Starting their own business or brand is the dream of many, but in reality, more people fail than succeed when it comes to branching out on their own and beginning a new venture. To be successful on your terms is hugely rewarding, but it is also an incredible gamble, as businesswoman and entrepreneur Sophie Chanel will testify. “There’s a lot of risks involved and a large number of things to consider before starting your venture. Going in headfirst without a plan is a recipe for disaster, but if you prepare and think long and hard about what you’re doing and what you hope to achieve, then you give yourself a fighting chance,” explained Sophie Chanel. As someone who has proved herself on the ground level and has the scars to prove it, Sophie Chanel kindly agreed to share with us five factors we should all consider before starting a venture.
It all begins with a great idea.
“We live in a competitive world, and there are already more than enough great and innovative startup ideas out there,” explained Sophie Chanel. “So, if your idea for a new venture isn’t unique, original, and dynamic, do you think it will be able to hold its own and thrive in what is an already saturated marketplace?”
Plan ahead.
“Fail to prepare, prepare to fail—that’s my mantra,” said Chanel. “I cannot stress enough the importance of having a fully comprehensive business plan before you launch any new venture. You’d be surprised how many people leave things to chance and believe they can just wing it. You can’t! The devil is in the detail, so make sure you’ve familiarized yourself with every aspect of your business and the potential pitfalls on the road before you begin your journey.”
Can you afford it?
“Most ventures require a substantial amount of capital just to get off the ground,” Sophie explained. “So the question is, can you afford the initial investment that you probably won’t see any significant return on until a distant point in the future? And if not, do you have a potential investor in sight? It takes money to make money, so ensure any outlays do not put a financial burden on you that you can’t carry.”
Do you have what it takes?
Sophie Channel said, “Being your own boss and living and dying by your own sword takes a very special kind of person with a unique skill set. Be honest with yourself—do you have what it takes? Not everyone does. So, ask yourself; are you tenacious, motivated, ambitious, hard-working, and innovative enough to make it work? If the answer’s yes, then you’ve already got a great head start on most people.”
Identify the need.
“It’s all very well having a great idea and being willing to give blood, sweat, and tears to realize that idea, but is there a need in the marketplace for what you’re proposing?” asked Sophie Chanel. “A business is all about supply and demand, and if there’s no demand, there’s no point working your socks off to create a supply. So, ensure you do your homework before putting in the hard yards. If your idea won’t work in the current market, then adapt and tweak it until it does.”