THE UK has witnessed a start-up boom in recent years as people of all ages across the country have turned their business ideas into reality. Over half a million people start a company every year. If this is something you’re considering, here are five questions that you should think about when setting up a business:

* What’s your idea?

* What will your company structure be?

* What’s your business plan?

* What resources do you need to start?

* How will you find your customers?

Assuming that you already have an idea, you then have to decide how you will legally structure your company. This can be dependent on a number of factors, usually starting with how many people there are involved – is it just you, or a handful of equal partners? This will help you decide on whether you will register as a sole trader, limited company or partnership.

After answering these questions, you’ll have prepared your initial basic business plan.

Then comes the most important part of any business planning process – how will you find customers?

It may seem obvious, but many start-up businesses get so engrossed in the process of setting up and becoming a ‘real business’ that sometimes the obvious need to find that first customer slips down the list of priorities.

Whilst it’s important to make money in any business, that first customer is so much more than just your first source of income. They are a marketing opportunity, too. They can be the basis of a case study illustrating what you do and a very useful way to attract other clients. Success with early clients can be particularly helpful by generating word-of-mouth referrals, which are probably the most effective means of marketing for small businesses. That first customer will also help you to refine your offer, clarify your costs and improve your business plan.

Many businesses start trading in a particular market sector – offering a specific product or service – then along comes a customer asking for something slightly different. What they are suggesting may or may not be the right thing for your business to offer, so you should always ask yourself:

* Is this a real opportunity?

* Can I actually do it?

* Is it right for the business?

* Is there a cost to making this change?

Once you have reviewed the pros and cons and you are convinced that it is the right direction to take, grab the opportunity but make sure that you revise your business plan accordingly to align with your new direction.

Help is at hand

The Growth Hub is here to offer free help and advice to anyone looking to start, grow or finance a business. We can guide you as you write your business plan, decide your company structure, provide feedback on your idea, how best to execute it and much, much more.

Contact the Growth Hub on 01604 212696, and make your dreams come true this summer.