Let’s say you have a great idea for an online business. You have some start up money and an idea of what goods or services you want to provide, but now what? Where do you go from here?
An Entrepreneur article looked at this very topic by focusing on things to avoid when starting an online business.
Business planning is crucial. Granted, this may not mean having a super formal business plan, but it does mean having a general idea of what you are selling, how much it will cost and where your customers will come from.
Additionally — since there is a good chance you will run out of money before you make any, knowing how much you have on hand, how much that will last for and what will happen when you start to run out is crucial. All too often owners start trying to scramble to raise funds when it is already too late.
Plans for customer service should also be kept top of mind. With an online business, you need to make sure there is a way to interact with customers, especially if they are unhappy.
Along these same lines, though — of pleasing customers — you want to make sure to not give too much away for free when you are first starting off. It may be tempting to want to give something away before your business is established as a conversion tool, but keep in mind your bottom line and think about giving away things like eBooks, webinars or checklists for early customers.
Of course, these are just some really general, broad tips for online business owners. The overall message, though, is that certain steps should be taken prior to launching a business in order to increase the likelihood of success. An attorney who handles business formation and planning will be able to better answer specific questions and provide advice related to the specifics of a business.