A business is an exciting venture that can be life-changing, but it requires careful planning, unwavering determination, and the proper steps to start successfully. Many aspiring entrepreneurs feel overwhelmed when taking their first steps.
But here’s the good news: by following a clear roadmap, the journey becomes far less difficult. Understanding what the right steps are to start a business ensures that you're setting yourself up for long-term success from day one.
In this guide, I will cover every critical move—from crafting an awesome idea, using the right research, and officially launching your business.
Each step is designed to help you establish a strong foundation, avoid common pitfalls, and build a thriving enterprise. Let’s dive into the process that transforms your vision into the startup you always wanted.
13 Things You Should Do When Starting A Business
Whether you're offering a new product or launching an innovative service, a blueprint can help to navigate the journey of entrepreneurship.
1. Research, Research, And… Research
Every great business begins with a spark of inspiration or an idea. But before jumping in, thorough research is essential to validate your idea in a meaningful and well-thought-out way.
This isn’t just about confirming your idea—it’s about uncovering insights that guide the foundation of your business. I have always believed strongly in the power of research and data… what can I say, I was a marketer for 5 years! Haha
The first thing you need to do is start identifying your audience. You need to understand exactly who your potential customers are and what drives their decisions. And when I say exactly, I mean EXACTLY.
What problems do they face that your product or service can solve? The better you know your audience, the more effectively you can meet their needs in a meaningful way. This is something every successful business has in common. A solution to someone's problem!
Next, you need to analyze your competitors. Take a close look at other businesses within your niche. What are they doing right? More importantly, where are the gaps you can fill here?
This is where your unique points come in to do just that. Determine what will set you apart in a crowded marketplace and why customers should choose you over the competition.
In short, research lays the groundwork for success. It’s one of the most vital steps to start a business because it gives you clarity and confidence moving forward. Do you research and your already off to a great start!
One of the best places to start doing your research is by going to Google Trends to see what people are searching for. Another great place to start is those social media apps you spend scrolling through on your phone all day.
You will be surprised to see what ideas come to your mind when reading everyone's comments on issues they are facing or solutions they are asking for. It is likely where there is one, there are many.
2. Lay The Foundation With A “Simple” Step-By-Step Approach
Once you have your idea, it’s time to create a business plan! Think of it as your roadmap. Without it, you're navigating uncharted territory blindfolded. Well, sort of…
A well-structured business plan keeps you focused and demonstrates to potential investors that you’re serious. Define your business objectives clearly. What are your short-term milestones and long-term goals? Outline how you plan to achieve them.
Your plan should also include financial projections. These forecasts show your expected revenue streams, expenses, and profit margins. They help you make informed decisions and attract investors by showing them your potential for growth.
Marketing strategies are another crucial piece. How will you reach your audience? Consider both online tactics, like reviews, social media networking, and traditional channels like print advertising for local communities (even if you're an online business).
Something I have learned over the years is that local community members near you are always more willing to support someone in their local area as opposed to some large-scale business.
I would know because I used to move furniture for a moving company for 5 years. I was always shocked at how much business we got when larger moving companies were available and for cheaper rates at that!
It was truly a testament to how much local community support we had, and it showed me the power of local businesses as well.
Creating a business plan is one of the most strategic steps to start a business because it maps out your vision in concrete terms. So to summarize, start small meaning local, specific, and measurable.
3. Create Business Structure
Selecting the right legal structure for your business is a decision that has a long-lasting impact on any business. It influences everything from how much you pay in taxes to your level of personal liability.
A sole proprietorship is the simplest option, ideal for solo entrepreneurs, but it leaves you personally responsible for any debts or business mishaps, which is the downside.
Partnerships work well for businesses with multiple owners, but they require trust and clear agreements to prevent disputes. An LLC, or Limited Liability Company, offers flexibility and protects your personal assets from business debts.
Finally, corporations are best for larger operations that require raising capital through investors but involve more rigorous regulatory requirements. By choosing the best structure early on, you simplify legal processes and protect yourself from future complications.
Suggested reading: Setting Up a Business from scratch- with little to no money
4. Register Your Business Name
A name is more than just a label—it’s your brand’s identity. Registering your business name formalizes your enterprise and protects it legally. First, select a name that reflects your brand’s essence and resonates with your target audience.
It should be memorable, relevant, and unique. When I started a side hustle gutter cleaning business a few years ago, I named it GutterWave because I also happened to live near the ocean, so I thought it fit well.
As simple as the name was, to my surprise, people were calling me left and right for my business and a lot of them outwardly told me they hired me because “they liked my business name”.
This showed me the power of branding your business properly with aspects that start in the beginning, like your business name.
Once you’ve settled on a name, check its availability. This includes conducting a trademark search and ensuring the domain is available if you plan to establish an online presence.
Finally, register the name with your local or state government, depending on regulations in your area. Registering your business name is one of those critical legal steps to start a business and ensure brand security.
But, before you do that, you should first purchase your domain name. If you don't know what a domain is, this is the URL that your business will have, such as (www.yourbusinessname.com).
Having the domain you want associated with your business name is critical because you want to make sure when somone searches for your business, it is actually your business. Not someone with a domain name that has your business name in it.
This happens more often than you think, and believe it or not, it actually can impact your business's future A LOT. So, before registering your official business name with your local state or government, make sure your domain name is available.
You can see if your domain is available and register your domain using Bluehost, which only costs $2 per month.
This ensures you are the owner of your business and your online name as well!
5. Licenses and Permits
I know it is not the most thrilling part of operating a business, but in the business world, licenses and permits are a real thing, and they exist for real reasons, too!
Running a business legally means obtaining the correct licenses and permits. The exact requirements vary depending on your location, industry, and business structure.
Start by researching local requirements. Your city or county’s website often lists the necessary permits for various types of businesses. Depending on your industry, you might also need federal or state licenses.
Don't forget to renew licenses as needed. Some require annual renewals, while others depend on specific business activities.
Acquiring licenses is one of the foundational steps to start a business legally and avoid penalties or shutdowns.
6. Business Banking
Separating your business finances from personal accounts isn’t just smart—it’s necessary. A business bank account simplifies bookkeeping, makes tax preparation easier, and presents your business as legitimate.
Choose a bank that offers features for small businesses, like low fees, online banking, and access to small business loans. You’ll need documentation like your business registration, tax ID number, and personal identification to open an account.
Most banks love new clients and will do almost anything to make sure your business bank is set up with them and not the other guys.
Believe it or not, this is a leverage point for you! Make sure you compare banks and find out which one will offer the best incentives for you and your business.
I also recommend applying for a business credit card to build credit history and manage expenses. This is something you will definitely want to have down the line, especially if you plan on expanding your business.
7. Funding Your Business Without Paying With YOUR Money
I was always taught that in business, the best way to grow, expand, or boost your business is by leveraging other people's money, including investors, banks, and others willing to lend you and your business money.
I used to think, why not just fund everything yourself, so you do not owe anyone? Well, it's because it is better to use other people's money so you don't have to use your own. I am simplifying it here, but it makes sense, right?
I like to think of it like this… If you were going to invest in a rental property, would you rather pay for the property with your money? Or would you rather borrow money from a lender and have your tenants in your rental property pay the loan off for you?
Any business can operate like this. Think of your business as the renters who will pay off your loans and debts for you. This keeps your money in your account. After all, you worked hard for it. You should do everything you can to protect it.
No matter how brilliant your idea, it needs funding to get off the ground. There are several financing options, and choosing the right one depends on your needs and goals.
Small business loans from banks or credit unions are traditional routes. You’ll need a strong business plan and good credit history to qualify.
Crowdfunding platforms like Kickstarter and Indiegogo are great for generating early support and validating demand. You can also seek out angel investors or venture capitalists if you’re looking for larger sums.
Applying for grants is another excellent option. Securing funding is one of the pivotal steps to start a business and ensure it has the resources to grow.
8. Set Up Your Business Location
Your location can make or break your business. Whether you work from home, lease an office, or run a storefront, where you operate shapes how customers interact with you.
Home offices are cost-effective and ideal for online businesses. Retail spaces bring visibility but come with higher costs. As you select a location, consider zoning laws and lease terms. Your space should align with your budget and future growth plans.
Setting up your location is one of the physical steps to start a business and establish your presence.
9. Develop Your Brand Identity
Brand identity is more than just a logo; it’s the personality and promise your business projects. A strong brand builds customer trust and fosters loyalty.
Find what your brand stands for and what you want it to be known for. It is even important to think of some type of memorable slogan or phrase your business can use so people think to themselves “I know that business, and I trust them”.
Design a memorable logo and select a color palette that reflects your brand values. Craft a consistent tone of voice in all your communications, whether professional, playful, or authoritative.
Finally, build a professional website that showcases your offerings and makes it easy for customers to contact you. Developing your brand identity is one of the creative steps to start a business and leave a lasting impression.
I mentioned creating your domain name earlier with Bluehost for $2 a month. With that domain, you also get to build your website on WordPress.
Through every business, blog, and marketing campaign I have ever run, I can say that the most important asset a business can own is a website. You can leverage so many things from displaying what your business is, its services or products, and who you are.
This is crucial, more so than ever today, where everything takes place online, even if your business is not necessarily online.
10. Establish an Online Presence
Today, an online presence is non-negotiable. Your customers are online—so you need to be there too.
Start by creating profiles on social media platforms where your audience spends time. Post engaging content regularly and interact with followers to build a community.
I always recommend creating an account on every social you believe you might use or know others use. That does not mean you have to post to every single one of those, but it makes it so no one else can use your business name or take it.
Search engine optimization (SEO) is essential for your website to appear in search results. Optimize content with relevant keywords, speed up your site, and make it mobile-friendly.
Establishing an online presence is one of the modern steps to start a business and connect with a wider audience.
Suggested reading: Remote Research Jobs: A Path to a Flexible Lifestyle
11. Develop a Marketing Strategy
Without a solid marketing plan, even the best product can go unnoticed. Define your target audience and craft messages that speak to their needs and desires.
Create a budget that covers advertising costs, email marketing, and traditional methods like flyers or direct mail. Use tools like Google Analytics to track campaign performance and refine your strategies over time, which is free.
Developing a marketing strategy is one of the essential steps to start a business and attract loyal customers. The best place to start marketing is on Facebook because there are so many groups and they have a very simple platform for advertising.
If you plan on running paid ads, Facebook is a great place to start.
Suggested reading: Milestones For Business Growth: Startups To Scale ups
12. Launching Your Business For Takeoff
The time has come to introduce your business to the world. A successful launch generates excitement and drives your first wave of customers.
Some businesses start off by hosting a launch event, whether virtual or in-person. Announce your launch through press releases and social media campaigns. Offering special promotions or discounts can also attract attention.
Launching your business is the culmination of all your hard work and the most exciting of the steps to start a business. You came this far based on an idea you had and now it's time to share that idea with others and watch it pay off.
Suggested reading: How to Start A Blog & Make Money From It As A Beginner
13. Continuously Monitor and Adjust Your Business Steps After You Start
Launching your business is just the beginning. The key to long-term success lies in continuous improvement.
Monitor your financial health by reviewing income statements and cash flow regularly. Gather customer feedback to identify areas for improvement. Stay informed about industry trends and adapt your offerings accordingly.
Continuous evaluation and adaptation are necessary steps to start a business that thrives in a competitive market. I talked about the importance of Google Analytics and starting a website earlier.
Using Google Analytics can help your business far more than you would think. Success lies in the data, and this is where you will access that data. Your website is the one on the frontlines collecting it for you.
Just make sure you use it and make the adjustments needed over time so you can continue to improve and expand.
Suggested reading: From Freelancing to Owning a Business: Why You Need a Website
Take the Right Steps to Start a Business
Starting a business is a rewarding journey, but it’s not without its challenges. By following these essential steps to start a business, you ensure a structured and strategic approach.
Research thoroughly, plan meticulously, and execute confidently. Each step brings you closer to building a successful business that fulfills your dreams and serves your customers.
Stay persistent, be adaptable, and remember—every great business started with someone taking the first step. Why not you?
