So, you have an incredible idea. In fact, you think it is the best idea and could make you not only successful but famous as well. Does this mean that you should start a business today?
No. Not yet.
People start businesses for one reason and that is to be able to sell a product and pay taxes on that product. At this point in the process, all you have is an idea. Without a tangible product, you do not have a viable product to sell. In fact, beyond the idea in your head or a potential sketch on paper, you have very little, if anything, to show potential investors or consumers.
This is not meant to discourage you from continuing the process or from learning more about starting a business. In fact, it should motivate you to do more to transition your product from an idea in your mind to an actual product meant for the product.
As your idea is further developed, then you can feasibly consider starting your own business as you will have a better understanding of the market to include both potential customers and competitors. Recommendations and the process to starting your own business are laid out in this website as well as in our book, both of which strongly suggest launching your business later in your journey to market your invention.
Again, why should you wait?
My purpose here is to save you money rather than to encourage jumping head first into something that can be prematurely very expensive. However, if you have already decided that you want to start a business, there is nothing wrong with that. If you are in a situation where your business name or trademark is at stake, starting a business may be the best means to ensure that you maintain the business name for the sake of trademark purposes. Consider this: In some countries, such as in Australia, if you want to buy a domain name for a website then you have to have a business number (ABN) to prove that you own that particular business name.
While starting a business is an exciting, albeit stressful process, adding to the stress of the invention process is not always advisable. As often mentioned, the invention process can be expensive as its costs are dependent upon the materials used, the manufacturers and their processes, as well as the overall production, shipping, etc. Because of the unexpected costs that inventors should always prepare for, there is little time or funds to launch a startup business in the midst of the invention process.
In an earlier article, I mentioned the importance of taking your time through the process and here, again, I echo the same advice. Before launching your business full force, make sure that you have a clear understanding of your product and how it meets a particular need in the market. Know the market itself as well as your competitors. Why is your product unique and why would consumers buy your product over another? By gaining further knowledge of the invention process and the market, you are essentially laying a strong foundation to better establish your future business. Again, take your time and trust the process.