What Do I Need Before Starting A Business?

Hello, on this page you will find out exactly what you need before starting your own company. We will tell you the requirements needed for you to have a successful business in Malawi.

Know your product or service

This knowledge is essential to any business, whether online, home-based or otherwise. Without a good idea of what product or service you’ll offer, it can be very hard to move forward with planning and marketing your business. Your product or service will influence your business structure too. Depending on what you market or sell, will you only do business online, or will you also have an office space or store to run as well? This can have an impact on your business in terms of staffing, storage space, and rent costs. Before you start a business, find out if people are interested in buying your products or services. Find out who your competitors are and whether the market can sustain your business. Conduct some research to see whether your idea is really feasible. This will involve gathering, analyzing and evaluating information to help you formulate your business goals. Finding current industry statistics, sales trends and speaking with other business owners in the industry is often a good place to begin. Some questions to consider are:

• What product/service will you provide?
• Is your idea feasible?
• How will you protect your idea?
• Is there a market for your product/service?
• What skills do you need?
• Who are your competitors?
• What difference will you bring to the market?
• Do you have the financial capacity?

Know your customers

Knowing who you’ll be selling to can help you define your business. Do some research into your potential (or existing) customers or clients, and their habits – this means checking out who will be buying or using your goods and services, and how they normally do this.

Understanding your customer base, and how to direct them to your online business, is important. Investigate what kind of customers usually buy online, what they’re buying, and how they find their goods and services.

Expanding on the idea of understanding your customer base and directing them to your online business, it’s crucial to develop a deep understanding of their online behavior and preferences. This involves more than just knowing what they buy; it’s about understanding their entire online journey. Here are some key aspects to consider:

• Customer Demographics and Psychographics: Identify the age, gender, income level, education, and interests of your typical customer. This information helps in tailoring your marketing messages and product offerings.
• Online Browsing and Shopping Habits: Understand how your customers typically discover new products online. Do they rely on search engines, social media recommendations, or email marketing? Knowing this can guide your digital marketing strategy.
• Preferred Platforms for Engagement: Determine where your customers spend most of their time online. Is it on social media platforms like Instagram or Facebook, professional networks like LinkedIn, or perhaps forums and blogs related to your industry?
• Customer Pain Points and Needs: What problems do your customers face that your product or service can solve? Understanding their pain points can help you position your offerings more effectively.
• Feedback and Reviews: Pay attention to customer feedback, both about your business and your competitors. This can provide valuable insights into what customers value and what improvements they desire.

Incorporating these insights into your business strategy can significantly enhance your ability to attract and retain customers in the online marketplace. For example, if your research reveals that your target customers are highly active on Instagram and often make purchases based on influencer recommendations, you might focus on influencer marketing on that platform. Similarly, if you find that your customers value detailed product information and user reviews, you might enhance your website and product pages to include these features.

Know your plan

Why write a business or marketing plan?

It may be tempting to get on the internet right away and start experimenting with setting up an online business. However, a little planning can go a long way in ensuring your business is a success. Creating business and marketing plans can help you identify goals and develop strategies for achieving them.

If you’re an established business moving online, you might already have a business or marketing plan – but it could be a good idea to review them to make sure they’re comprehensive.

• Continue reading: How to market your business.
• You also need a business plan and a marketing plan.