Are you thinking about launching a new business venture? Whether you’re ready to start the podcast you’ve been considering or a hobby has moved its way to side-hustle status, running two (or more) businesses is an excellent way to rake in more profits, increase your personal brand awareness, and expand your coverage across markets.
However, it also requires a commitment of your time, money, and resources to keep both trains on time and ensure your customers are happy across the board.
So if you’re planning to launch a new business venture, here are the strategies you need to know to navigate the transition with minimal disruptions and maximum return.
Get your existing business situated.
When it comes to launching a new business venture, the primary rule of thumb is not to neglect your existing brand(s) to find success in another. Most people fund their subsequent businesses with profit from their first one(s), so you cannot let your capital dry up. Otherwise, you’ll end up with two struggling companies and little else to show.
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Your established business has proof of concept—you already know it works. Your new endeavor isn’t there yet. In order to protect your interests, you have to continue putting your existing business first. That doesn’t mean that you have to lead the charge, though!
Instead, you can delegate to team members or hire someone to step in to support the transition. Starting a new business is a lot of work, especially when you already have one to keep afloat. Having a reliable team to back you up is an invaluable asset that you likely didn’t have the first time around, so don’t take it for granted!
Don’t take action unless you’ve done market research.
To thrive in your market, you have to understand the problems people face and the solutions that don’t yet exist. What isn’t going well for your ideal client? What struggle is currently going unaddressed? When you know there is a need, you’ll learn how to position your product or service in a way that speaks directly to your audience.
Use your current position to analyze the market and identify gaps that need solutions. Do you have the passion and desire to fulfill those holes? If you’re having trouble getting a pulse of the market, start showing up where your ideal clients are spending time.
Are they on social media, venting about their problems in Facebook Groups? Or are they gathering in person with local clubs and associations? Once you find the right space, all you have to do is tune in and start taking notes.
Prepare for the full investment.
It takes a considerable amount of time and money to build a business from the ground up. Many entrepreneurs forget the initial investment, often because their existing companies started as a side hustle with a full-time job serving as a safety net.
If your business isn’t full-time until it’s safe enough to leave a job, the growing pains might not seem as hard to manage. However, when you’re a multi-business entrepreneur, you don’t have the failsafe of falling back on a reliable job.
You are now solely responsible for paying yourself and your team, so you have to guarantee you are financially sound on all sides. Growth doesn’t happen overnight, so be proactive when planning your timeline to ensure you can remain solvent in your existing business, even if your new one has yet to make a profit.
Launching a new business venture and overseeing multiple brands at once can be a lot to take on, but it’s a step that will help you pursue other passions, explore new markets, and achieve financial freedom on your own timeline. If those opportunities light up your inner fire, then it may be a great time to start experimenting with that bright idea bouncing around your head!
