Top five tips for starting a successful business

At a glance

• A solid business plan is crucial for guiding decisions attracting investors, and establishing a clear vision for success.
• Understanding your target market and managing finances wisely are elements that can help identify opportunities and ensure long-term sustainability.
• Building a strong online presence and maintaining flexibility in your approach are essential for navigating challenges and seizing market trends.

Richard Murray, Chief Commercial Officer with Elephants Child regularly meets businesses of all shapes, sizes and at various stages of their journey, helping them to grow and develop. He also works closely with business owners on their exit plans. Here are his five top tips to help you build a solid foundation for your new business:

1. Develop a solid business plan

A well-crafted business plan serves as a roadmap for your business. It should outline your vision, target market, competition analysis, revenue model, and financial projections. A strong business plan not only guides your decisions but also attracts investors and lenders. Once created run it past someone that you trust to challenge you and to give you honest feedback.

At Elephants Child, we believe this is the single most important factor in the success of any business. We have created hundreds of business plans over the years and the clarity that it provides for the owners of the business can be seen reflected in every decision that they make from that point onwards.

2. Understand your market and customers

Conduct thorough market research to understand your industry, competitors, and potential customers. Identify gaps in the market and tailor your products or services to meet the needs of your audience. Gathering customer feedback early can help refine your offerings. Remember, whilst there may be a gap in the market, is there a market in the gap? 
Many people fail because the target audience is far too niche.

3. Manage finances wisely

Financial management is crucial for long-term sustainability. Start with a clear budget, track expenses, and avoid unnecessary costs. Secure sufficient funding through personal savings, loans, or investors. Keep an emergency fund to handle unexpected challenges. Do not expect people to invest in your business when you have not invested in it yourself.

4. Build a strong online presence

In today’s digital age, having an online presence is essential. Create a professional website, leverage social media platforms, and use digital marketing to reach a wider audience. An engaging and informative online presence helps build brand credibility and attracts customers. Be careful to consider who you are trying to reach; what message you need to send to them; and what channel is the best to reach them.

5. Stay adaptable and resilient

The business landscape is constantly changing, and flexibility is key to success. Be open to feedback, adapt to market trends, and embrace innovation. Challenges and setbacks are inevitable, but a resilient mindset will help you navigate them effectively. Many successful businesses started out thinking they were going to provide something completely different to what they do today.

Starting a business requires dedication, patience, and strategic thinking. By following these tips, you will be better positioned to turn your entrepreneurial vision into a thriving enterprise.

Finally, a bonus tip… it’s never too early to articulate where the business journey will end. Is this going to be your job for life, or will it be grown to sell in the future.

Need help with your goals?

Aligning the business outcome to your own needs and wants can add that extra inspiration when times get tough. Afterall, the business will demand a lot of your time, so it needs to deliver something back to you personally. If you need help with this, get in touch.

We work in conjunction with an extensive network of external growth advisers and SME specialists, such as Elephants Child, who have been carefully selected by St. James’s Place. The services provided by these specialists are separate and distinct to the services carried out by St. James’s Place and include advice on how to grow your business and prepare your business for sale. Where the opinions of third parties are offered, these may not necessarily reflect those of St. James’s Place.
 

SJP Approved 24/02/2025