Launching a Business? Five Critical Criteria That You Need to Review First!
We sincerely applaud anyone who decides to pursue their dream of running their very own business endeavor! There are a plethora of resources out there to help you get your business off the ground, including yours truly (that’s us). As one of the UK’s top company formation agents we provide the widest range of services to support your company’s growth before, during, and after the company formation process.
Even with all those resources available to you, starting a business can be an expensive venture, whether it’s a brick-and-mortar store with significant overhead costs or an online business that requires human capital (i.e. you and your time).
So, it’s imperative that you do your due diligence to proof-check the viability of your business before you decide whether to launch that dream startup. Here are five quick but super effective tips to help you do just that:
A Unique Value Proposition (UVP) is what differentiates a business, and every business should aspire to have at least one. That is not to say that the prerequisite to opening a new business is inventing something entirely new! But what it does mean is that in today’s uber-competitive market, you should carefully consider what your key points of differentiation will be to ensure that you stand out from the rest. And remember, your UVP can be features that do not necessarily incur costs! Offering unparalleled customer service and personalized experiences are just a couple of examples of how you may choose to differentiate your business from others.
Some of the most successful businesses provide a product or service that addresses a gap in the market. What problem will your business solve, or improve upon? If you are addressing a need – whether that’s solving a problem for individual consumers or for other businesses – that’s one sure-fire way to know that you’re on to something special!
It’s all well and good having your squad cheering you on at every turn. In fact, it’s necessary! When it comes to weighing up the viability of a business endeavor, however, what you need is brutally honest and candid feedback about how good your product or service truly is. This can help you not only gauge the feasibility of your business but also get useful intel about what may need to be tweaked before going to market, potential issues, and opportunities that you may be blind to.
Naturally, whatever your business offers, you will not be operating in a vacuum. So, you want to be diligent about assessing all the factors that will affect your operations – how large is your target market, what will your geographic coverage look like, how many competitors are there in the market, what market share do they each hold, and what proportion does that potentially leave for you to own? These – and other market-related questions – are imperative in gauging the viability of a new business.
As we briefly mentioned in Point 1, businesses tend to need some amount of capital investment, with some businesses needing more than others. So, consider what your options are for raising that capital – will you be relying on savings, getting a loan, venture capital, friends and family, a mixture of some or all of the above?
Your source of capital is also likely to be affected by how much capital you need. While friends may be willing to lend you some financial aid, tens or hundreds of thousands of pounds (or dollars) may require you to find some alternate funding.
So, when you’re ready to officially register your business, 121 Company Formation is here for you with a wide range of packages starting from just 15.95. But before you take that official step, be sure to do your due diligence, starting with these 5 key checkpoints to weigh up the viability of your business.
About 121 Company Formation
121 Company Formation is one of the UK’s leading online company formation agents. We have helped over 50,000 entrepreneurs register a company in the UK. We offer the most comprehensive range of services including company formation packages that start at just £15.95, administrative, accounting, and bookkeeping services to support you and your business before, during, and after the incorporation process.