It’s a new year and the possibilities are endless. Maybe some of you are doing your research before starting a business, or already have your business and are looking for some advice. Kat Boogard has an article in our Resource Center that gives you a list of essential and unnecessary startup expenses. I chose a favorite from each category. Let’s get to it!
Essential:
Business plan
Typical cost range: $1,000–$20,000
What’s a business plan? It’s a formal document that will make sure you have an outlined plan of your goals for your business, such as:
- Description of your company, products, and services
- Market research to identify your ideal customer and potential opportunities
- Competitive analysis to understand what similar companies you’re up against
- Marketing and sales strategies to grow your business
- Business financials and projections
It sounds like a lot, and it can be. Your business plan will require some time to get the information, resources, and the help you need. But know that it’s an expense that’s more than worth it. You can find business plan templates online which helps cut down on costs too.
Unnecessary:
Expensive branding and marketing
Marketing is important and is something you don’t have to have a perfect plan for right from the start.
Business ownership is a learning process, and it takes time to figure out your target audience, brand identity, and best-selling products or services as your business grows. There are many free resources and you can try out different methods of marketing to see which attracts the right users.
Don’t jump into throwing a lot of money at a logo, paid ads, or promotional materials right away. Try out social media and word-of-mouth to see where that gets you.