Have you considered starting a new product-based business? Starting a new product-based business is an exciting journey. And a new product-based business always starts with the question…
“Where do I begin?”.
If you have this question in mind, then get ready because this blog is for you. Let’s dive in on How to Start a Product-based Business.
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Creating A Project Plan
The proper way to start is by creating a project plan. In this plan you include details on your new product idea, your business foundation, the financial details and your high-level planning. So when you’re meeting with partners, investors or team members, you can show them your project plan.
Here are the basic questions and topics you can keep in mind in crafting your project plan.
Topic #1: What are you going to offer?
You can capture some product features, product benefits, your product positioning, and your product proposition under this topic.
In that case, you have to explain what your product is going to do, who it’s going to help, how it’s going to help, and how it distinguishes you from the competition.
Topic #2: Who are the people that you need to produce this product?
In this topic, you consider a team of experts you might need to start in producing your new product. Do you need a manufacturing facility for this item? Where can you find a supplier to sustain this new product?
TOPIC #3: How are you going to create your new product?
Ask yourself what makes your product unique. Consider your ability and skills to develop your product. Do you need someone who can help you with this?
Assess what you can do best in your product and delegate people in tasks to the least of your ability. Create your process and divide the tasks needed to complete your production.
Topic #4: Where are you going to establish your business?
Determine where your business location will be and your market range. You might need a third party to ship your products. It is also important to determine your market range to know the different rules and regulations of the area. Be careful and research it first before you start developing your product.
Topic #5: When are you going to do it?
Schedule your project plan from start to finish. This is how you’ll be able to manage and organize all the activities you need to do before your launch.
Divide your project planning into different phases. In this way, you’ll have a proper product structure overview. These phases will define clear milestones in your projects, an indicator of what your next step will be.
TOPIC #6: How much is it going to cost?
Determine your investment cost, cost of activities, and development budget. You can then compute your target price and forecast how long it will take for you to get your payback.
Only then will you be able to see if venturing into that business is worthwhile.
If you’re looking for more information on how to create a project budget, check out this blog article.
Takeaway from How to Start a Product-based business
So, if you want to start a product-based business, start with creating a proper project plan. This will help you determine whether it will be successful or not.
Free template to collect your meeting minutes
If you’re like me, you’re probably also fond of structure and overview. That’s why I always use my Project Planning & Action template in my project team meetings. It’s a handy spread sheet to note down all the actions with deadlines and responsible persons. You can filter on ‘open’, ‘closed’ or ‘started’ action points or on ‘responsible person’ and see in one glance who needs to take action and when.
Download my free template by clicking here.