5 Things that should be done before you start your company

Bangalore: Is this a good time to start a company? Probably not! The world economy is rather unstable and many economists are predicting another recession soon. But, none of this would stop visionary entrepreneurs from going ahead and setting up his first venture. Their overwhelming passion makes them ready to take on the whole crumbling business world and show them how it really should be done. Are you one of those young visionaries? Then, let us go through some of the things that should be on your to do list before you start your company.

Know Your Market

 You saw the pain point in the market and you got a great idea for a solution or a product that will bridge this gap, yet, it is very important to know all the aspects of the market that you are targeting before you nose dive into it. You cannot pay your employees, your bills or your mortgage with idea; for all those you need money. So, can your idea make money? Do your homework and find out if there will be buyers for your product, how big this market can be, and more. Then check and make sure if there are others who are already in the market with similar products or are someone coming up with something similar. Only after doing the research and understanding the pulse of your market and making sure it is financially viable, should you go ahead.

Know Your Team

A group of people brought together by a 'great idea', that is the story behind the inception of most of the giant companies in the world today. We have heard this story so many diffe

rent times, but, what we have not heard about is the very large number of companies that have failed due to the 'group of people who were brought together by similar ideas'. Yes, that is true, and many of these ideas were brilliant too. If you venture into the field with a set of people who are a mismatch then your company is doomed to fail. What you need is a team of people with very distinctive set of skills fit for the industry, who can go along easily and will put 100 percent commitment. What you do not need is a set of part time entrepreneurs. Even in your wildest dream, do not think that you can run a company while keeping a full time job 
Educate Yourselves 

If you think all that is needed is passion and a great idea, then it is about time you learn your basics. When it comes to building your business both passion and ideal are

very crucial building blocks but you need much more than that. You need to know how to sell your idea to your customers, your venture capitalists and to the world. This is where marketing comes. You need to manage your money; finance management comes here. You have to manage your people; people management (not micro-management). You need to stay away from getting sued or any other legal troubles; legal structure. You do not have to be an expert in all these, but a complete ignorance is not recommended.
Money Matters

 
If you are not in a financially sound situation then do not bother even trying to start a company. The company that you are thinking of starting will be like a rebel teenager from t

he very first day. It will need a lot of money, will not be careful in spending, and will not give you anything back in the first few years. So, either you should have an investor to back you up or, if you are bootstrapping it, you should have a reasonable bank balance, a bank balance big enough to support it until it starts making money.
Name  

Naming your company is as important as any other part of it. You need a catchy name that is unique and short enough to remember. The issue is that, there are an impossible number of companies

in the world and they have already used almost all possible words and combination of words. So make sure you are not using a name that is already in use. A name that reflect yours and your company's values and characteristics would be great, but that again is easier said than done. With your name you are communicating with the world outside, so what matters is what they understand from the name and not what you understand. If the name for you means something really positive and the reader gets a really different idea that contradicts yours then the whole point is lost. So name thoughtfully and carefully.