New Entrepreneurs: 3 Questions to Answer Before Another Day Goes By

Are you a new entrepreneur or hoping to become one soon?

Remember that every successful business started with a good idea. Pizza Hut started with a single store and is now a massive chain. Richard Branson started by selling CDs by mail order and is now one of the world’s most successful businessmen. If you are one of today’s new entrepreneurs—or if at the moment you just have dreams of starting your own business or building your brand—then there are some questions you need to answer for yourself before another day goes by.

1. What Kind of Business Do You Want?

Many new business owners start by purchasing a franchise so they can learn from those who already know and build on an established brand name. The consumer trust is already there and customers already have an idea what to expect. There is little mystery from customers’ point of view. However, it is important to maintain their trust and provide high levels of customer service. The franchise name alone won’t sustain customer loyalty.

Then, too, franchises can be expensive. If you want to make your own mark in the world of business then you might prefer to start your enterprise from the ground up. If this is the case, you will have to do all your costings, plans, projections and premises sourcing for yourself. It will be a lot of work but if you’re smart and work hard, you can make a success of it. And success can be incredibly rewarding.

2. What Industry Do You Want to Go Into?

This is an important consideration because it will affect how much you can make and your staying power. Not only that, but the industry you choose to go into will also determine who will be in your target audience.

Whatever industry you choose, you need to be passionate about it, because even with great planning, it won’t all be smooth sailing. However, if you are a passionate and believe in what you do then you will be committed, and it will be easier to attract enthusiastic customers and clients.

Never choose an industry purely because you think it will be profitable. It might take a while to build momentum and you could end up in the same field for several years.

3. How Will Your Business Stand Out in Your Field?

New entrepreneurs often think their business should be the same as other companies in their industry. Of course, you should model your business after others in terms of price, services or products, and location. However, you want your business to pull ahead of the pack. Get some ideas for making your business stand out by using the services or buying the products of a few businesses similar to yours.

Make notes of what you liked and didn’t like about your purchases. Think about ways you could improve the service or products the other businesses offered and what you would do differently. Be discerning and then work out how you can make your business attract and keep customers.

Were the staff attentive enough? Were you happy with the prices? How was the quality? Did you get the information you needed? Did their product or service meet your expectations? If they gave you more than you expected, think about why they did that. Or, if they gave you less than you expected think about why they did that. Putting yourself in your customers’ shoes will help you make more informed decisions.

Finally, once you have answered these 3 questions to your satisfaction, it’s time for you to do some of the asking, too. Most likely you’ll be asking for funding, for instance. It is also a good idea to consult a business attorney to see what legalities are involved. New entrepreneurs often need expert advice in multiple areas, so don’t be afraid to ask for help.