1. It all starts with an idea: Is yours a good one? You need to be able to easily explain your idea (product or service) in one or two sentences, because that’s all you’ll get to “sell” it to customers, investors and the media. If you can’t, either work on a simpler way to describe it or come up with a new idea.
2. Determine whether or not your idea is new.
There are generally three possibilities: It’s been done but there’s still demand; it’s been done and the market is saturated; or it’s never been done. You can be successful in any of these scenarios if you know where your idea falls and you strategize appropriately. Search keyword phrases to see if what you have in mind already exists. If you come up empty, there’s either no demand or it’s never been done before. If it’s been done, search for competitors and see what they’re doing and how you might innovate to provide something even better.
3. Create a list of what you need to plan. It might be a series of questions. The answers will be the basis for your business plan. They might include, but are not limited to: What are you going to sell and for how much? Will you make or buy the product? How will you package and ship it? Will you ship internationally? How will you communicate with customers? Will you hire a bookkeeper? Take time to make each decision and, soon, you’ll see your business taking shape.
4. Name your company. Naming the company after your product or service seriously limits future expansion (remember, it’s important to think ahead). Naming it after yourself or giving it a one-word, made-up name lets you expand into other products, services and even industries. It also provides a common denominator that ties everything together. If you think you may eventually sell the company, go with a made-up name. Double-check the U.S. Patent and Trademark website to ensure the name—even if it’s your own—isn’t already trademarked.
Renae Christine is the owner of By Renae Christine, which has launched several successful businesses. She’s known for her popular YouTube videos (search Rich Mom Business channel). She recently published Home Business Startup Bible ( www.richmombusiness.com ), is the founder of the Rich Mom Business University and co-hosts the online TV show, “Funny Stuff and Cheese.”
