Every entrepreneur wants to be successful in business. However, most of them, about 90%, fail within the first few years due to different factors. Despite the low success numbers, you can have a successful and profitable startup even if you’re a college student with no money and experience. Here are some strategies you can use to build a profitable company.
- Carry Out Market Research
Before launching your business, you need to know the existing market gaps. Identify the market needs or problems to build a successful startup. You can get ideas by talking to your peers and carrying out research on social media. Get information about the products and services that people need. In addition, take time to understand current trends so you can make the most of them.
- Create a Cheaper Product
After you’ve come up with a business idea, develop a unique product for your target market. Also, apply penetration pricing, a strategy that can help you attract new customers. Set a lower price for the product during its initial offering to attract more customers. Ensure that your product is of better quality to create market demand. You can also consult other entrepreneurs to get an idea of the pricing strategies that have worked for them.
- Apply for a Small Business Grant
Small businesses are eligible for business grants offered by federal, state, and local governments. If you are still in college and have no income, you can search for grants and find out if your business qualifies. If your startup is not eligible, you can apply for short-term loans to get working capital. Some online lenders like 1-(800)-Car-Title allow borrowers to refinance title loan and get money to grow their business.
- Develop a Business Plan
A business plan increases the chances of business success by about 30%. To build a successful startup, you need a formal document that details your objectives, business goals, and the steps you plan to take to achieve them. A business plan includes financial projections, a budget, and a marketing strategy. Additionally, it lists the long-term and short-term goals to keep an entrepreneur focused as their business grows.
- Get a Co-Founder
A co-founder can help solve the money issue, making it easier to grow your business. It becomes easier to get funding with a business partner, especially if they come with connections, knowledge, and different skills. You can look for a business partner in your networks–they can be your lecturer or mentor. You can also attend local entrepreneurship conventions and events to meet potential business partners. Ensure that you choose someone who understands your business and industry fully.
- Hire Experienced People
If you don’t have experience in fields like marketing and finance, consider hiring experienced team members. These individuals will fill the gaps and oversee critical business sectors you’re not knowledgeable in. As the business grows, you can increase the team and build a successful company together.
Starting a business requires a lot of commitment and can be quite a challenge if you don’t have cash or experience. But if you apply these tips, you can build a profitable company that stands the test of time.