How To Become an Entrepreneur in 90 Days: Days 61-90, Jumpstarting Operations

In part one of our series on How To Become an Entrepreneur, we outline how to take your business from an idea to finding a target market. Part two discusses creating a business plan and securing investment capital. Here in part three, we cover jumpstarting the operations side of your business now that you have funding and can start budgeting.

As soon as your investments land in your business’s bank account, it's time to move. The key here is to put all your plans into action. You probably shopped around for a building and signed a contract before receiving funding. You also have some initial staff members in mind, as well as the type of office equipment you'll need.

Let’s take a look at how to jumpstart your business operations in the third month of starting your business, so you know what to expect.

Budgeting is critically important during the third month of your startup. You don't have any revenue streams yet (though you might have some sales in the pipeline), and you want to keep costs as low as possible while striving for growth. According to Forbes [1], you’ll want to set aside anywhere from 15% to 50% of your budget for payroll, depending on your requirements. To figure out where your business will sit within that range, ask yourself the following questions:

• How many employees do you need? 

• Are they entry-level? 

• Do you offer products or services? 

A service-based startup will lean more toward the 50% level, while a retail operation may steer closer to the 15% level for staffing. Digital tools, automation, and outsourcing can lower your labor costs. Office supplies and furniture can cost anywhere from $200 to $1,000 per employee, and of course, there's also rent and utilities (including fast, reliable internet) if you have a physical location.

Other costs to consider:

• Set aside 25% to 35% for a procurement-heavy startup if you need inventory.

• Look to spend 7% to 10% of your budget on marketing, not including a website.

Your business needs a headquarters, both physical and digital. Your facilities budget gives you an idea of how much space you can afford. You already put feelers out during the planning phase to see what deals you could get for rent or purchase.

Furnish the building

Determine what look or vibe you're going for. What furniture do you want in the building? You'll need workstations for employees, comfy chairs in the break room, a professional reception area, and conference rooms for when you meet with staff, prospects, or customers. While settling into the new building, don't forget the signage and branding in crucial areas.

Don't be afraid to look for gently used furniture or refurbished computers in good shape. The cost savings can add up quickly when buying many items in bulk. As long as the equipment and furnishings work well in a modern setting, used items will be fine for now.

Purchase equipment and supplies

Purchase supplies you need for the restrooms, copier, and break room. Once the furnishings are in place, it's time to set up your equipment, including computers, peripherals, a printer, and servers. The idea here is to have the entire office or building ready for when you welcome employees and possibly customers on the first day you open. 

Set up social media and digital assets

Perhaps you don't have your website yet. Since creating one may take a few months for a web design team, you can outsource a basic template site to get you started until you can budget for something more elaborate. Or, if you’re hiring an in-house marketing person, find someone with web design experience to put up a site for you. Social media assets, such as Facebook and LinkedIn, can temporarily serve as your digital HQ until your website is ready.

Now is the time to purchase software for your startup. Minimally, you'll need payroll/HR software or an accounting program. Consider word processing, time tracking, and project management tools, too. 

Start recruiting and hiring minimal staff as you prepare your building. Your initial hires should be your A Team, filled with people you trust. Don't be afraid to hire family or close friends for some extra help.

Be honest when recruiting

When hiring unfamiliar people, be honest with them. Say you're a startup with a lot of growth potential. Things will be fast and hectic for the first six months to a year, but once your startup gets going, new hires can be the first promoted into managerial roles. Let them know that working for a startup comes with high risks but also high rewards.

Advertise, advertise, advertise

Now is the time to advertise if you haven't done so already. Target your marketing efforts specifically to the audience you want to attract. Social media ads, Google search ads, email marketing, digital billboards, and traditional media, such as mailers, are all viable ways to get your brand name to your target audience.

Your new hires are ready to roll up their sleeves and get to work. All furniture and employee workstations are in place, and the front doors are open. 

Employee onboarding and training

Now is when employees, even your trusted A Team, will get familiar with your business model. Onboard and train your new hires on the basics to get your company moving quickly. On day one, make sure they read and sign the employee manual and fill out all their forms to set expectations. After a week, your new hires should understand their roles well enough to begin growing your business.

Kickstart sales and increase marketing

Your sales team should be running on all cylinders at this point, even if it's a sales team of one (you). Start leveraging your pipeline to see what warm leads pan out for business-to-business sales. For retail sales, consider offering grand opening specials, a preview night, or free samples of your wares.

Get your name out there

Talk to your network to get the word out about your company. Attend networking events, both in-person and online, to start name awareness. Consider guest blogging for other websites to showcase your expertise. Have a "brand opening" where you show your brand to the world with a logo reveal alongside your other marketing assets.

You've started your business, and as time goes on, you’ll likely need to continue building out your operations with additional software. At GetApp, we can help you learn what software would work best for your needs and your team. We will show you the top-rated options to find the perfect fit for your growing business.