Start Smart: A Five-Phase Guide to Starting Your Business

This guide is for those thinking about starting a business or in the very early stages. You, my friend, are standing on the platform to greater things, and before you leap, I want to share some essential advice for your journey into entrepreneurship. Starting a business is exhilarating, and I want you to enjoy it as much as possible. If you start off the right way, you’ll be more likely to enjoy your journey rather than caving under the stress and chaos that consume so many entrepreneurs.

Here are 5 essential steps to ensure you take the smart approach to starting your business. Actually, the steps are more like phases because each one will require several decisions and actions to work through. I’d also like to note that you set the pace and timing for progression through these phases. Don’t pressure yourself to rush through them in a day, a week, or even a month. The most valuable things in life take time to develop

The decision to start your own business is a big one. Being your own boss, setting your own rates, doing the work that matters most to you…what could be better? But before you can enjoy those benefits of entrepreneurship, you have to invest your blood, sweat, and tears, plus your time and money. It’s not an easy journey, but the destination is worth it. As an entrepreneur, you are solely responsible for the success of your business. It’s your vision, no one else’s. You’ll have to do things you’ve never done before, step out of your comfort zone, absorb new information, research, and process data.

The point is, starting a business is a commitment that you have to be willing to keep even when things are difficult and don’t go the way you thought they would. Be passionate, be excited, and be ready for the marathon, not the sprint. When you’ve decided that you’re ready to commit for the long run, your next best move is to prepare. Winners don’t win races without preparation. Prepare yourself for the road ahead with my course, Cultivate Your Calling. Learn everything you need to know before you launch.

Before you do anything else, you need to think through every aspect of your future business. If you’re looking for funding or investors, then you would do this as you write your business plan. For now, you can start with the fundamentals: who, what, where, when, why, and how. Then, break each one of these down into smaller questions. Here are some starter questions for you to consider:

• Who: Who are you (your background, your expertise, your unique selling proposition)? Who are you doing this for (your target market or niche)? Who is your company? Your business is its own entity. Define who it is by writing your vision, mission, and brand statements). Who’s on your team (will you get started solo or get others involved)?
• What: What are your products? What are your services? What are the features and benefits of each? What are you going to charge? What do you need to get started? What makes you different than your competitors?
• Where: Where will you operate from? Where will you deliver your products or services (local, virtual, national presence?) Where will you market? Where will the funds come from to start your business? Where do you want this to go (side hustle or legacy)?
• When: When would you like to launch? When will you work on your business (schedule time to develop)? When will your operating hours be once you open? When would you like to transition from full-time employment to full-time entrepreneur?
• Why: Why are you starting this business? Why are you the right person to lead this business? Why should customers choose you? Why is now the right time? Why do your services matter to your ideal clients?
• How: How will you deliver your products or services? How will you keep track of your sales and business expenses? How will you communicate with customers and manage those relationships? How will you manage your business along with everything else (family, self-care, employment)? How will you stay organized and on top of all your orders or projects?

By taking the time to really think about and answer the fundamentals, you are building a foundation for success.

There are many, many decisions you will need to make between now and the time you launch, and this article does not cover them all. However, once you reach a point of certainty around your vision and answer the questions above, you’ll be ready to start making things real. Here are a few things to do when you get there:

a) Choose your business name. Once you have chosen your business name, lock it in by checking availability and registering with your Secretary of State. There are two approaches you can take here: 1 – Reserving your name will hold your business name while you continue developing your business so no one else can snag it up. The fee for this filing is typically lower than an actual business registration. 2 – Registering your business makes the business entity real and official, either by establishing the LLC through filing Articles of Organization or creating a corporation by filing Articles of Incorporation. And you don’t need a lawyer to complete these forms. Instructions are provided for each and, unless you have very unique circumstances or legal concerns, you can do this completely on your own.

b) Secure your domain name (e.g. www.yourbusinessname.com). Once you’re sure of the name you want for your business, the next step is to find a domain name that will work. It’s hard to come by the perfect .com these days unless your business name is rather unique. So be creative and be open to other extensions (.biz, .shop, .co, .net). If you find the perfect name, buy it! There’s no guarantee it will still be available in a few weeks, and I personally would rather spend the $20 to secure the domain of my dreams instead of settling for a second choice later. And buying the domain doesn’t mean you have to build a website right away.

c) Secure your social handles. Create accounts with the major social media platforms and create consistent user names for your brand (@mybusiness). You may decide not to stay active on every platform out there, but at least your username will be available for your use.

Note: Items B and C above may affect Item A. If you find that the domains and social handles/usernames you wanted are already taken, you may want to take a step back and rethink your actual business name.

This is a critical but often overlooked step. Skipping this step is why so many businesses have poor customer service, minimal profit margins, and overwhelmed owners. Take the time to get your business right from the beginning. Set structure and processes so you can operate with order and efficiency. Your customers will notice, and you will, too.

These are some of the basic processes every business should have:

• Onboarding new clients
• Customer relationship management
• Bookkeeping/financial processes
• Order fulfillment/project management
• Customer feedback

As your business grows, you can always adjust your processes to fit your evolving business, but it’s much harder to try to contain chaos once it has become the norm.

All your hard work in Phases 1-4 was meant to prepare you to make your dream a reality. Now it’s time to let the world know who you are and what you do. Once you’ve laid the groundwork in the prior phases, you’re in an optimal position to focus on growing your business. This is the point where it would be ideal to partner with an expert who can guide you through your launch. Check out local small business develop centers or community development corporations (CDCs). Find a mentor. Or hire a business coach. These professionals can guide you through major decisions and development activities, such as writing your business plan, creating a strategy, and setting goals. Now is also the time to market, advertise, network, establish your brand, make connections, and build relationships.

This is where the proverbial rubber meets the road, but you’ve prepared for this moment. Grow your business in a way and at a pace that works for you. And know that this phase never really ends. As your business grows, it also evolves. You’ll constantly think about how to maintain your growth, even as market trends and customer needs change over time. Being responsive and forward-thinking is part of the journey.

Whether you’ve been thinking about starting a business for a while or circumstances have pushed you toward entrepreneurship, you can create something beautiful that will bless you and others this year and beyond. Take your first steps and start smart by following these five phases.

And remember you’re not on this journey alone. Schedule a connection call to explore how we can work through any of these phases together. Connect with organizations or Facebook groups that will inform and inspire you along the way. And lean on your small circle of true supporters who will encourage you and cheer you on as you pursue your goals.