Successful entrepreneurs must not only have a good idea but also a realistic plan and mobilize their team to achieve their objectives. They must also be able to deal with concrete problems and effectively market themselves in a competitive environment, making vision a crucial part of the business strategy.
1. Identify the appropriate market
Ideally, you should target a young, rapidly expanding market with your goods or services. To stand out in more established industries, you’ll need a competitive edge, such as innovative products or services, excellent customer support, or the ideal pricing point.
This means that in order to define your potential market, you should first engage a specialized research organization to help you obtain as much information as possible about your competitors’ strengths and weaknesses and the amount of time it will take to develop your product from the ground up. Remember that you won’t be closing any deals at this time.
2. Assemble the appropriate support network
The management team should have complementary skills, and leaders should recruit top experts for each area of operations. Hiring someone with greater experience than you has to be a priority. Consider outside resources, such as technicians, salespeople, managers, lawyers, accounting firms, and marketing or public relations help, as they will be essential for practical support.
If a board of directors isn’t feasible, a strategy committee can be formed to have an expert as a sounding board for business decisions. With the rise of advanced technology, incubators provide various types of assistance. However, the true test lies in the market, and hiring marketing specialists is crucial for efficient customer reach and business success. Marketing is often overlooked but is vital for any business’s success.
3. Consider the path that lies ahead
To achieve long-term objectives, create a list of factors to consider in the immediate and medium term, especially if you anticipate rapid growth. Explore options like purchasing or leasing premises, furniture, and equipment, and consider outsourcing operations like human resources, to manage growth effectively.
To achieve growth, consider factors like energy, resources, raw materials, salaries, financing, and technological needs. Assess your growth potential and think big. For niche markets, consider exporting to become profitable. Check with national, provincial, and regional export support services, such as those offered by Canadian trade commissions in other countries, to understand your exporting potential.
4. Organize your finances
Start-ups often receive financing from their founders’ savings and family and friends. However, they may need to seek outside capital from private investors, venture capital funds, assistance funds, or social economy funding agencies. It’s crucial to research and understand investors’ expectations to avoid premature closures. BDC offers customized solutions for businesses with high growth potential, so it’s essential to consult with them about your start-up financing needs.
5. Make good use of your time
During the initial stages of establishing a company, there may be periods of slower business. To capitalize on this, consider networking strategies such as participating in business plan contests, attending trade shows or exhibitions, and joining a business organization or professional association. These strategies can help you stay connected and gain valuable experience during these downtimes.
6. Tighten up the details
A company’s existence is governed by numerous technical rules, including legal form, accounting system design, compliance with labor practices, occupational health and safety regulations, and training. Starting a company in one’s own name, forming a registered partnership or incorporated company, or forming a cooperative or not-for-profit organization are all options. If multiple partners are involved, a shareholders’ agreement should be drawn up to establish a mutual code of conduct.
To avoid infringing on another company’s rights, it’s crucial to patent your ideas or protect them with a copyright, registered trademark, or trade secret, as this may be the case with the Canadian Intellectual Property Office.
7. Present a business-oriented strategy
A business plan should be concise, specific, and accurately describe your project. It should be written by you, and expect multiple rewrites before reaching a final plan. Seek assistance from experts like accountants, lawyers, or experienced entrepreneurs. Remember that a business plan is more than just an accounting document; it must effectively sell your idea to potential financial institutions.
