I easily slip into overwhelm when there’s a lot of decisions to make and I’m not sure what to do. And if you’re planning to launch a business in the next few months…I’ll bet you’re feeling similarly.
Starting a business is simple—you start selling services or goods—but it’s also exceedingly not simple. There are so many things to consider.
4 decisions to make when planning to launch a service-based business
Once you’ve decided you want to launch a business, here are the next four steps to take. Yes there are some decisions, but let’s narrow them down to these ones for now. Leave the rest until afterwards.
Step 1: Choose your services
When I started out as a freelance writer I thought I could offer every type of writing. Why not? I’m a professional! Well, I quickly learned why you should have specialties. While it’s fun and interesting to switch projects and industries from job to job, it takes up SO MUCH TIME. You have to learn how to write in a specific style, or for a specific purpose. You also have to learn the industry or product. This is fine if you have extra time, but if you’re trying to run a business and earn a living…it’s not super efficient. When your branding is not clear It’s also confusing to clients, which we’ll address next.
Step 2: Narrow your niche
I know, I hate this step too! The process to find your niche can be difficult, because you’re just getting started! What’s too broad? What’s too narrow? Which niche is right for you? The thing about freelancing these days is there are SO MANY GENERALISTS it’s nearly impossible to stand out. So, something I’ve had to come to terms with is even if you are a generalist, and even if you can serve multiple groups of people/industries, focusing on a smaller slice is going to help you get started much faster than if you don’t. This is for a few reasons, but the biggest one (to me) is it allows you position your services in the market so you are different than everyone else and attract likeminded clients. And if you decide on a niche and it doesn’t feel like a good fit after a while? Change it. It’s fine.
Step 3: Decide on a business name
Wait, what? Isn’t naming kind of unimportant? Well…yes and no. If you’re dabbling in freelancing as a hobby then maybe you don’t need to do have a proper name because you’ll just invoice your clients with your name. But if you’re launching a business? Then you need to register with your city (at minimum) and a business name is required. Choosing a business name can feel like a big deal but in all honesty, it’s just something that you need for your business accounts, taxes, invoices…but it isn’t something you have to broadcast to the general public. So yeah, choose a name that doesn’t totally embarrass you but don’t worry about getting the perfect one. It will be alright.
Step 4: Set your new business up for success
You may feel casual and unsure when first launching, but you won’t regret putting your legal house in order. If you have a website, then ensure you have terms and conditions and a privacy policy easy to access in your footer. If you are working with clients then make sure you have contracts and payment terms in place. And don’t forget about a business owners policy and consider business insurance too—these could help protect your company down the road.
If you’re serious about launching a business then do your best to start it off on the right foot. Think through how you want to be perceived in the market and show up like that. And while it’s difficult to imagine things going sideways with clients, go ahead and put protective measures in place through contracts, terms, and policies. If nothing else it sets the tone and allows you and your clients to be on the same page, which is always great for business.