{"id":36463,"date":"2020-01-08T18:19:15","date_gmt":"2020-01-08T22:19:15","guid":{"rendered":"http:\/\/www.andysowards.com\/blog\/?p=36463"},"modified":"2020-01-08T18:19:15","modified_gmt":"2020-01-08T22:19:15","slug":"get-started-product-based-business","status":"publish","type":"post","link":"https:\/\/www.andysowards.com\/blog\/2020\/get-started-product-based-business\/","title":{"rendered":"How to Get Started with a Product-Based Business"},"content":{"rendered":"

Starting a business selling physical products that you\u2019ll operate yourself or with a team is entirely different from other types of companies. Instead of digital products, it means entering a world of product development, production facilities, procurement, delivery, retailing and sales!<\/p>\n

There are many factors involved with getting started in a product-based business. To help you, here are some useful pointers.<\/p>\n

Validate the Business Concept and Product Ideas First<\/b><\/h2>\n

\"product-idea-validation\"<\/a>
\n6 Ways to Validate a Product Idea Before You Waste Your Time and Money<\/em><\/p>\n

While being an entrepreneur is exciting and interesting, it shouldn\u2019t be something that you dive into without proper thought and careful consideration. This is equally true of the actual business concept and product ideas that you already have in your mind.<\/p>\n

Sketch down on paper what your business idea is. Look for market research or conduct some to see if the concept is valid. Most new entrepreneurs blindly believe that their idea will work without playing Devil\u2019s Advocate by taking the other side and asking why it should? However, when doing so, it highlights any shortcomings in the initial ideas and lets you rework them (or abandon them for something far better).\u00a0<\/p>\n

Equally, consider your product ideas too. Think about:<\/p>\n

    \n
  1. Whether there\u2019s a proven existing market for the product<\/a> already?<\/li>\n
  2. Is there enough demand to make it worth producing it?<\/li>\n
  3. Is it improving upon another brand\u2019s existing product or something completely new?<\/li>\n
  4. Will customers need educating about what the product is<\/a> if it\u2019s breaking totally new ground?<\/li>\n
  5. How will the first production order be and how much will that cost?<\/li>\n
  6. What\u2019s the unique selling point of your product to differentiate it from the rest of the market?<\/li>\n<\/ol>\n

    How Will You Source or Get the Products Manufactured?<\/b><\/h2>\n

    Will the first product be made in parts, shipped out and assembled at your premises? Or, will it be produced at a manufacturing plant with your new brand\u2019s logo on it, boxed, and then shipped to you?\u00a0<\/p>\n

    How will you find a manufacturer capable of producing your product to a high-quality? Have you dealt with manufacturers before? Do you understand about minimum order sizes, follow-up minimum orders or the need to first refine and eventually approve of their product samples before placing a production order?<\/p>\n

    What about shipping, importing and any duties involved with the receipt of the goods? It gets more complicated if the goods are coming from abroad\u2026<\/p>\n

    To become highly knowledgeable in the procurement\/ordering and shipping arena, it\u2019s sensible to learn about this distinct facet of a product-based business. Taking a masters in supply chain management<\/a>, which can be studied online in your spare time, will doubtless provide a true insight into what\u2019s involved, demystify the many business processes, and clarify how to best proceed.\u00a0<\/p>\n

    What Money Will Be Required to Get Started?<\/b><\/h2>\n

    \"how-to-handle-inventory-for-your-home-business-using-principles-of-microprocessor-design\"<\/a>
    \nInventory Management And How To Handle Cash Flow For An Online Store<\/em><\/p>\n

    Have you calculated what money will be required and when to fund the business? Not all funds will be needed on day one; some may be staggered and only required when placing significant product manufacturing orders at a factory or leasing a retail space.\u00a0<\/p>\n