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Introduction 

Being an entrepreneur is not all glitter and gold. You don’t instantly live the dream of earning and having all your time for yourself as you wanted.

Starting a business is exciting, but the requirements you have to process can be overwhelming. Such responsibilities shouldn’t be rejected nor overlooked if you want to officially and legally operate your startup business.

If you’re an aspiring entrepreneur ready for your startup business, worry no more! This article will provide you with ideas for starting a business.

Starting a business takes time, money, effort, and hard work to pay off.

From the ground up, you have to be hands-on.

Be familiar with different aspects of your business, such as marketing, financing, accounting, human resources, IT management, legal aspects, and more. We’ll drive you through each of these step-by-step so let’s get started!

1. Evaluate your commitment

When you start your own business, you should be ready to commit your time, energy, and resources to ensure its growth. Research, interview, and consult others about the challenges you may face and check if you’re ready to face them all, no turning back.

To prepare you, here are some of the most common challenges you might also face:

  • planning on what product/services to offer
  • constructing a concrete startup business plan
  • acquiring capital to start
  • managing your finances and ensuring cash flow
  • hiring and managing the right employees
  • creating your company culture
  • possibly facing multiple rejections
  • responding to competition
  • continuously coming up with strategies
  • being resilient with change
  • keeping up with the trend
  • maintaining quality and improving performance
  • the demand for time and energy
  • mastering the balance between life and work
  • determination to continue

2. Choose your type of business 

Types of Business Structure:

  • Sole Proprietorship
  • Partnership
  • Limited Liability Company (LLC)
  • Corporation
  • Cooperative

Whether you’ll invest as sole proprietor or you’re ready to invite other colleagues in starting a business with you. You might be lucky to find some investors to help you jumpstart your business

Ensure that you know the liabilities and implications of the respective type of startup business you’ll choose.

3. Collate your startup business funds and be transparent

The number one reason why startups fail is that they ran out of capital for their business. Avoid this by knowing where you can get funds for your startup business.

Here’s a list of the types of funding to help you find where you can get your funds:

a. Personal


Start by looking at your assets. You may have already saved enough money to start your business.

This is a good option if you don’t want to owe anything to others and if you want to take full control of your business. But the downside of this is the possibility of you losing all your money if something goes wrong.

b. Credit card


One of the easiest ways to acquire your startup capital for small businesses is through credit cards.

It’s faster to apply, but it also has shorter limitations compared to other loans. Plus, the interests it comes with also tend to be high.

c. Loans 

Getting a loan gives you the advantage of being able to afford what you cannot at the moment. It also provides other services that you can also take advantage of.

However, getting a loan might take time as it has more requirements than getting a credit card. Interest rates also apply, including collateral, in case you default.

d. Crowdfunding

Gives you the opportunity to pre-sell your product or service and receive support from individual investors. This will consume your time and effort since it requires you to showcase your product or service like actual marketing.

e. Angel Investors

Receive investments from wealthy and experienced investors who support startup businesses. To qualify, you’ll have to pitch your business confidently.

Acquiring investments from angels gives them a share of ownership and the right for management. If you’re fine with it, this can also be advantageous to you because you’ll be guided and learn a lot from the experts.

f. Venture Capital

Similar to angel investors, venture capitalists also take a share of your equity for the money that they will invest.

Their difference is that the investment money comes from multiple investors that make a pool of funds for the venture capital.

g. Business Incubators

Also known as accelerators, incubators are the companies that help startup businesses not only financially but also in their operations.

They offer facilities such as office spaces and access to their laboratories to further extend their potential. Aside from these, they also provide them quality mentorship coming from the investors as experts themselves.

Whether or not you’ll be handling the finances, it’s recommended not to keep funds in just one basket.

Allot dedicated funding for legal formalities, taxes, and other government fees before your start. Plus, if you’re a corporation, make sure you know how to have separate accounts for shareholders and corporate funds while maintaining transparency and honesty.

If this is quite tricky for you, Estatoora Consultancy Firm can help you with that.

4. Think of the perfect name and story for your brand. 

This could be tricky as you need to find the heart and soul of your startup business to be able to come up with the perfect fit.

7 Tips to help you name your business:

  • Make sure it sounds good both on paper and when said out loud
  • Make it meaningful by giving an idea of the benefits you give
  • Conduct research and make it trademark ready
  • Make it catchy for people to easily remember
  • Keep its spelling simple to avoid confusion
  • Make a list of potential names and let others critique
  • Search online to check possible existence and to get more ideas

5. Study your customers

There’s no way you can come up with an attractive product if you don’t know what your target market needs in the first place.

Your customers are one of the factors that will drive your startup business to success. After all, they are the ones whom you cater to in your business.

The second reason why startups fail is that they lack market need. Don’t let your business suffer for the same reason by conducting your comprehensive market research.

When studying your customers through consumer research, you gather data about their demographics, preferences, and behavior. By doing these, you start to have an in-depth idea and understanding regarding your target customer, which you can apply for an effective marketing strategy.

It will also minimize your risks in planning and implementing. Since you have concrete data, you’ll come up with strategies that you know will be effective.

6. Devise a great product for them 

Based on your target market’s demographics and interests, you’ll be more than confident with your product/service.

Once you conduct your research regarding your target market, you’ll have a better idea of what is the best product/service to offer. Your relevance will increase by keeping up with the current market trend.

You can easily create your product/service differentiation once you know what’s already out there in the market. This will provide you with a competitive edge in the market.

Ensure your customers of the quality of your product by conducting a beta test. Receive feedback to know what else needs to be improved so you can devise a great product on your official release.

7. Launch a startup business website and optimize it 

This would be your home on the world wide web. You know how you can be competitive with having your own official page on the internet.

Similar to the benefits a website gives to vloggers, the same goes why startup business owners should also have their own website.

Benefits of having a website for your startup business:

  • A website gives you a go-to site of your business information and a home-base that will help in improving your social media presence. Include your business and product/service detail so potential customers will have a go-to site to easily get your information.
  • It can also drive more traffic to your site and have more people know about your startup business. Through this, it will be easier to spot potential customers from those who have visited your site.
  • You can extend the potential of starting your business by adding features to your website to promote engagements for more customers.
  • You can professionally showcase your startup business on your own website. Promote your brand by showing off your strengths and differentiation.

There are easy and available ways to create your own website, but more interestingly, there are easier ways. Seek help for website design and management from website creator experts.

For a better website, here are a few of the important site elements and great tips to remember:

  • Web Design – Make it look interesting but clean and simple. Try to make a template to properly plan and envision your website.
  • Seamless Funnels – Make sure to create seamless funnels that attract visitors and retain them to possibly become your customers.
  • Search Engine Optimization (SEO) – Make your website search engine optimized to have you reach the top search results.
  • Quality Content – Make your site genuine to attract more potential customers and have them build trust in your startup business.
  • Site speed – Website visitors don’t like it when they wait. You would not want to lose them, so boost your site speed and test it.
  • Terms of Use Agreement and Privacy Policy – Create a contract that includes regulations to protect your company and users.

8. Clear things up with partners and suppliers

Make sure everything is in a formal and written contract. This is to protect yourself from future inconveniences and conflicts.

Take time to create a contract that states all the specific conditions. Never underestimate and overlook even the smallest details.

Include as well the consequences that will happen in case there is a breach of contract.

9. Prepare the necessary tools and software 

If you’re launching an online business , you’ll most likely hire remote workers.

Make sure your software is in place to make everyone
productive at work. Especially those that require finance monitoring, time checking, and paychecks.

If you’re not too techy,
accounting management can be outsourced for your convenience.

10. Lift your standards up when hiring employees 

You can’t blame yourself for doing so. It’s your money that’s at risk if you choose the wrong people for the job.

Hire the right employees that fit your company’s values and culture. Use the application as your pre-evaluation to test whether they can actually do the tasks for the position.

List down the things you need to see before hiring employees, such as proof of experience, portfolio, etc. In addition, always make a nice offer letter to your candidates so they won’t back out once the offer is good.

Consider the following types of employees when hiring:

  • Full-Time Employees
  • Part-Time Employees
  • Temporary Employees
  • Seasonal Employees
  • Freelancers

You can also outsource a reliable human resource team to do the background checks and other tasks for you.

11. Confidentiality agreement should be in place

Once you are done hiring, always have your employees sign formal agreements to protect your startup business, brand, employees, processes, etc.

Most employees have access to the information within the company, and some also take part in generating ideas, strategies, and the likes. To avoid internal information from leaking out and be used for other purposes, have them sign a confidentiality agreement.

You should also know how to protect your intellectual properties and other important assets to fully take advantage of their benefits.

The following are the 4 basic types of intellectual property protection you might want to consider:

  • Patents – for a new product, a patent gives the owner the right to protect it from being made, used, and sold by others.
  • Copyrights – for authorship, copyrights give you exclusive right as the work owner to make copies and continue it.
  • Trademarks/Service Marks – for distinction, trademarks protect your right for the symbol you use to be easily distinguished from others.
  • Trade Secrets – for the protection of confidential information, trade secrets give the owner the right to take action when an agreement regarding confidentiality is breached.

12. Be big in marketing 

If you’re running solo, you have to be your own brand ambassador. Whatever you do should not compromise the image of your startup business.

The same thing with a corporation, you have to promote your startup business like crazy and do everything in your power to establish a good rapport with potential clients. Utilize the power of marketing tools to reach more audiences and boost sales.

Here is a list of tools and software for marketing:

  • Customer Relationship Management (CRM)
  • Online Advertising
  • Social Media
  • Search Engine Optimization (SEO)
  • Content Creation and Design
  • Video Marketing
  • Event Marketing
  • Lead Capture and Conversion
  • Lead Generation
  • Website Optimization and CRO
  • Lead Nurturing and Email Marketing
  • Marketing Automation
  • Data Reporting and Analytics
  • Digital Asset Management
  • Team Communication and Collaboration
  • Project Management

Other strategies to drive traffic to your site also include:

  • Improve SEO to top search results for your online presence
  • Include Email Marketing in your funnels  to generate traffic and regular website visitors
  • Keep your sites updated so viewers will continue to look for more
  • Organize free offers like online courses, webinars, and giveaways to attract traffic
  • Purchase advertisements to effectively promote your product/service and startup business.
  • Utilize other websites such as Quora, Reddit, and LinkedIn to build your credibility
  • Be active in social media networks like Facebook, Instagram, YouTube.
  • Ask for support from influencers. It will be a big help if they endorse you to their followers.

13. Strengthen your pitch 

If you’re considering raising capital through investment, draft a powerful pitch deck for would-be clients, investors, or partners.

Include the following in your startup business deck:

  • Introduction
  • Problem
  • Target Market
  • Solution
  • Traction
  • Marketing and Sales Strategy
  • Competition
  • Team
  • Financials
  • Investments and Funding

Do’s and Don’ts in a Pitch Deck:

Do’s:

  • Prove the potential of your product in the market
  • Include graphics and photos that are aesthetically appealing
  • Use a pdf format to make it easier to access and open
  • Present a product demo
  • Show your passion for the startup business by sharing an interesting story
  • Make a memorable soundbite the investors will remember
  • Use appropriate and consistent formats
  • Show the progress you achieved and how you’ll maintain it

Don’ts:

  • Don’t make your slide wordy (no more than 30 words per slide)
  • Don’t be too informative and put too much detail in your deck (you don’t have to just yet)
  • Don’t make it unnecessarily complicated
  • Don’t use jargon and abbreviations
  • Don’t hesitate to talk about competition and how you’ll handle it
  • Don’t make it too long and exceed 15-20 slides
  • Don’t make it look unprofessional
  • Don’t put outdated information

14. Settle all the necessary permits 

Permits and licenses are necessary to legally run your startup business. It will not only benefit you and your company but also your employees and customers.

Be knowledgeable of the requirements and settle all the necessary permits. These include: Permits needed for regulated businesses, sales tax license, zoning permit, city permit, health department permit, and more.

15. Always keep books and records for your startup business 

Monitor your startup business by always keeping the books and records of your financial statements, employee records, tax filings, minutes of the meeting, etc.

Financial data is important in assessing the performance of the startup business and to be able to make projections.

For the projections to be accurate, you’ll also have to consider internal factors like your sales and finances and external factors like market trends and economic status.

If you’re having trouble with accounting and bookkeeping management, Estatoora accounting services will help you with that. Aside from management, you’ll also be provided with insights that will help you make better business decisions.

16. List down your expenses 

Keep a record and track your expenses by setting up a bookkeeping and accounting system for your finances. This is important to keep track and project the necessary actions to ensure cash flow in the business. 

Familiarize yourself with the different types of expenses you’ll encounter:

  • Fixed – expenses you’ll incur regularly for production and sales ( rent, salary, electricity)
  • Variable – expenses that depend on the amount produced (raw materials)
  • Periodic – almost similar to fixed expenses because you also incur it regularly but less frequent (quarterly business expenses)

17. Insure your company

Since you prepared so much and invested a lot of your time and effort in starting your business, be more prepared for whatever’s ahead of you. 

Insuring your company protects it from the risks it comes with. You would not want your time, money, and effort to be wasted all at once if an unfortunate event happens.

18. Understand Venture Capital Financing

Venture Capital is a type of financing provided by investors to pre-established startup businesses. Pre-established in the sense that you not only have an idea but have already made progress and potential in the market.

Venture Capital is a great option for startups because aside from financing, you’ll also have the opportunity to be mentored by experts.

They are experienced and knowledgeable in the field so they are a big help for strategic planning. Plus, they can further help you with your market exposure.

However, seeking venture capital financing can take a lot of your time and effort. You have to thoroughly prepare to prove to the investors that your startup business is also worth their investment, time, and effort.

Basically, the process involves multiple meetings and then your presentation to potential investors. Once you move forward, the term sheet will be issued and negotiated.

Finally, you and your investors can finally draft and negotiate with each other’s lawyers for the legal documents needed.

This is only an overview of the process. Expect that there will be a lot more steps to take. Click here to learn more.

Another important piece of advice when seeking VC is to make sure that your startup business values and culture align with your potential investors’. This is to make sure that both of you will be on the path you both like and agree on.

Referrals are also a great help especially if you know someone who has a close connection to the VC firm. But with or without a referral, always be confident with your startup business to leave a strong impression on the investors.

19. Make sure all startup business contracts are signed and notarized

Business Contracts are written agreements that bind the two or more signing parties legally.

All obligations, liabilities, payment terms, office leases, and other necessary details should be sealed by a signed contract.

For small and startup businesses, never underestimate your potential to grow then worry later on. Doing agreements verbally risks your business because of the lack of physical documents as evidence when needed.

Seek help from the experts by hiring qualified attorneys regarding the legal aspects of your startup business.

20. Study your competitors

Studying your competitors is important not only for your marketing strategies but also to keep your market relevance. The third reason why startups fail is that they get outcompeted.

Knowing what your competitors offer gives you the advantage to think of your own ways to improve your products/services.

If you’re finding an investor, this is also important to note because questions about competition are commonly asked. Even with your customers, they would compare similar products and would choose depending on their criteria.

Consider different factors, including your customers’ preferences, and set your differentiation against your competitor to build your edge.

21. Attract more employees with stock option plan

Stock option for employees is a great plan to attract even more employees. Because doesn’t it sound like a good offer that aside from your salary, you also get to have an investment?

However, if your company is still starting, it might not be liquid enough, unlike other benefits like bonuses and compensations. Your potential employees might think twice if they are after liquidity, but if not, this can also become a great motivational tool.

Through stock options, you make your employees a stockholder and give them an extra reason to work harder. Because aside from doing what is required of them they know that they will also benefit from the company’s success.

22. Seek advice from business experts and lawyers to finetune your plans

Even if you’re just starting up, consider spending extra money to seek advice from business experts and lawyers to finetune your plans. This is a better strategy than wasting your money from doing trial and error or from hiring someone inexperienced.

Consult business experts for your startup business plan and strategies and an experienced business lawyer for the legal aspects of your business. They will guide you so you can be sure that what you’re doing is right.

23. Communicate more and grow your connections

Grow your connections by actively participating in events related to your startup business. Make your way to communicate with the guests, speakers, and other influential people present in the event.

Doing this can help you grow faster, wider, and learn lots of real-life lessons and tips from experienced people.

24. Nurture relationships with employees, partners, and clients

Engage with your employees, partners, and clients to nurture your relationships with them.

Other than the professional aspect, also find joy in working with your people to work together better. This will also give you relief by having each other’s back when dealing with stress.

Earn the trust of your clients and partners by communicating with them, being open-minded, and optimistic. Show them that you’re the right choice for each other and build a long-lasting relationship with them

25. Adopt a winning mindset

Your mindset as the owner is vital for the success of your startup business. You will also carry that same mindset to your employees and even to your customers.

Your mindset will affect every aspect of your startup business as it will define how you will face and handle whatever comes your way.

A winning mindset is important because it makes you recognize your strengths and weaknesses and consider both as a challenge and opportunity that you can win.

Conclusion

Starting a business

One of the reasons people want to become an entrepreneur is because they want to become their own boss and have control over their time and activities. To some extent, yes, it is true but not entirely because it can be far from what you expect, especially when starting up. It takes time and effort to reach the ideals of being a businessman. You have to invest your time, money, and effort.

Unlike in stocks where you have no direct control, in your startup business, you are also the one to manage your investments and make it pay off. Being an entrepreneur comes with a wide range of responsibilities. Yes, you become your own boss, but you also become a boss to your employees.

Your startup business depends on you, your employees follow your lead, and your partners, suppliers, and customers have expectations from you.

You have to be hands-on in every aspect and meticulous in every detail. 

But don’t let your responsibilities overwhelm you and turn your vision into fear. With the right mindset, determination, and support system, make actions by taking your steps to start until you get your grit. Your efforts will pay off as you start to see progress.

If you’re still overwhelmed, don’t worry because starting your own business doesn’t mean you have to do it all alone. You can seek help, especially from the experts, to guide you through.

Estatoora Consulting Firm is here to help you with your business needs to make your business grow better, wider. Click here and have the best solutions for your business!