August 07, 2021 3 min read
Photo Credit: Pexels.com
If you have a creative talent, you may have considered leveraging your skills to make money. Whether you crochet sweaters or create planners, there are many ways to turn your artistic efforts into an entrepreneurial venture. Don't let a lack of business degree or experience hold you back. The key to success is careful planning and organization.
The below guide lays out the essential steps creatives should take to set up a thriving business.
Come up with a unique business model
You want to ensure that the goods you create are in-demand among consumers. Ideally, you will be able to offer a unique service or product. This will make it easier to stand out in a crowded marketplace. For example, Blush and Bold creates one-of-a-kind tumblers, mugs, and wine glasses. By cornering a special niche like this, you improve your odds of success.
Research the competition
To ensure that the market in your chosen field isn't flooded, do a competitor analysis. This lets you see what others are doing, identifying their strengths and weaknesses. There are many components to consider, from social media to revenue and target audience. TalkWalker explains that you can use this info to shape your own products or services.
Write a business plan
Once you've clearly defined your product or service offering based on your competitor analysis, write it out in a business plan. This comprehensive document serves as an overall guidebook for your business. It also covers key points like how the company will be structured and run. Tradify offers a free template that you can use to draft your plan.
Formally register your business
With the basics of your business model sketched out in a formal business plan, it's time to formally register your company. This is done via the state where your business will be based (which is also where it will pay taxes). Consider what type of entity you want to form, such as a sole proprietorship, partnership, limited liability company, or corporation.
Set up a business bank account
Once your business is registered, the state should provide a document confirming that your entity is legally recognized. With this in hand, you can open a business bank account. There are many advantages to having a distinct account for your company. For example, it lets you separate personal and business finances, simplifying bookkeeping and tax filing.
Figure out your funding needs
With your business account set up, it's time to figure out financials. How much money will you need to start your business? Make a list of all the overhead costs you anticipate having, from creative supplies to commercial rent. When looking for financing, consider alternatives to banks, such as startup pitch competitions and crowdfunding.
Invest in business tools
The right technology can simplify day-to-day business operations. For example, an ERP solution for your business like QuickBooks Enterprise offers many critical functions. You can track your finances, manage inventory, run payroll, and more. This kind of software will save you time and stress, so you can focus on the fun part of your business—the creative side!
Start marketing your business
If you want your creative business to succeed, you'll have to devote some energy to marketing. This is how you attract the attention of customers. There are many ways you can boost your brand, including creating a compelling website, using online ads, writing a blog, and engaging with people on social media.
Starting a small business can be a great way to share your creativity with the world and make extra money. If you plan carefully, you may be able to turn your side hustle into a full-time gig.