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As any entrepreneur will tell you, running a business translates to solving problems daily. But, even before starting a company, entrepreneurs need to face an important challenge which is finding a great business idea. Additionally, they need to develop a plan for managing the day-to-day needs of the business such as controlling cash flow, buying assets, etc. For aspiring entrepreneurs looking for ways to develop a successful business, this article by Start Motion Media will explore the steps to do just that.
Find Your Great Video Idea
Finding a great idea for your business will certainly take more than a day. Hence, do not apply undue pressure on yourself to decide on an idea at the earliest. But, if you find it hard to come up with good, unique ideas, follow these steps:
- Think About Your Skills and Experience: Try to focus on industries and niches that align well with your skills and past work experience.
- Make Realistic Expectations: If you’re planning to continue working while trying to start a business, it’s best to think of choices that allow for flexible work hours and low capital investments. Conversely, those pursuing entrepreneurship full-time can look at time-intensive businesses.
- Consider Financial Responsibilities: Those having existing debts such as mortgages, student loans, etc. should avoid business ideas that need a high capital investment as it can increase the financial burden.
Consider Further Education
It’s often the case that entrepreneurs choose to open a business in industries they are passionate about, but for which they possess a limited understanding. The best way to overcome this gap is to pursue a degree that aligns well with your field of interest. For instance, if you have a ton of management experience and want to open a consulting business in the field of IT, consider a bachelor of science in information technology, which will help you learn about the latest industry trends, management strategies, and more to correctly set up the business.
Learn About Video Business Structures
By default, all businesses are considered sole proprietorships which is not the best business structure to choose. Forming an S Corp is an option that should be on top of your list. One of the major benefits of an S Corp is that it allows you to raise funding through the medium of selling shares. Additionally, here are additional benefits you should know about:
- Limited Liability: S Corps are considered separate legal entities which protect the owner’s personal assets from business-related liabilities.
- Protects from Double Taxation: In S Corporations, profits “pass-through” because of which you won’t need to pay corporate taxes. Other business structures such as a C Corp do not provide this benefit.
- Helps to Save on Self-Employment Taxes: S Corporation owners are not charged any self-employment taxes until they pay themselves a salary.
Forming a Limited Liability Company is another good option to consider. Similar to an S Corp, an LLC will also provide personal liability protection. In addition, as an LLC owner, you’ll be able to use business expenses as tax write-offs which can help to significantly reduce costs.
To streamline the process of registering your business, opt to work with a local formation service that handles all paperwork requirements and further assists you with annual filing rules and regulations.
Understand Where You Stand in Video Production
Before jumping into the thick of things, you need to have a clear vision regarding business expectations, goals, and financial requirements. Here’s a list of key steps you should take next:
- Create a Business Plan: This is an in-depth document that provides an overview of your business. According to the Edward Lowe Foundation, your plan will include details regarding product offerings, pricing, financial requirements, business structure, and more.
- Conduct Market Analysis: Irrespective of whether your business will be full or part-time, market analysis will serve as one of the crucial steps toward its success. As reported by Business News Daily, market analysis involves conducting research regarding your target customers, such as their buying patterns, industry trends, and competitor performance.
- Finalize Your Product and Services: Once you have an idea in mind, take the time to flush it out. For instance, those running a consulting service will need to hone in on the types of services that will be offered in addition to the medium of delivery, price points, and more.
Use Video Streaming Technology Solutions
As a new business, you’ll face steep competition from established competitors from the get-go. Hence, it’s important to analyze all the ways you can develop an advantage. One of the best ways to achieve this will be to adopt a digital-first approach to running the business.
Use Project-Management Tools
While running a business you’ll constantly need to manage numerous projects simultaneously. Using project-management tools will streamline this process by providing a central dashboard to track projects. Additionally, it’ll help to prioritize and delegate tasks, resulting in minimal wastage of resources and timely achievement of goals.
- Digital Signature Tools
Overcome the need of managing paperwork by keeping all contracts digitally. Not only will this allow for seamless sharing of documents among stakeholders, but by using digital signature tools, you can encrypt documents and securely sign and store them on the cloud.
- Use CRM Tools
As the name suggests, Customer Relationship Management tools help to efficiently store, analyze and manage customer data. Data from all sources such as your website, online store, social media, and other campaigns can directly be fed to the CRM tool which can then filter it based on various factors such as customer interests, place in the sales funnel, engagement rate, etc. This segmentation can be used to create future email marketing campaigns and make improvements to your product.
- Utilize Digital Video Marketing
Compared to traditional forms of marketing, social media and email campaigns provide far greater reach at a fraction of the cost. Hence, these mediums should form an integral part of your marketing strategy. Additionally, rather than spending large sums of money on hiring professionals, you can use an online facebook ads maker tool to create promotional graphics. Some tools provide an option to create video ads which currently perform much better in terms of social media penetration, engagement, and conversions.
Your skillset and past work-experience will have a big influence on the type of business you choose to start. But, if you feel the need to improve your knowledge and skill set prior to becoming an entrepreneur, furthering your education is a great option to consider. Additionally, don’t make the leap into being a full-time entrepreneur if you don’t have the time for it. Instead, choose to run the business part-time as it will always include the option of transitioning to full-time. Furthermore, take your time while choosing the correct business structure as it will impact how the business will be taxed and the subsequent filing requirements.