Hello my friends. We are witnessing a period of time of such incredible opportunity. You just need a 12$ domain name and free website template and you can start up your online business in under an hour.  Unfortunately, just because it’s easy to start an online business doesn’t mean it’s easy to succeed with one.

These mistakes could cost you a lot

An idea is never a business. Neither is a blog or a Facebook page. I have seen too many people who buy a domain name, hire a designer to create a logo, invest money and time in putting together a website without doing any planning or research, and then discover that no one cares, no one is listening, or no one wants to pay for what they have to offer.

Thankfully, there’s a simple way to avoid this heartbreak, and that’s by planning ahead to avoid these three big mistakes:

Mistake No. 1: Not Solving a Problem

Every business intends to solve a given problem from jewelry designers to accountants…etc. However, there are many entrepreneurs who are not clear about the problem they’re trying to solve. In order to fully understand what you have to offer as a product or service, you must understand the problem you are solving and whether people are willing to pay you to help solve it.

Mistake No. 2: Not Defining Your Audience

Suppose someone asks you who you help, what will be your answer? Or do you say something like, “Oh, this is really for everyone!”

There is an old proverb that that if you’re marketing to everyone, you’re selling to no one. By understanding who you are serving, you’ll be able to communicate effectively with them and give them what they are looking for.

Mistake No. 3: Not Having a Business Plan

You should know that you don’t have a business until you are making money, and be convinced that it is really hard to make money without a plan.

Make a simple business plan, it doesn’t have to be lengthy or complicated, you just need to clarify the point on exactly how you plan to generate revenue.

I find that a business plan is often the most valuable because it forces you to get very clear and action oriented in your new business.

I suggest your business plan include:

  • A business overview: what is the problem you are solving and who you are serving
  • Market analysis: who else is doing similar product/service, and how you will do it differently
  • Product or service detail: exactly what you are going to offer and at what price point
  • A timeline with an action plan: how you are going to make it all happen and by when.

The power of a plan

 

By spending a little time planning your business before you take the leap, you’ll save yourself a lot of time, energy, money — and potential heartache.