There are several fundamental factors that are key before anyone can venture into any business investment. The following article highlights these fundamentals and explains the importance of each in starting a business. First, one must research for the market in order to identify the client base depending on the products or services one plans to venture in This is the stage where the investor identifies the environmental niche in terms of scarcity and the need for the product/service as well as the corresponding population which will eventually affect demand and supply.
Research on environmental niche will also determine the location of the business for it will generate unexplored potential ideas with promising returns. Once the idea has been proved viable, the next step is to protect the idea by registering it mainly because mere silence is not helpful in business. Sharing with potential partners (if any) helps to strengthen the idea hence the need of protecting it especially if it’s an invention or a niche. Registration of any business idea can be done within local authorities of any country.
The third essential factor for investing into a business after the market research and registration is coming up with a plan which will act as the blueprint for the venture. The plan will cater for the name of the business, the partners (if any), location, types of products or services, target population, source of funds, the budget, marketing strategies, potential risks, contingency plans as well as the prospective outcomes. After the plan, now it’s finally time to turn the idea into a reality by starting the business. This stage includes obtaining all the legal documents for the business that amounts to permits. The products are then sourced and priced with regards to the plan and target population which determines the current market demand, and the after-sale services offered.
This is when advertisement and media comes in and the marketing strategies are employed to kick-start the business. Marketing in this case may include pictures or photos of the products against the business name within the premises. Precise and quality advertisement is key to expansion of a the market base of a starting business venture or investment. This stage also calls for quality in both the products/services offered and after-sale services. This stage will determine retention and gain of either a large or small clientele-base therefore, affecting the survival of the business and prospective plans.