The first steps to take in starting your own business
Yesterday I read an article about how young South Africans are growing the economy by starting their own businesses and enterprises in industries such as jewelry and design, and more. That’s the spirit of SA – of Ubuntu! You can’t keep us down. The choices, though, of what to pursue and how to go about it, could be less than clear cut, and this article aims to help you formulate a plan of action about the direction you’re headed in.
If you are here as a student or entrepreneur looking into which area to go into, according to Career Planet, SME South Africa and Track It All, several businesses are experiencing rapid growth in South Africa. E-commerce and online retail, technology and software development, and renewable energy are among the fastest-growing sectors. They also say that agriculture and agribusiness, healthcare and biotechnology, and the tourism and hospitality sectors are showing strong growth. That’s great news for the country, the economy and the youth. So get to it! There’s no time like the present, to coin a cliché! Now seems like a great time to jump into the market and start building your brand.
But what to do?
In making the choice, consider your options carefully:
- Start by thinking carefully about what your passion is. What would make you happy, for the rest of your life? That’s probably the most important question of all. You could take a few days or weeks to think about this. Is it fun? Is it profitable? Is it necessary in SA?
- Once you’ve done this, validate the need by conducting market research –
- draw up questionnaires and distribute them in your community or online. Use social media, your schools, churches etc. Do some anonymously using platforms such as Google Docs in order to obtain accurate, unbiased information.
- Do online interviews or focus groups with relevant participants. Try to include different ages, genders and racial groups to get a full picture.
- Study your competitors. Check out their websites, their advertorials etc. This will allow you to get insight into their strengths, weaknesses, etc.
- Consolidate your results.
- Conduct a SWOT analysis (strengths, weaknesses, opportunities and threats)
- Consider your funding
- Ensure you meet all legal requirements of the country. I want to stress this one. There are too many businesses springing up which fail to consider the laws and by-laws of the country, and this is detrimental to all of us. Study the laws and by-laws of what you would like to do, and obtain permission where required.
- Think about a business plan or profile. This is where you put down all the information like your qualifications, experience, finances etc. The profile is used for marketing purposes, and the plan can be used to obtain financing, etc.
We can assist you in putting this all together.
Next week, I’ll give you some tips about marketing and building your brand. Check back in!
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