Step #8 of my Top 20 Tips for Small Business Start Ups is about the nuts and blots of your business machine. This may be your first time as a CEO, even if you’re a one person-brand, so it’s down to you to work out how the business will operate. The equipment, online platforms and ways of working you set up now will either make your life easier or quietly drain your time for years, so give this some thought.
The golden rule: buy what you need for the next 90 days, not the next five years. Going it alone may need some investment, but there's no prize for jumping right in and spending too much too soon. Instead, take a look at what's possible as you scale.
1: Work out what you really need
Grab your business plan and walk through a typical customer journey, from the moment someone finds you to the moment they've paid and you've delivered. At each stage, ask: what do I need to make this happen? That usually falls into four buckets.
1. Kit. Laptop, phone, tools, a camera, stock, packaging, workspace equipment. If you already own something that does the job, use it.
2. Software and online platforms. Email, a calendar, file storage, accounting, invoicing, a way to take payments, a booking system, a website, social media.
3. Systems. How enquiries come in, how you keep track of leads, customers and jobs, how and when you invoice and chase payment.
4. Processes. The repeatable steps for doing the work. Write them down as simple checklists.
2: Split it into "need now", "need soon" and "nice to have"
This is the most money-saving exercise in this whole series. Make three columns and be ruthless. A second monitor is a nice-to-have. A way to invoice customers is a need-now.
Some ways to keep costs down:
• Buy second-hand where it makes sense, especially for furniture, tools and basic kit. I love Facebook Marketplace for this.
• Use free trials and free plans before committing. Many tools, such as Canva or Brevo have a free tier that's plenty for a start-up.
• Beware of subscription creep. Ten "just £8 a month" tools add up fast. Put a date in your diary every few months to review what you're paying for and cancel anything you don't use. And make sure all your payments are coming from your business bank account. These are business costs, which you will want to show to reduce your tax bill.
The systems every small business needs
Whatever you're selling, these are worth sorting before your first customer:
• A professional email address that matches your business name or domain. Google workspace provides this. It’s good to have the same website and email domain.
• A way to get paid. Bank transfer, card payments, online payments, or all three. Think about what your customers will expect.
• A simple way to invoice and track money. Accounting software makes tax time far less painful, and we'll cover it in Step 10. Popular choices include Xero, QuickBooks and FreeAgent, but there are others.
• A customer list. Even a simple spreadsheet works to start with. Remember data protection rules apply so keep it password protected (Step #16).
• A calendar and task list so nothing falls through the cracks.
• Cloud storage and back-ups. Losing your files is a very bad day, and running out of space when you’re creating video content is very annoying.
Don't forget cyber security
It's easy to think you're too small to be a target, but the National Cyber Security Centre says otherwise: its small organisations guide to cyber security reports that around one in two small businesses suffer a cyber incident every year. The good news is the guide breaks down simple steps, many of which take about five minutes. They cover:
• securing your important online accounts
If you do only one thing from this blog this week, work through this list.
Write down your processes
It feels like overkill when you're a one-person band, but a few simple checklists are worth their weight in gold:
• What happens when an enquiry arrives? Who replies, how quickly, with what information?
• What happens when someone says yes? Contract or terms, deposit, booking, onboarding.
• How do you deliver? The steps you take every time.
• What happens after? Invoice, follow-up, a request for a review.
These checklists make you consistent, help you spot what could be automated or handed to someone else later, and mean you won't forget a step when you're tired or suddenly really busy. Customers need and expect reliability.
Know the rules for how you sell
If you're going to sell online, by phone or at a distance, there are specific rules about the information you must give customers and their rights to cancel. Have a look at GOV.UK's guidance on online and distance selling, and Business Companion for free, impartial guidance on trading standards and consumer law.
Keep track of what you spend
Go back to your business plan and make sure your start-up costs line up with what you're actually buying. You may need to make amends to your plan. Keep every receipt, and pay out of your business band account. GOV.UK has useful information on records you need to keep, which we'll cover in Step #10.
Your homework to do from this Step
Remember, you don't have to do everything today!
• ☐ Map your customer journey from first contact to payment
• ☐ Make a "need now / need soon / nice to have" list
• ☐ Set up a professional email address
• ☐ Work through the NCSC small business cyber security guide
• ☐ Write simple checklists for your first three processes
Need help choosing your tools?
With so many platforms out there, it's easy to get lost in choice. If you'd like help figuring out what you actually need, book a call with me.
Next up in the series: Step 9, What Upskilling Might You Need? Because you're about to become a Jack (or Jill) of All Trades.
