15 Questions to Ask When Starting a Business
There are several questions to ask when starting a business. These questions are about you getting your business off to the right start and ensuring that you are going in the right direction at the best price. In this article, we look at the best questions to help you start your business.
Why Ask Questions About Starting a Business
There are several reasons why questions should always be asked when starting a business. For one, it allows you to identify key characters that can shape business operations. For instance, you might need to know more about your competitors, pricing, and your target audience.
In addition, when answering questions, you might also want to highlight opportunities you didn’t know about. You might, for example, note that competitors aren’t using a particular marketing channel that customers are frequently on and reach audiences there.
Another reason is that asking these questions can identify weaknesses in the business to avoid in the future.
Questions to Ask When Starting a Business
So, what are the questions that you should be asking when starting a business? Here are some of the best questions to consider.
What Resources do I Have?
The first question should be what resources you currently have. You should include physical, and intangible resources. Money, equipment, and knowledge are all resources that you should list.
Remember that resources don’t have to be new. You could, for example, utilize an old laptop, a building in your backyard, or equipment you’ve used in a hobby. In addition, consider how much you can afford in financial assets.
What Resources Are Needed to Create a Business?
You might also want to have a list of resources you need to ensure your business can thrive. There are lots of resources that you might need, which might include equipment, skills, and other aspects. You might also need some legal elements such as permits and more.
What Resources Can I Afford?
It is also important to consider what resources you can afford. These should be in addition to the resources you currently have in your possession and are aligned with those you need. Come up with a price list, with the delivery times and a priority of what is required. It might also be good to add a list of resources you can’t afford and what it will cost to get them at a later date.
Why do I Want to Start My Business?
This is one of the most vital questions. It relates to your business’ reason to exist. There are numerous reasons why your business might exist. For instance, you might want to create a business because you’ve found a gap in the market, you’ve developed a new product, or because you want to be your boss.
What Business Formation Will My Business Be?
As well as choosing the reason why the business will be formed, it is important to consider what business formation you will choose. There are solopreneur, LLC, S-Corporation, C-Corporation, and Co-operative.
How Will I Market My Business
Next, you need to choose how you can market your business. There are lots of options for this. For those who are hyper-local businesses, a sign near the business might be the only option. You might want to consider blogging, websites, SEO, social media, and PPC. Or you might want to list your business in the local papers.
Who is my Ideal Customer
Before you start marketing, you should create a profile for your ideal customer. Many of these profiles are very detailed and include gender, age, wealth, and likes/dislikes. You should also identify the pain point of the ideal customer. What is it that they’re trying to solve? And how can your product/service help them?
Who are my Competitors?
It is also important to identify who your competitors are. There are many different types of competitors you might have. For instance, there might be some that offer the same product, or there might be a product that is a substitute. It is important to include any competitors that you might have.
How Will I Deliver Products/Services to Clients
When dealing with customers, you must determine the entire logistics of the business. For one instance, you can think about delivery with companies like FedEx. Or you might want to hire your own courier team/only offer local collections.
How Will I Improve Customer Retention?
Customer retention is one of the most critical keys to success. The average company can improve its profitability by 95% by improving customer retention by about 5%. Customer retention can be the key to early success, and you should look at ways to attract customers. There are numerous elements to this including good customer service, data collection, and more.
What Do I Want My Business Name to Be?
A good brand name is important. About 70% of suppliers and brands will not work with a company based on their name alone. Therefore, you need to complete a thorough process to come up with a name. It is also important to check the name you come up with so that it is not taken in the state. A business name check is free and takes just a few minutes to do.
What Should My Pricing Structure Be?
Pricing is not always the key factor in the purchasing decision. But sometimes a good price can help buyers to choose a new service provider. Therefore, you should look at competitors and choose the best prices to help you make a profit and are at a value that can help you attract buyers.
What Help Do I Need?
Sometimes you can’t run a business without help. There are many types of help you can use, for instance, friends and family might offer some financial support for seed money. Or you might need to hire an employee. If you do hire an employee, you have to get an EIN from the IRS. Or you might want to hire a freelancer, which can be more cost-effective.
When Should I Start?
Another question to ask is when to start. Some businesses can be started at a moment’s notice. Sometimes you might need to start the business at a later date because you need to get permits, quit your job, or even secure premises. Consider carefully the best time to start your business and get the start date.
Final Word: 15 Questions to Ask When Starting a Business
Above are some of the excellent questions you should be asking when you want to start a business. Make a note of your answers, they can help guide you in the business formation and running your business in the short and long term. And you can look at our website for more information on incorporating your business.