Starting a business could be challenging, it can be likened to bringing forth a child. The process involves nurturing an idea into fruition; after the idea is birthed it needs to be cultivated until it begins to bring forth fruit.
It is important to be well equipped before one starts a business; one does not need to have all the details, but there are basic requirements before starting a business.
Know the business
It is important to have basic knowledge about the business you intend to go into. You need to know who the major competitors are; you are probably not the first person to start the business or the only one in the industry. Competitors are companies whose line of business is similar to yours. You need to do a lot of research and acquire knowledge about the business. This is an information age; through the internet we can have access to a lot of information and knowledge. Take advantage of the internet to do a thorough research about the business. For example, through research you can find out government policies and regulations about the business and you can use that information to your advantage.
Understand the market
Without market business cannot thrive; if there is no one to demand for your product or service, then you have not created value. Also, if a market is already saturated there may be no need to add your product or service to the market. However, you may come with a unique selling point that gives you an edge over others by taking advantage of a gap in the industry or you may add value to the product or service by improving on it. For example, the bread market in my location is saturated, but there is this particular bread being produced by a restaurant that people prefer to buy. The catch is that there are raisins in it. So they call it fruit bread and people keep coming to demand for it. In fact, that is the most popular product of the restaurant.
Have a business plan
There is a popular cliché that when a plan succeeds on paper, it will likely succeed in reality. A business plan helps you to analyze your business, how you intend to get funds for the business, your projected cash flow, operations and management and every conceivable area. Through a business plan you get to do SWOT analysis; strength, weakness, opportunities and threat of the business. A business plan also helps to convince prospective investors about the viability of your business.
Know the suitable business for you
People tend to thrive well in their areas of interests. Know your areas of interests and build a business around it. The fact that there are many people in a particular line of business or that your best friend is into a kind of business does not mean it is suitable for you. You need to know your natural inclinations and what you are wired to do.