
Looking at the figures, you can probably tell that it’s been a lot of hard work as it was started on such a relatively small budget. There’s a lot of news in the media around seeking start-up loans and seeking outside investment which are all good options, but it is possible to be successful without that kind of help. It starts with budgeting.
Here are some simple tips to help make your start success:
Premises
Only get them when you need to. There’s no point in renting office or warehouse space straight away, not until you know it’s going to be a success, as it’s an unnecessary outlay. Like with many start-up’s, the first business started from my bedroom. As demand for our products grew, this moved to the garage and I hired a friend to help me – but I’ll come on to staff later. When you do get to a stage where you need office or warehouse space then be sensible. Don’t go for a city centre location unless you really need to. Everyone wants an aesthetically pleasing working environment but the most important aspect is having decent transport links. Choose somewhere that has those, outside a city centre, and you’ll save on rent and council tax.The niche starting point
Hire flexible and loyal staff
Hire staff who are willing to learn and adapt their skills or learn new ones. As a start-up you need to have staff who have a main role, but can pick up other work when required. At Freshcig we have a PR & Marketing Director who now also does our SEO activity, an area he had never worked in before but his skill set suited. It’s meant that we don’t need to pay for outside services and we save over a £1,000 a month through that alone. I mentioned hiring my friend Dan, for Jazooli earlier and he still works for the business, very different from the days we worked from the garage. He’s adapted to all of the changes in the business and remains a loyal and valuable employee.Negotiate
Re-invest
Put all profits back into the business initially, or as much as you can. Only draw a basic living wage to give your business the best start. We all want to earn a lot of money whilst being our own boss, that’s probably why most people started their businesses, but that can come later. Keep your money circulating in the business, it’s an investment that can make the difference between a start-up failing and succeeding. Ben Wilson is Managing Director of Freshcig electronic cigarettes, his second business. His brother Sam runs online retailer Jazooli.com. Image sourceShare this story