Did you know one out of four Americans may end up working remotely this year? If you want to learn how to build a remote startup, we can help.
In this guide, we’ll go over tips on building a startup from scratch.
Want to learn more? Keep reading.
1. Who is Your Audience?
You’ll want to understand what you provide your audience. How do you provide them with a useful or valuable service or product?
Do you stand out from your competitors? Understanding your niche will help you develop your business plan.
2. Create a Business Plan
As a business owner, you’ll need to create a detailed plan.
Business plans will be up to 50 pages long and outline your goals and how you’ll reach the different stages. You’re also providing interested investors insight into your company.
A remote business plan should include the same information as an in-person business. Write up a business description. Outline your vision and purpose, and formulate a unique selling proposition.
Explain your internal structure and steps, along with financial projections.
3. Pick a Virtual Business Address
As a remote business, you’ll need to register your company. The address will help you set up a banking account and a spot to receive your business mail.
In each state, sole proprietorships, corporations, and LLCs need a physical mailing address. The address needs to match the state where you registered the company.
A PO Box isn’t accepted, most of the time. Another option is using your home address.
Some people don’t feel comfortable using their personal addresses. Pick a virtual business address by using a virtual mailbox service.
What is a virtual business address? These tend to be a physical street address in an office building or mail center.
To use a virtual address, you’ll need to fill out a US Postal Service form 1583. This will give the virtual mailbox provider permission to get mail on your behalf.
4. Don’t Forget to Register Your Business
You’ll have to pick a structure and name before you register your business. Once you choose your business structure and name, you’ll register the company.
Talk to an accountant. The business structure you choose will impact your funding, personal liability, and taxes. Make sure you work with a reputable accountant, as well. Check out https://www.taxfyle.com/tax-preparation-outsourcing.
Register your business name with local, federal, or state governments.
5. Do You Have Funding?
You won’t need to worry about covering rent costs or buying furniture for your offices. Yet, you’ll need to determine how much you’ll pay for supplies, business equipment for home, and salaries.
How much money do you need? Complete a break-even analysis. Include all the expenses possible like employee salaries, marketing, and business equipment.
Remote businesses will also have particular expenses. You might have to provide company laptops for employees. You’ll pay for online tools like video conferencing software and time tracking tools.
Make sure you create a detailed budget and stick to it. When possible, get things second-hand. Otherwise, invest in high-quality work equipment so you and your employees will succeed.
6. Did You Create a Work Policy?
Your remote business will need a remote work policy. You want to spend time outlining your different expectations for your workers.
How often do you want them to communicate and respond? Will you have a confident expectation regarding responsiveness and availability?
Will you let workers choose their hours, or do you expect them to work during set hours? Cover legal considerations, travel requirements for meetings, and data security rules.
7. How Will You Hire Employees?
Next, you’ll need to consider how you’ll find experienced workers for your startup.
Will you try and get workers from your network or post the job online? Consider how your recruiting process will work and who’s responsible for it.
8. What About Benefits and Other Costs?
Most people love remote businesses because they can save money in the long run. Depending on your work setup, you can avoid maintenance costs, office leases, and more.
Even if you save on real estate, you will need to spend on other items. Make sure your remote workers have all the tools they need to succeed.
9. What Are Your Guidelines for Absences and Leaves?
When workers transition, they’ll wonder how vacation days and requested leaves work.
Figure out how you will address these concerns as a remote startup. You’ll want to outline the policies regarding absences and leaves. How much time off will get paid, and what won’t?
You should also make it clear the steps employees should follow to take time off. Will the individual need to talk to someone when they request time off? Spell out these guidelines so there isn’t any confusion.
10. Check-In With Team Members
You should look at checking in with employees often. This is especially important at the beginning of a new remote startup. New workers will need the check-ins so you can make sure they’re settling in well.
Even when people settle in, you should still try to facetime workers often. Host company gatherings through your virtual conferencing software.
Try to have an online team-building activity to promote engagement with team members.
Building a Startup
We hope this guide on building a startup was helpful. Make sure you create a detailed work policy. You’ll also want to check in with your workers.
Are you looking for more business tips? Stick around and check out our variety of resources today.
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Startup’s Guide to Write a Business Plan
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How Do Investors Value a Startup?
