How to Start a Small Business for Less Than $1,000
Many entrepreneurs think that starting a business will call for a hefty investment. Thus, they do not move for new businesses in fear of the risks involved with the huge investment. Some people do not realize that business doesn’t just need capital. Though capital is one of the most important factors for business success, it not the only factor on which the business can rely. Although there are a lot of risks involved when starting our own business, the rewards can be amazing. However, there is a lot that entrepreneurs can do with just $1,000. They need the right skill set and an effective business plan to start their business successfully.
1- Strategic Plan
We all know that there is a basic concept behind many of the success stories. A small idea can turn into a successful business but this small idea needs the right route for becoming a great success. Thus, a strategic plan is the dire need of any business. This plan comprises of multiple factors like:
Name Plan a unique name of your business and consider website hosting as well. The name should have some connection with the product/service you are providing.
Structure You will decide the structure of business like a sole proprietorship or partnership.
Analysis You will research your target market and will see the number of competitors, economic factors, and market trends.
Marketing strategy For dealing with your competitors, you will decide what strategy you will use and which channel will be needed to reach your potential customers.
Management By looking at the analysis and the strategy, it should be decided whether the business is manageable or not.
ROI When you have all the information on hand, you will be able to decide whether the business can generate good profits or not.
It is advisable to take guidance from firms like SCORE. Besides this, there are a lot of other companies that support startups in their initial phase and provide free mentoring services – all of which will cost you nothing.
2- Online presence
Nowadays, having an online presence is imperative for every business. Consumers spend most of their time surfing the net and they completely rely on the internet in deciding whether to buy a product or not. Some people have a misconception that only a website is considered as an online presence. It is much more than that and starts with a basic email address.
You need to have a business email address name as well as a domain name. For instance, your carpet cleaning business can have a domain name like Carpet Cleaning Bromley Besides this, your presence on different social media channels is also very important. You should have a competitive profile and a healthy relation with your customers. Today, even financial firms search for your online presence to analyze the position of your business in the online world. You will need some money for creating a website. You can contact GoDaddy for your website related issues and your web design, web hosting, domain name, etc. They even assist in online billing, costing you around $300 yearly.
3- Location
Many entrepreneurs think of permanently following the work from home model. Though work from home businesses are now common as they save a lot of costs but clients do expect a business address. For instance, if a client wants to have a meeting, a professional office setting will be more suitable than a home-based setting. You might operate your business functions from home, but you still need an office for your meetings and other dealings.
You can contact companies like Regus for your office space. They have different plans like Platinum Plus, Platinum, Gold, and Blue. You will get an additional benefit if you travel frequently because many airlines provide the Regus membership card for free. The Regus blue card is free of cost while you can get the gold card at $649 per year.
4- Professional business cards
Some people believe that the trend of business cards has become obsolete with the advent of email marketing. Experts believe that business cards still leave a lasting impact on your potential clients as well as your suppliers. These cards show your professionalism in the business and are an indirect way of creating healthy relations with other businesses.
These business cards will not cost you much. You can get a bunch of cards starting from $10. Companies like Staples and Office Depot are serving their clients with the best and affordable business cards.
5- Social media presence
A good social media presence has also become important for businesses. The initial process of making your business page is free on platforms like LinkedIn and Facebook. LinkedIn is a professional platform that intends to connect different businesses and businesspersons. Facebook is considered as more of a social interacting site. Research shows that LinkedIn has around 380 million members. Thus, it is an ideal site for creating healthy relations with your suppliers and other businesses. Besides this, it also provides a platform for sharing your content.
Similarly, Facebook is great for staying in touch with your customers. You can start different campaigns on Facebook that are free. You can also go for Facebook paid ads that have different types like dynamic ads, canvas ads, slideshow ads, and so on. You can create your business videos and upload them on your Facebook page to let customers know about your venture.
The dynamic ads on Facebook show your products to those clients who have visited your site and checked out your products but did not make a purchase. Other types of ads also offer many benefits.
Adding up all the above costs, we get to know that the total cost becomes $969. Thus, you can surely start a business even if you have less than $1,000.
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