10-Step Guide for starting a business with 10K: do it successfully

If you want to start your first service business and have 10k in the bank or less, then you might find this guide helpful: starting business with 10K – 10 main steps.

1. SWOT analysis for you and your team

This is the first stage of a startup. The major things to take into consideration when writing a SWOT analysis is external factors and internal strengths. For external factors you want to consider threats from your competitors, as well as analysis of key markets, limitations on resources and problems with distribution channels. But lets assume you don`t have a business yet.

When you build yourself up and/or analyze your skills on paper, you’ll be able to identify your true skills and capabilities. Keep in mind that it’s always a mix of both strengths and weaknesses.

For example, you have a good Math skills, you like systems and Excel PLUS you love football and know a lot about it. Maybe you can be a football analytic for bets business? Find 3-5 niches (drafts) on that stage, and don`t move forward until you did it. Starting a business with 10k or even less – hard. And there is no point to move forward until you know your SWOT.

P.S.: You can use your business community or friends with their own succesfull businesses to help you out with that.

2. Niche for your next 10k business venture

Now, you should open your Google and type in your specific niche keyword. How many results do you have?

Look for some competitors and opened every single link from page 1 of Google. So, does anyone need someone to work with? Is there any sellers or buyers?

After that, you may have a one or two niches on that stage now. And maybe you already fixed one of them, right? Titles and Services you see is a tip for men and women like you. When you start a business with 10K or less you have just one chance to make it right. 

3. Drill down the Niche with business trends

Now you may want to choose a smaller and more specific niche for starting a business with 10K.

Now you may want to choose a smaller and more specific niche. Like you have a “Lawyer in Boston”. And your sub niche going to be “Lawyer for medical personnel”. Then you have a “Lawyer for people with disabilities”. You can even go so far as to say “Lawyer in Boston that specializes in DUI defenses”. Drill down.

P.S.: Have a look at our 9 niche trends: about niche marketing with examples 

4. Your first model - SUP 1.0

Actually, this is a technique we use to make a first approval for Starting a business with 10k. You should too.

1) Summarize all of your starting / initial investment. And then, summarize all of your monthly costs. Keep in mind that you need to calculate only fixed costs. So it`s like the cost of ownership in conditions that you`re not selling anything, just spending (rent, sallary, etc.).

2) Write down your pricing strategy for your main product. Like you buying apples for 1 dollar per item, and selling them for 2.5 dollars. Your margin is 1.5 USD per item. But your tax rate is 30%, so your margin is 80 cents per item? etc.

3) Answer the question: “how many items should you sell to have a profit of 1k / 10k/ 100k per month?”

By the way, we can provide you with Free First Consultation.

More about Finance in Startup and SUP. 

5. Risk manager inside you - PEST LEED quick analysis of your service business ideas.

Test drive your service business idea. Think of this as a risk-manager consultant. What would you say if someone says: “I`m starting a business with 10k only, and I need you pro-level advice… what risks am I getting? What can goes wrong?”

You’ve just discovered a service business idea that you want to get off the ground. But before you actually start working on this project, the first thing you should do is perform a PEST analysis. This will help you take a look at your potential competitors and customers – and how they are likely to respond to your idea.

Let`s do more. Lets make a PEST LEED analysis.

Every letter is a word.

P – political risks

E – economical risks

S – social risks

T – technological risks

L – law-related risks

E – ecological risks

E – educational risks

D – demographical risks

For example, Edu-risk. It`s when you make a Web Design with old-school HTML. But there is competitor with WordPress skills. If you will not learn – you`ll be out of business soon. They do websites much faster and these sites are easier to manage. And it`s cheaper. 

So, try it before starting a business with 10K. No problem here? Great! Let`s move on! 

6. Is it a Market Ready product line?

Your business idea has changed from stage 1 of our startup guide, right?

Find as much keywords as you can that are related to your business. 

If you`re accounting firm, then keywords can be “accounting software classes”, “accounting tax preparation”. 

If this keywords has a big Volume (monthly searches in Google), then you better find a way to integrate this SERVICES into your product line. 

7. ABCR and Pricing

We`re in a business of real-world business development projects for 12+ years. With perfect record by the way. And one thing we know for sure. It is always about pricing and product line.

Perfect product line always looks like this:

A – sell it one time and you have enough to feed your team and family for a year

B – your regular product (like average sale)

C – very unexpensive product, like 7 or 9 bucks.

R – recurrent service

Don’t do anything before you develop this kind of product line. It is crucial for starting a business with 10k or less. You must be profitable soon to keep your money in a pocket. We can help with free consultation. 

8. Sales Funnels

So, you have pricing and startup costs. Now you need to plan your sales funnels. How many foot-traffic or online traffic you can get?

How your interest ratio and conversion to a buyer going to look like? Make it as a calculator in Excel or Google sheet. And approve these numbers with some facts, statistics, or from a business development experts and sales / marketing consultants.

This is the way to find out about your expected earnings and real costs of offline or digital marketing. Successful business is all about good business planSo yeah, you always need numbers in your laptop.

Have a look at our services 

9. Advice Stage - best practice for starting a business with 10k (USD)

This is a stage when you`re opening your phone contacts and start searching for the most related to your great business idea person. Once you find one – call him and say some like that:

“Listen I have a local business idea and its all about electric car service, can I talk to you about it? You`re the only person I know that in a car business. And YES, I know that you`re not selling EV-s, but maybe you can help me with advice about that market? I need that info, cause I`m a newbie”

This is how you`ll get a proper networking (“Ok, thanx for your time today, can you refer me to someone else too, so I can find out more?”). Make 10 visits per week. You`ll be surprised of pre-sale results.

This is how you get your pricing and product-line updates (“how much do you think it can cost?.. Oh realy? why is that?”)

And this is how you get realy hot clients (everything they say to you – is an offer! like “do that with your product line and I`ll be your customer”). 

10. Marketing Stage when starting a services business with 10K

Now, you need:

1) Website (Funnel or Ecommerce)

2) Facebook / Instagram / LinkedIn pages

3) Content Plan created by Top-Level SEO specialist

4) Copywriter

5) Web-Designer

6) Google My Business page

7) PDF`s for your potential customers

8) Calcs, CRM and Task-management (or everything in Google Sheets for now – its your choice)

9) Basic Sales scripts for you or your sales person (FAQ for your clients basically)

And YES, you can do it all by yourself! 

And YES again. We can do it all for you. Faster then you think. Successful business is all about product and partners. Period.

Starting a business with 10k can be easy with partners like us. 

FAQ

SUP is a tool that helps you quickly assess whether you need to invest in this niche. To do this, you should answer the following questions:

1) How much does it cost?
2) When will he return?
3) When do we get to “0”?

It’s like your first business model, which will help you understand how long it will take you to go to 0 and when you will start earning.

The main goal of finding all possible risks for your business is reinsurance, because you will know what to do in case something happens. So write down everything you can find.

SWOT IT→DREAM IT→GOOGLE IT. More about niche is here

Yes. All products must be in the range of your niche. Product “A” is your most important marginal product, without it in any way.

The average check is a revenue over a period of time divided by the number of purchases over the same period. For example, in two hours the store made 5 purchases: for $ 5, $ 20, $ 3,000, $ 15 and $ 300. Amount = 3340 dollars, and divide by 5 = is 668 dollars, this is the average check.

So, get started right now. 

In our blog, you can read more about each of the sub-items. 

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