In today’s environment of billion-dollar companies and highly competitive markets, it can be hard to remember what those “Amazons” and “Teslas” once were. Although some may start with more momentum than others, all companies begin in a startup phase. But what exactly is a startup, and how can everyday people get involved in this exciting and innovative world? 

A startup is a company in the early stages of its career. It typically seeks to develop a new product or service often based on an idea. These businesses have limited resources, as they may not have the money or consumer awareness, yet they have the potential to grow. Due to these limitations, owners of startups must make deals with investors to get their company going which may be risky but necessary to make a profit in the future.

If you choose to begin a startup you’re taking your first steps of becoming an entrepreneur. To successfully enter the business world, it is important to have some of the basic steps and strategies to take when creating a startup.

1. Identify A Problem

Have you ever had an idea about something you were extremely passionate about or even something that could make your life easier? With a burning passion for certain topics, it is easier to start your business model with a foundation of knowledge. It is also possible to not just think about making a new invention, but rather springing off of other products and making them better with your own twist. Either way, once you have a plan for what you want to create, it is time to move forward in the next steps of your startup.

2. Create a Business Model

Once you have an idea of where you want to begin, you will make a business plan to describe what you will be selling and how you plan to do so. In this step, you should think about all the services you can provide to consumers. It is also a good idea to begin to draft an outline of a website to organize your products and how you will launch your services. 

3. Secure Funding For The Startup

Although some startups may cost less than others, it is necessary to have funding to create, promote, and publicize your products to customers. Funding can at first come from just your friends and family who support your idea and will want to help you. However, as you advance into more serious steps of your company, you must make careful decisions with investors to understand how much money you need, and how much money you are obligated to pay back. Other sources of funding can come from venture capitalists, bank loans, and even business credit cards to fund the first steps of your startup. 

4. Build A Proper Staff

Suppose your company grows successfully after the first stages of your business model are successful. In that case, it is important to surround yourself with proper employees to help you out in your journey. Besides those that directly assist you in your marketing endeavors, it is also important to gain attorneys, insurance professionals, and bankers to create a strong backbone for the inner workings of your company. 

5. Make an Official Marketing Plan and Identify Your Customer Base

In this step, it is important to find ways to understand how to efficiently market your product to stand out from competitors in the same field. Also, figure out how to spread awareness of your product, whether to a niche audience or a much larger one. If you are targeting a smaller, more specific audience, an example of a strategy that can be used is a grassroots movement; by promoting your services locally either by word of mouth or specific communities. When focusing on a larger audience, strategies such as influencer marketing can be used, by partnering and paying money to high-level influencers, yet this may be more costly and risky. 

6. Learn and Adapt

After completing these steps, as well as researching the specifics of certain laws and regulations you must follow, you have successfully started your first steps at becoming an entrepreneur. Now it is important to learn from your mistakes and understand how to better grow your startup to become a larger business. In this step, it is important to understand that your product may not be immediately successful, but your time and efforts can make your business model an intriguing service to customers around the world later on. 

Overall, a startup may seem overwhelming but anyone, including high school students, can begin their journey of creating their own company. If this seems doubtful, just take examples from people like 15 and 16-year-old Caroline and Isabel Bercaw, who have sold over 500,000 bath bombs in their company Da Bomb Bath Fizzers, or 12-year-old Hillary Yip who created an app for teens to learn anything from languages to math. These are only a few of the many young entrepreneurs who became successful. If you decide to take on the challenge of creating a startup, your hard work will be sure to produce a company that you will not regret beginning. 

Sources:

https://www.investopedia.com/terms/s/startup.asp

https://www.thehartford.com/business-insurance/strategy/how-to-start-a-business/startup

https://www.forbes.com/sites/allbusiness/2018/07/15/35-step-guide-entrepreneurs-starting-a-business/

https://www.leangap.org/articles/6-successful-companies-founded-by-teen-entrepreneurs