Are you thinking about opening a business in Oregon? This can be an exciting and rewarding venture but it requires careful planning and execution. Whether you’re launching a cozy café, an innovative tech startup, a retail shop, or a home-based freelance service — understanding everything from how to do market research to getting a business loan to fulfilling orders has to be considered.
Yes, it's a lot. But we're here to help make it a little clearer and easier for you!
In this comprehensive guide, we outline how to transform your business idea into a thriving reality. Get ready to learn about the essential steps to launching your business and tips for success. With our roadmap in hand — you'll see how doable it is to get your enterprise up and running.
Launching Your Business
Each step on the pathway is vital. Each contributes to building a solid foundation for your business. By following these steps and remaining adaptable to the ever-evolving market landscape, you can position your business for growth and sustainability.
Let’s start walking through what you need to take to make your entrepreneurial dreams come true!
Step 1: Conduct Market Research
- Identify your target market and competitors. Scope out and dig into consumer pain points and preferences to refine your offerings. Explore what other companies are already providing. This will help ensure you're aligned with what people want and aren't yet able to get.
- Analyze consumer trends and demands. Gather insights through surveys, focus groups, and data to tailor your products effectively. Understanding your target audience’s preferences will enable your business to be even more relevant, compelling, and valuable to them.
- Determine if your business idea is viable and could be successful. Based on your assessment of market demand, competition, and estimated cash flows, estimate the chances of your business's sufficient and sustainable profitability. Engage with consumers, gather feedback, and refine your concept, ensuring it meets your target audience’s unique needs and preferences.
Step 2: Develop a Business Plan
- Outline your business mission and goals. Detail your vision, milestones, and commitment to customers. Incorporate insights from your market research to ensure your business is in tune with local needs and accounts for competitive dynamics.
- Flesh out your products or services, marketing plan, operational strategy, etc. Define your target audience and articulate your value proposition (aka unique selling proposition or USP). Again, make sure everything resonates with the community you want to serve and addresses gaps in the market. This clarity will guide your operations and marketing strategies effectively.
- Create financial projections and a budget. This will help you calculate your startup costs and ongoing cash flows. Start figuring out the systems and processes you'll need to track, monitor, and manage income, savings, expenses, and debt.
Step 3: Secure Funding
- Explore funding options, including loans, grants, investors, or personal savings. Research what kinds of money are out there and their costs/benefits.
- Apply for funding that makes sense for your business. You may want to prioritize grants or gifted money that don't require any payback. Consider Valley Credit Union’s tailored business loan options if you need financing.
- Don't forget about in-kind contributions and bartering. These have real monetary value and are often overlooked (or looked down upon). However, accepting things like donated office furniture or swapping time, skills, or goods with another business can save you a lot of money, which can be a lifesaver for the cash-strapped.
- Ensure you have enough capital to cover initial expenses and sustain your business in the early stages. It's common to have a funding portfolio that consists of money coming from multiple sources — like borrowing from a credit union and investing some of your own money.
Sorting out and understanding the financials can be one of the toughest parts of launching a business. Don't hesitate to reach out to VCU for help. Our business lending services are accessible, comprehensive, and customizable — just the personalized support you crave!
Step 4: Register Your Business
- Choose a business structure (sole proprietorship, partnership, LLC, etc.) and legally establish your business. Once you've selected a structure, complete the necessary registration paperwork with the Oregon Secretary of State to get your business license.
- Obtain necessary permits and licenses. Research local regulations for your kind of business to become aware of the requirements you're subject to. It's important that your business is in compliance with state, county, and city rules and regulations. You may have to reach out to various governmental agencies in the process.
- Get your business tax entity set up. Register with the Oregon Department of Revenue and Internal Revenue Service. Finally, after securing your funding and completing registration, focus on marketing strategies to attract customers effectively. Leverage local networks and online platforms for outreach.
Step 5: Set Up Your Operations
- Set up a business location and/or online presence. You need someplace to hang your "Open for Business" shingle! Get all your must-have utilities — electricity, water, internet, etc. — switched on.
- Purchase services and supplies needed to run your business. This could include equipment, inventory, software, and other materials that you use in day-to-day activities or sell to customers.
- Establish operational systems and processes. Create and document workflows and procedures for accomplishing tasks to help ensure consistency and quality of products and services you offer. Laying out how to do things in your business is essential if you plan to delegate work at any point. (It's also great to have if an emergency pops up and you need to step away from your business unexpectedly.)
- Hire and onboard employees or contractors (if necessary). If your business is bigger than just you, you'll need to find a team and train staff.
Step 6: Promote Your Business
- Roll out your marketing strategy. Reach your target audience via ads, content, events, and more. Encourage them to visit your brick-and-mortar, blog, website, or online shop.
- Generate buzz. Use social media, local events, and networking to build awareness and excitement. The key is going to where your target audience is hanging out and communicating with them in ways that they respond to.
- Tap into your networks for additional connections and support. Consider collaborating with complementary businesses and organizations to enhance visibility and cultivate rapport. Partnering up with others can be a powerful and dynamic tool for amplifying your business exposure fast!
Step 7: Monitor & Adapt
- Track your business performance and financial metrics regularly. Adjust your strategies based on what the numbers are telling you. Being agile and embracing change builds resilience, enhances growth, and promotes long-term success.
- Gather customer feedback and refine your strategies accordingly. Your customers are a tremendous wealth of business intelligence! Embed pathways to get info from them throughout their journey — before, during, and after they buy from you. Surveys, focus groups, and testimonial requests are just a few ways to do this.
- Stay informed about business topics. Cultural, regulatory, commercial, and technological landscapes are constantly evolving and this will impact you. Keeping tabs on trends, laws, etc. will help inform the shape and direction your business should take.
Bonus Step: Go the Extra Mile
Want to build success and staying power into your business model? Here are some ideas that can help you future-proof your venture.
- Prime the pipeline. Even if you're happy with where your business is at in terms of profit or volume, always look ahead. Have plans in place for what to do next to keep paying customers coming your direction. This is particularly important if you have a seasonal, cyclical, or hyper-niche business.
- Get involved. Taking an active participant or leadership role in organizations or causes related to your line of business reaps rewards. It can be an opportunity to forge relationships with like-minded people, give back to the community, and more.
- Plan for the unplannable. Random, unanticipated things happen. When you recognize this and have safeguards and contingencies in place when all's calm — your business will be better off when life events occur.
- Accept that change is inevitable. With this mindset, you can be more proactive and prepared and less reactionary.
- Keep learning. Given that the environment in which your business is operating is ever-evolving, it behooves you to strive to keep developing your knowledge and skills. Armed and armored with valuable information and desirable capabilities — transitions are easier.
Salem, Oregon Business Investment & Other Resources
Salem, Oregon, is a vibrant hub for business innovation and investment — with tons of resources and opportunities for new and growing businesses. Whether you're a seasoned entrepreneur or a newcomer to the world of commerce, knowing what's available here — and taking advantage of it — can help propel your business forward.
(Don’t forget to also look into online and non-local resources, too!)
Business Administration, Networking & Support
There’s no shortage of resources for you to access. Here are just a handful to get you started. They may offer guides, workshops, mentorship programs, business incubators and accelerators…
We also encourage you to explore what’s available through industry-specific associations, conferences, and trade shows as well as universities and colleges.
Financing & Financial Literacy Resources
You can also find ample assistance with your business funding and other money matters. Consider checking these out for all kinds of resources. Governmental agencies may also be able to direct you to federal grants and economic and tax incentives.
VCU, Taking Care of Business
Going from business idea to thriving venture is a process — but one that's largely straightforward if you have a good roadmap. By following the basic steps we've outlined above, you'll be able to understand your market, refine your offerings and operations, and adapt to feedback and changes so you can position your business for long-term success.
Resources are available here in Salem to help you turn (what might seem like) a daunting mountain into a manageable molehill. Especially when it comes to financing and business finances.
Don’t hesitate to reach out to VCU for more information or to apply for a business loan. Creating your entrepreneurial empire begins baking your crucial first step today!
About the Author
Justin Roberts, Vice President of Lending
Justin Roberts is our Vice President of Lending and has been in the financial industry for over 18 years. He is an Oregon State University Graduate and has just completed Western CUNA Management School. When he is not focused on helping the members at Valley, you will find him coaching his two sons and volunteering his time to help develop the youth in our communities through sports.