Starting a new business; a scary dream of many Americans. There are few things you need to know if you are among those determined to turn your dream into reality.
New Business Training
It is imperative to fine tune your knowledge in how to start business proceedings your field, no matter how well-versed you are. You not only need to know your product or service and how to sell it but to be trained in safety, hiring employees, and communicating with your clients as well.
If you’re starting a cleaning business, you must be trained in cleaning different kinds of materials. For example, you will clean a tile floor in a different manner than a hardwood floor. You also will need to be trained in the use of all cleaning products your company will use.
Product or Service
What are you selling? It’s either a product or a service, and it’s imperative that you know it—and know it well. You can’t start business school without your books, and you can’t start a new business without a thorough knowledge of your product or service.
Think of all the questions someone might ask you about the product or service you’re planning to sell, and then learn the answers to each and every one of those questions. You should be able to recite them in your sleep if you’re truly planning on starting a new business.
If you’re starting a new business in the cleaning industry, your product is the service of cleaning homes and/or offices. You must know what many different types of clients will need and how to provide it—efficiently and effectively. You must know about cleaning methods and cleaning products.
Know Your Potential
What is your worth? What are you able to accomplish in eight hours? How effectively can you train a dozen people to do the kind of cleaning your business will offer in a professional way? Knowing your potential means knowing how much you’ll be able to make when you start business scheduling and transactions.
Know Your Customer
Who are your clients? Are they middle income 40-year-old women or upper class 60-year-olds? Are they working moms and dads or stay at home Gen Xers? When you know your customer you can fine tune your cleaning business menu.
Your Market and Competitors
When you know your customers you get a really good idea of the market you will serve. Do some research up front and learn the demographic of the area you plan to serve when you start business operations.
How many other cleaning companies are located within the radius you plan to serve with your new business cleaning company? Can you start business practices in that area without these details? No. You must know everything there is to know about these businesses. How reliable are they? What do they charge for services you plan to offer? What kinds of cleaning products do they use? Are they backed by a reputable franchise or are they a Mom and Pop kind of operation?
Your SWOT and SWAG
First, of course, it’s vitally important to understand what SWOT means. SWOT stands for Strengths, Weaknesses, Opportunities and Threats. Do you know what yours are? It’s important to define them all before starting a new business. That way you’ll know in advance what areas you are accomplished in and which will require added diligence.
Do you know what SWAG stands means? It stands for “scientific wild-ass guess” and is a rough estimate by an expert in any given field. If you plan to start business transactions in the home and office cleaning field, it’s important to know your SWAG in that field.
If someone asks you a question pertaining to the cleaning business, how high would your SWAG rate? You must have an answer to this question before you start a business. Think of it as creating a list of the most asked questions by prospective clients; just so you won’t find yourself guessing every response; in other words—throwing your SWAG irresponsibly; which can be a serious liability for your new business.
Know Your Risks
What are you risks in starting this new business? If it’s a cleaning business you plan to start, you know there will never be a shortage of dirty homes. You will long be in high demand. Are you borrowing money to buy into a franchise? How secure is their business plan and brand?
Are you lax when it comes to firing an untrustworthy or lazy employee? Write that down. It is one of your risks.
Get Everything in Writing
Whether it’s a new business plan or the cost of buying into a franchise, it’s imperative to get it all in writing. Your human resources agreement is only as good as the piece of paper it’s written on, as is your contracts with product vendors and clients. Before you start proceedings for a new business in any market, make “Get everything in writing” your new mantra.
Once you know all the aforementioned tidbits of new business knowledge, you’re ready to take the next step in becoming a new business owner.