How to Start a Business From Scratch: A Guide

Do you have a great idea for a business that you know could change the world? Are you tired of going to work for someone else when all you really want is the freedom to explore new ideas?

If you read those questions and felt excitement coursing through your veins, you’re the exact kind of person who should try to start their own business!

So how exactly does one learn how to start a business? We have a quick guide that’s sure to help you on your journey, so make sure to keep reading!

Conduct Market Research

Creating a business from scratch is one thing, but creating a business that lasts is far more challenging and requires extensive research.

As you start figuring out how to start your own business, ask yourself: What problems can my business solve that others can’t?

You’ll need to secure enough data that illustrates two points: First, that your business is relevant to succeed. And second, that you can diversify yourself from competitors.

Create a Thorough Business Plan

Once you have confirmation that there is, indeed, a place for your business idea in the world, it’s time to start nailing down ideas through your business plan.

Your business plan should outline every aspect of your new company, so expect the final document to come out to around 30 to 50 pages.

This is the perfect time to show off your market data!

The more information you have, the better. Lenders love to see specifics, so account for everything. For instance, if you’re planning for virtual cards to account for most of your reimbursements and expenditures, note that and include the service you intend to use.

Ultimately, the more thorough and thought out your business plan is, the likelier you are to secure funding, as investors see detailed plans as safer opportunities.

Acquire Licensing

Bad news if you thought you were done with paperwork; you’re just getting started. There are a ton of documents you’ll have to fill out so that the IRS can track your taxes and your employees can file for benefits.

Likewise, you’ll have to fill out some state-level and industry-specific documents. It can be a lot to handle, so stay as organized as you can.

Secure Funding

With all of your paperwork in tow, you’re ready to start reaching out to investors! This is where all of your hard work and research pays off.

You have a few options with business funding, including self-funding, taking out a bank loan, or acquiring capital directly from investors themselves.

Whichever avenue you choose, have a business lawyer look over any agreement you’re considering signing. Businesses are rarely solvent in their first year of operation, and the last thing you need is a higher interest rate than you can afford to pay back.

How to Start a Business Without Losing Your Mind

As you can see, the trick to figuring out how to start a business is to plan for everything. Don’t rush yourself through the process. Take your time and get your ducks in a row so that everything is perfect by the time you’re ready to approach investors.

Now take a deep breath and get ready to put your nose to the grindstone. Who knows, your business could become the next Amazon!

For more tips on making your new business a success, be sure to check out the content in our business and services section!