Disclaimer: As an affiliate partner, we might profit from your purchases from third-party websites; however, we do not charge you extra in the process. Read my Disclaimer Policy here.

Starting a small business in the new year of 2021 can be exciting. It can also feel daunting with the amount on your to-do list. 

While saying #goodbye2020, you probably have considered starting a small business but were waiting for the new year to start. That’s not a bad thing! Do things on your schedule.

However, there’s a lot to consider when starting your small business. You might need legal consultations, finding a realtor to purchase or rent your store space, and maybe you need some help with your branding or marketing. There’s a lot to consider for your business start-up.

What is necessary to start your small business, and what’s on your wish list after opening day?

Here’s my list of necessities to have ready for the launch of your small business:

Branding

Branding for a small business is a significant first step when it comes to getting your start-up off the ground. You will want to have some aspects in place, like a name and motto, to appeal to your customers.

What is your business? What do you do?

You have probably already thought of this if you are trying to develop a business plan. Consider what you want to do in your small business. Your business’s purpose can be whatever it is you’re passionate about and can take many forms.

Get down to the nitty-gritty for a minute, consider where you want to focus your business, and be very specific. If you only sold one product or service, see how you would like people to identify your small business. 

Also, think about names and mission statements in this phase. You can delve further into them while even thinking of marketing but at least start here.

What does your business stand for?

Finding out what your small business stands for is where a mission statement comes in handy for your small business. Who do you want to attract to your small business and why? You should know what your small business does for its customers and how your service or product makes their life better.

Do you have a brand identity?

A brand identity is more about the creative aspects of your business start-up than anything. Create a brand identity that resonates with your audience. You might need a few beta testers to bounce ideas off when you first create a brand identity for your small business. 

You’ll want a primary logo, a few color options, typefaces, and styles that resonate with your clients.

Marketing

What is the difference between branding and marketing? Marketing is branding in action. Whether it’s a video, social media, or ads, your marketing campaigns will run smoother with a consistent brand message. 

Who is your ideal client? Who is your target audience?

You want to have a clear idea about who your ideal client is within your target audience. Your target audience can be a bit more vague and flexible. At the same time, your perfect client is the exact person that you want to appeal to.

As a business owner, you’ll get all sorts of clients and customers that walk through your’ door,’ but it’s your responsibility to pursue your ideal client every time.

How are you going to promote your small business?

There are many ways to promote your small business. Many business owners use the same avenues to promote their small businesses but with various degrees of success.

Some common types of promotion are ads, social media, and referrals. All sources can lead to a successful small business, but it depends mainly on finding your niche market.

Do you need someone else to handle marketing?

A lot of business owners can’t handle everything for extended periods. So, how are you going to manage your marketing campaigns?

Many small businesses outsource their marketing needs. It’s easier for many business owners to hand those tasks off to a specialist to get back to their original business goals. 

Finances

There are many components to keeping your business finances in order. You’ll need to know your costs, income, profit, and taxes. You must have a sense of order whenever it comes to your business’s finances.

How much and which products will be the focus of your small business?

As a graphic designer, I have a lot of experience in creating various products for different campaigns. That said, I had to focus on my business’s products and find what I solely enjoyed doing as a graphic designer to focus on my products.

If you need some help, consider what you would like your small business to be known for. Imagine you can only offer one service or product and go from there.

What is the cost vs. profit for your products?

Determine how much it will cost and how much you will earn after making your products or rendering your service. You need to know how much your materials will cost, including marketing and packaging. Then learn how much you will profit from each or so many sales of a product or service.

Notice I don’t include a gross income in this paragraph. It’s not that it isn’t vital, but it’s more important to know the profit for your time at this stage to see if you’re charging the right amounts.

Who will handle the finances for your small business?

Like marketing, many business owners, especially creatives, don’t know how to handle complex financing or book-keeping. If you don’t know the ends and outs, especially if you are dealing with payroll, consider outsourcing your finances.

Many virtual assistants specialize in small business finances. Handing your finances to a professional will help you stay organized and understand how and what you will need to keep your business finances on track. I use KeeperTax to keep track of my tax deductibles, and log my other expenses in a spreadsheet.

Legal

There are so many legal components to owning and running your own small business. You’ll need to consider registrations, licenses, contracts, etc. Even if you want to keep your business online, you’ll need to have privacy and disclaimer contracts so that you can retain the rights to your content.

What legal forms do you need for your small business?

Consider all the possible forms and registrations you’ll need to obtain to run your business without legal interference. You might consider having a corporate lawyer consult you about your business plans. You might not make enough for some contracts, but you will need some to avoid fees.

Suppose you are looking to start a brick and mortar business. In that case, you’ll need a different set of licenses and registrations compared to an online business.

Where will you go if you need legal advice for your small business?

When do you need your paperwork to start your business?

Sometimes, you won’t get approved paperwork instantaneously. You might have to wait a few days or a few weeks for identification to take effect or registrations to become valid.

Ask your providers when particular registration and licenses will take effect for your small business. Specific paperwork might put your business behind on its schedule, so make sure how long it might take to go into effect.

Now that you have a game plan of what to consider to start your small business, what do you still need to look into before opening your business start-up?

Join my e-newsletter for more tips on how to start your small business during the new year in 2021.