you know the type of energy best suited to your business at
cost level? Natural gas and LNG
are quickly becoming popular choices.
This way businesses are also being conscious about harming the environment too.
In 2018, 31 per cent of businesses used natural gas — four per cent up on the
previous year.
Be wary when choosing your energy supply as
your costs can soar if you choose the wrong supply. The Big Six energy
suppliers are starting to lose their grip on the UK energy market, so make sure
you shop around and choose a deal which will most benefit you.
Location
Location is another extremely important
factor when setting up your own business. Have you thought about all the
logistics and key factors? Often, people will choose a handy location for
commuting which comes at a low cost. However, this doesn’t necessarily mean
it’s the best fit for your business.
Who are the main users of your services going
to be? Will most of your footfall require walk-in traffic or a more
professional set-up to meet clients? Even the best managed businesses can fall
by the wayside because of poor location.
Other factors you should consider before signing on the dotted line for
a lease include:
- Previous receptiveness to a new business within the location
- Accessibility
- Location of competitors
- Local incentive programs for start-ups
Insurance
Another essential factor is insurance. Even
if you plan on going it alone and being self-employed, you must have the
relevant insurance or you could find yourself failing before you even start!
On the other hand, this doesn’t mean you need
business insurance – this depends on your particular business. However,
employers’ liability cover is mandatory in the UK. It’s important you do your
research into your insurance policies to make sure you are fully covered in all
the relevant areas. But, like your energy supply, make sure you shop around to
get the best price and option for your business.
Online
Ensure you have a strong online presence. In
2018, only 60 per cent of UK businesses were using social media for brand
awareness, with this figure slightly dropping when looking at small businesses.
This means that they are missing out on potential interaction that can in turn
lead to a conversion. Research has found that 39 per cent of social media users
learn about products and brands on this platform. Also, 77 per cent of us feel
an increased feeling of brand positivity when a business personally responds to
a social comment.
Without a strong online presence when
starting your own business, you could be alienating a whole sector of potential
clients and consumers. It’s a cost-effective method to market your business and
improve brand loyalty from the offset.
Disregarding social media will also look
unprofessional. This will ultimately lead to not reaching your potential.
Ensure you do your market research and utilise the platforms most suited to
your venture.
Management
As you will probably be hiring a team of
employees — or even just a sole member of staff — therefore it’s important to
brush up on your managerial skills. You may think you know exactly how to deal
with people, but often this isn’t the case. Studies have found that half of the
UK’s workers quit due to poor management. Worryingly, nearly one in five of us
claim to lack trust in their boss, while 28 per cent believe their line manager
is their ‘work enemy’.
You should also have good management
tactics as this can help you build a strong workforce and build foundations to
a successful team immediately. Good team management will spot any weak areas
and quickly resolve them. It will also ensure employees feel involved and
respected. Before you start your company, why not look into techniques that can
benefit you going forward?
To conclude, setting up a new business is
never going to be easy and there are bound to be bumps in the road. Following
these five steps and ensuring you have this covered is a great way to give you
a push to success. Of course, there are a lot more factors need addressing, so
be sure to fully prepare. After all, if you fail to prepare you should prepare
to fail!
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Created on Jan 21st 2020 06:13. Viewed 341 times.