How to kick off a viable business idea

You have a great idea for a product or service that you want to launch into a successful business! Now you are wondering what should I do next to make this idea a reality. Here are five components to help you start on the right foot.  

Create a business plan
Before you launch your idea, you must have a solid plan in place. Your business plan should include information on your business concept, target market, competition, marketing approach, financial projections, and other pertinent information. A well written business plan is vital when requesting financing from your local bank.

Choose a legal structure
When starting your business, you have numerous legal structures to choose from, including sole proprietorship, partnership, limited liability company (LLC) and corporation. Each structure has advantages and disadvantages. Choose the legal structure that best meets your business goals. It is recommended to consult with your attorney when making this decision.

Obtain required licenses and permissions
Depending on your business concept you may be required to obtain licenses and permissions in order to lawfully operate your business. Failure to secure proper licenses and permits may result in fines and legal challenges and negate financing.  

Secure financing
Starting a business necessitates funding. You could choose from multiple options, such as lines of credit, business loans, equipment loans, or working capital loans. Working with your bank lender you can talk through the options that would best fit your business model. (Learn how to choose the right bank for your needs here.)

Create a network
When launching a business, networking is a critical part of your marketing strategy. Attend industry events, join local business associations, and network with other local entrepreneurs. Developing a strong network can assist you in locating new clients, suppliers, and business partners.

These components are essential to your business and will take meticulous planning and preparation. Work with your banker to gain insight into each of the necessary documents needed. Together your bank will help you create a solid foundation for you to launch your business venture.

Have a question we can help with? Meet our business banking team here and reach out with your questions.

Ready to finance your business? Click here to start the process with a Northwestern Bank lender.

Check out more articles for your business here: View our blog

Questions to ask when choosing your bank? 

Why do I need a business account for my side hustle?

Looking to learn from other local entrepreneurs? Check out the podcast Banker with a Beer where local entrepreneurs, non-profits, and city officials share their insights on financial matters through a frosted lens. Listen on Apple, Spotify or northwesternbank.com/bankerwithabeer/

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