5 tips for starting a business from scratch from someone who’s done it

How many articles have you read about inspirational leaders? About Steve Jobs? About the ‘why’ vs the ‘how’?

For me, the answer is “too many”.

So I figured it was time to take things back to basics, with a quick, actionable outline of business tips. Stuff anyone can understand - but also things I wish I’d known when starting Blue Array.

Without further ado, here are my 5 top tips for starting a business.

1. Don’t buy the domain name

How many of us have had dinner with a friend, thought of a ‘brilliant’ idea for a business and excitedly registered a web address. Only for it to go unused for months on end, and eventually be deregistered.

It’s great fun buying a domain name, and it feels like a good step, but it’s not where you should start. I assure you, by the time you get to writing out even the briefest of business plans, the site name will be looking slightly irrelevant.

And by the time you launch, it won’t make any sense at all. So hold off on this until a later stage.

2. If it’s a consumer-facing product or service, speak with 10 or 20 of your friends

The main thing you want to test is whether your idea has legs. If the problem is the limescale in your iron, you want to check that it’s a broad problem that many irons experience! If you’re making something for consumers to use, message some friends and ask them whether they had the same problem that your product solves.

They did? Brilliant. Then ask them if they’d buy a product that solves that issue — and how much they might expect to pay. You’ll immediately get a feeling of whether your product (anti-limescale iron cleaner!) has a market.

And remember, friends tend to be supportive, so really probe them for honest feedback. Avoid the ‘yes men’ like the plague.

3. If it’s a business-facing product or service, speak with 10 or 20 of your potential customers

Most of your friends and family won’t be interested if your product is business-facing — or they might not understand it.

So, if you’re building a payment platform for small local businesses, do the same process as above but reach out to shops, cafes, cinemas, and so on.

4. Ask yourself: can I make this product?

Do you currently have the time, money and materials to start your business? If not, then can you bring in other people that will? It’s a cliche, but creating a business requires a colossal amount of work and commitment to take a product to market with real value.

If you think you can make it, think then about sustainability. Will you have enough cash to keep going for a year and bootstrap it, or might you have to turn to loans or investments? Most startups fail within the first year because they run out of funds, so be as realistic as you possibly can. And remember: turnover is vanity, profit is sanity, cash is a reality.

5. Make yourself the obvious option

Emphasise past successes wherever possible to potential investors and customers. When I was starting Blue Array, that meant shouting about how I helped take Zoopla to a $1bn IPO through SEO, and helped the Mail Online overtake New York Times. Most of the time, your customers will want someone or something that can deliver outstanding results. Previous wins help a lot with that, so don’t be shy.

But it’s not just about success — you also want to show your customer that you keenly understand their needs and can turn your success into theirs. At Blue Array, that meant emphasising my in-house experience to all potential clients.

Why?

Because they had only experienced working with SEO agencies who had a basic understanding of how in-house content marketing operated.

My experience on the other side of the table immediately allayed their concerns.