Normally people looking to set up a business decide on the first steps in getting off the ground as follows:
- Register a Company
- Open a Bank Account
- Get an Accounting System
What should also be put into this list is to write a business plan. In our view this should be done before you open a bank account.
Opening a bank account is easy, and can often account for some fake progress. What is really important is to not only understand startup goals, but understand what your business model is, and how you will make money.
A business plan will also be a good testing ground to share your assumptions with other founders and investors. Planning will also help you to identify strategies for reaching your goals.
Tools to Begin:
- The Business Model Canvas will help you identify in one place your value proposition, infrastructure needed, who your customers will be and what your finances should look like (roughly)
- LivePlan is a great online software product to guide you through the process to create a business plan, including identifying your problem & solution, your target market and your competition.
While these can look daunting there really are lots of online resources to help you along. It's also good to have a deadline to get your first draft of your plan done, so write a business plan before you open a bank account.
If you have any queries about starting up in business please get in touch