Secrets Behind a Forming a Successful Company in the UK

By: Jamie Wallis

The other side would show you the plight of thousands of companies that fail, shut down and go bankrupt every year. In fact, there are more tales of failure than success. The risk involved scares away many from taking up any new ventures.

If these discouraging statistics do not deter you from becoming an entrepreneur, you might start your own company. Before you commence on this exciting journey, be sure that you have done your homework.

Forming a Successful New Company

The transformation from an employee to an employer is a huge step. Your moves needs be carefully planned so that you don’t stumble and fall in your journey. Here are the steps that need to be taken before starting your company.

  • Consolidate Your Position /

    1. Analyse your position and decide on the capital that you will be able to invest. The higher your investment, the higher would be the return but even higher is the risk factor involved.

    2. Explore the sources of your investment.

    3. List various business options that interest you. Examine the pros and cons of each option. For example, although you might want to venture into the telecom industry, the huge investment can always be a trouble factor. So depending upon various factors, shortlist the feasible ones.

  • Studying The Market

    Studying the market is a crucial step that decides the success of your company. A good deal of market research needs to be carried out to help you decide on the product or the service that you wish to sell and the attributes that it needs to possess.

    1. Carry out market research to study the current trend in the market to know which products are in high demand.

    2. It is equally essential to learn the future demands for these products in the market. This will help you sustain your position in the market. For example, if you were to start a company to manufacture CD Players, you need to ensure that there is likely to be no further enhancement in the technology in the near future. If there is one, this might make CD players less popular or obsolete. Just the way floppy disks have almost become extinct today.

    3. After deciding the product, study the market to learn what your competitors have to offer. This will help you fix the price of your commodity. Also, incorporate additional features to improve on the existing products in the market. This will enable you to gain an edge over your competitors.
    4. Preparing a Business Plan

      1. Once you have frozen on your product, set your business objective. Let the objective be realistic and achievable.

      2. Design a business plan. It is a documentation of your strategies in achieving your objective. Apart from helping you to get financial assistance from banks, a good business plan would help you to monitor your progress in business and make improvements to existing ones.
The Winners

Today, you need not have an affluent financial background to start your own business. The following are some businesses that are a lucrative prospect, which should help you, make a choice.
  • Starting an online company is a wise bet. With people looking towards the Internet to study from the comfort of their home, you could start a company that offers online tutoring or Instructional design for educational sites.

  • You can take advantage of the real estate boom in the UK and venture into the construction industry.

  • With technology being the buzzword, you can start a company that manufactures or sells latest electronic gadgets like mobile phones & accessories, MP3 players, Computers & Accessories, etc.
The Losers

Companies that fail have certain traits in common which needs to be avoided. If companies fail today, the reasons could be due to the following factors:
  • Choosing a product that people do not need.

  • Absence of a good business plan and marketing strategy.

  • Lack of understanding of your customer’s requirements.
Avoiding these factors will see you through as a successful business entrepreneur. Spend more time on planning to avoid disappointments later.
Success
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 

» More on Success