You have a great idea to turn into a new business?
Got a great idea and want to turn it into a business?
Great! Now ask yourself why.
People will launch more than half a million new businesses this year. Most of them won’t last more than five years. You've read these scary stats before - probably many times - and yet here you are. So why are you doing this, again? Why will business work for you?
Before you launch straight into the new business, pause for a moment and find out why you want this business.
Your success is defined by your motivation
Your motivation will shape your approach. Use these questions to understand your why:
What does success look like to you?
What makes you different?
What are your business values?
What does success look like to you?
Are you entering business to solve a problem? To be your own boss? To make a lot of money? Or is there something else? You need to know what defines success for you. Otherwise you won’t recognize it when you get there. Defining success will also help you:
Set priorities
There’ll be a lot of things competing for your attention as business gets going. By referring constantly to your goals, you can keep focused on the things that will move you closer to success.
Measure your progress
Once you understand what success is, you can measure your progress towards it. Are you getting closer? If not, why? This exercise will help keep you accountable.
Could it be that:
your brand is a household name?
you’re in control of your schedule and working from home between surfing sessions?
Decide what success looks like now, or else you won't recognize it when you get there.
What makes you different?
You have to convince customers to spend their hard earned cash on you. Why will they do that?
It’s important to nail this down. Once you’re clear on what will give you an edge, you can focus your energy on those areas. So what will your business stand for? Maybe it’s that:
your products will always be affordable
you’ll always be available to deal with clients personally
you’ll always use sustainable ingredients
you’ll exclusively use local suppliers
There will be something you’re always trying to deliver for your customers. It’s a unique selling point that will stay solid even as you add new products and services.
You can think of this as a brand promise – a pact you make with your customers. But it’s more than just a feel-good thing. There are economic benefits to making a commitment like this.
You’ll get better and more efficient through repetition.
It’ll be easier to get repeat sales from customers who’ve come to trust you and rely on you for certain things.
You’ll develop a reputation for doing what you do, which will simplify marketing in the long run.
What are your business values?
You might have other ideas about what you will or won’t do in business. For example you might decide you’ll never take on debt, even if it means you can’t grow as fast. Or perhaps you’ll have social or environmental goals for your business.
Business values will set boundaries around how you go about achieving success.
Record all this and keep checking it
Once you’re clear on why you want to start a business, log it. You can create a Pinterest board, a short video, a sound recording, or even a boring old written document – just make sure you capture all this thinking.
Keep referring back to this vision regularly. It’s a great way to keep yourself honest. If you find you’re deviating from the document, ask yourself why. Is there a good reason, or have you just got distracted?
