Being adventurous is an admirable trait, but when it comes to business, taking calculated risks and having a solid plan will most likely work in your favour. When building a start-up, there are three crucial questions that you should ask yourself to have some idea of what the future holds.
Take out your pens, sticky notes and notepads – you’re in for a treat. Let’s explore three aspects to consider before you head off onto your start-up journey.
1. Who is your target audience?
Would you recognise your target audience if you saw them walking down the street? This is how intimately you should know your audience – their likes, dislikes, needs and desires. Without an audience, there’s no reason to build a product or provide a service.
To determine your audience's needs, wants or desires, you must delve into their world by conducting market research. Researching your audience is the foundation of your business – everything else follows.
By knowing your audience's values and how they view the world, you can easily match your product to their needs.
2. What is your USP?
When building a start-up, an essential part of the process is to research your competitors. When you are clear on what your competitors provide your target audience, you can better find gaps in your competitors' offerings. Knowing your target audience helps you to carve out an offering that serves their needs.
Ask yourself, what do my competitors offer that I don’t?
Research online reviews, test your competitors' products yourself – immerse yourself in the experience. Converse directly with your audience about their needs and where your competitors are lacking – this will provide you with an opportunity to lead the pack.
Remember, you have direct competitors and indirect competitors.
Direct competitors offer product offerings identical to your product. Your indirect competitors provide products or services that are similar to yours. Research your competitors to have a clear picture of how your product caters for your audience and whether you are hitting the mark.
Always conduct research at every phase – you should always stay in the loop.
3. Do I have the funds to start this business?
You may have a revolutionary idea, but the chances of making it happen without the necessary funds are zero to none. You could draw from your savings or venture on the crowdfunding front – whatever your fancy, there are no ways around it. Getting the money to move forward is vital to building your start-up.
So what does a potential founder do? Simple, you get your ducks in a row. You do the necessary research on what is required to secure funding, whether that be through angel investors or VCs.
Now that you have a solid understanding of the most important questions to ask before building your start-up, it’s time to get cracking on your research. If you ever feel stuck in your pursuit of success, remember the best way to navigate through uncertainty is to arm yourself with knowledge. We’re right here to guide you through your journey!