Step 1: Think About Your Idea
An idea often manifests itself as an intuition or a simple desire, which develops and matures over time. When an idea is new or original, it is essential to question its ability to be accepted by future customers. On the other hand, if the concept seems bland, it is necessary to think about its actual usefulness in relation to the offers already existing on the market. In writing, lay the foundations of your idea:
- What items and administrations would you like to offer?
- What sector of activity are you targeting? Do you have experience and knowledge in this sector?
- Are you considering taking over an existing business or creating a new business?
- Have you considered franchise installation?
Then, it is essential to ensure consistency between your project and your personality.
- Do your loved ones support you?
- Will they be associated with your activity financially or professionally?
- Is your project compatible with your personal life?
- Do you need funds to start your business? Do you have the necessary resources?
- Will your new life be consistent with financial, family, or personal constraints (mobility, health, etc.)?
If incompatibilities arise, you will need to consider solutions such as training, finding partners, finding associates, forming a team with complementary skills, or even modifying/adapting your project.
Step 2: Ensure The Success Of Your Project
The very existence of a company is based on an essential pillar: customers. With it, a professional project can prosper, no matter the quality of an idea, which could turn out to be a success in the absence of clients. Carrying out a market study mainly aims to:
- Understand general market trends;
- Precisely identify your target clientele and their expectations;
- Evaluate your positioning in relation to the competition;
- Adapt your product or service based on the information collected.
Following this step, you should be able to:
- Determine an acceptable price for your future customers;
- Develop a commercial strategy and evaluate the first communication actions necessary to attract and retain your customers;
- Establish a forecast turnover.
Step 3: Check The Profitability Of Your Business
In this step, you will need to answer three major questions:
- Will your business be profitable, and when?
- What funds are needed for a successful launch of the project and to ensure its growth?
- Will your annual turnover cover annual expenses (charges, suppliers, stock, etc.)? The average payment terms imposed by law in your sector of activity must also be taken into account.
This questioning will allow you to build a coherent and viable project that you will present in the form of a file called a business plan. Each choice you make will have specific financial implications and repercussions on the overall economic balance. If the imbalance is too significant, you will need to review your project and adapt its financial structure accordingly.
Also Read: SEO For Startups: Five Important Aspects
Step 4: Write The Business Plan
This business file is structured around specific elements.
- A presentation of the project
- A market study
- The choice of legal structure and its description
- The description of the products and services
- Financial forecasts
The dreaded business plan stage can be made easier thanks to online tools. Propulse helps you create your business plan online, step by step. Turnover, expenses, and investments over three years… the tables and calculations for your financial forecast are generated automatically!
Step 5: Find Funding
If your project does not require financing, proceed to the next step. If, on the contrary, you need to find enough capital to ensure the success of your business, different means are possible.
First of all, make sure that you have identified the necessary needs and have evaluated the resources that you can quickly mobilize. Only then can you explore and apply for different financial options to fill your lack of financial resources. These options include:
- Micro-credit;
- Bank loans;
- Participatory financing (crowdfunding);
- Zero-rate, unsecured honorary loans;
- Business angels;
- Specific business acceleration or incubation programs
- The search for investors for participation in the capital of the company;
- Government grants for entrepreneurs and startups.
At this stage, it can be valuable to benefit from the support of an organization with in-depth knowledge of the different financing tools available to entrepreneurs, as well as assistance for business creation. Are your loved ones and your circle of friends willing to lend you money or invest in your business? Awesome! However, make sure to establish clear agreements and respect financial obligations to avoid possible conflicts.
Step 6: Choose The Legal Structure Of Your Business
The choice of status determines the legal framework within which you will carry out your activity. It depends on your activity but also your situation. To find the most suitable legal status, you will have to consider many aspects: tax, social, organizational, property, etc.
If you go it alone, you have the choice between:
- The micro-enterprise
- The “classic” sole proprietorship
- The single-member simplified joint stock company (SASU)
- The sole proprietorship with limited liability (EURL)
If you launch your project with one or more partners, various types of companies will be available, such as:
- The limited company (SA)
- The general partnership (SNC)
- The limited partnership (SCS)
- The simplified joint stock company (SAS)
- The limited liability company (SARL)
- The cooperative and participatory society (SCOP)
It is, therefore, essential to take this step seriously. If necessary, turn to a legal professional who can advise you in drafting the partnership contract, addressing aspects such as the capital contribution, the tax regime, etc.
Step 7: Complete The Mandatory Formalities
Do you now know which legal form to choose? You must now carry out specific steps necessary for the existence of your future company.
Step 8: Give Birth To Your Business
Now, it’s time to bring your company to life! To germinate the seed planted in the fertile soil of entrepreneurship, you must register your business. Since 2023, creation procedures have been wholly dematerialized, and you must go to the one-stop shop for this type of process.
Once you have created your business online, the competent organizations (Insee, commercial court registries, social and tax services, consular chambers, etc.) receive and process the information received. You will receive a unique identification number for your company (the Siren number). INSEE will also assign you a Siret number, which allows you to identify each establishment of your company.
Step 9: Implement The Different Management Plans
Depending on your business, you will need to go further by implementing several types of management plans.
- Human resources management: plan staffing needs, source and hire talent, and implement effective human resources policies.
- Financial monitoring and management system: To ensure the continued profitability of the business, it is essential to establish an accounting system and cash flow management and establish longer-term financial forecasts.
- Risk and compliance management: Depending on your industry, you will need to comply with legal regulations and industry standards. If you have commercial or professional premises, find out about the rules governing establishments open to the public (ERP) in terms of security and accessibility.
Step 10: Make Your Business Known
It is best to proceed with developing a solid marketing plan, which details the promotion, distribution, and communication strategies to reach the target audience. Here are some common strategies for promoting and marketing your products or services:
- Create a marketing strategy: define your goals, target audience, and unique value proposition.
- Develop an online presence: website, social media, SEO.
- Use paid advertising: target specific audiences based on demographic, geographic, or interest criteria.
- Work on public relations: send press releases and offer interviews or expert articles to get media exposure.
- Do influencer marketing: Identify influencers in your field and collaborate with them to spread the word about your products or services.
Offer special offers and seek partnerships: attract customers with discounts, giveaways, or referral programs.
Also Read: Local SEO Basics – How To Get Started And Grow Your Business
