Starting a web studio isn’t the cakewalk that people like to believe. Any business requires a few important steps like establishing an LLC or corporation unless you’re planning to be self-employed. If you’re a programmer rather than a businessperson, then it can seem daunting because you’re usually buried in the code. Well, don’t despair.
Here are four tips to help you create a web studio business that survives the early few months and has a chance to grow from there.
Also, consider not just what the profit margin and retail pricing should be on each product or service, but also what’s the business must generate in sales to be profitable. This is different from individual services or products sold. It’s possible to sell products profitably but fail to sell enough to cover the other business costs and to turn a profit.
For tech-based businesses, it’s often possible to sell digitally and avoid an office altogether. Sales calls will still need to be handled, but there are commercial call centers that can do this. For meetings, a meeting room can be hired for the afternoon to talk with clients or simply visit them at their office instead.
For design businesses, try marketing via business forums and Facebook groups that are frequented by business owners. It’s also useful to befriend other programmers and graphics designers. This is because web studios sometimes need to outsource portfolio work that their team either cannot do or doesn’t have the capacity for.
Some web studios focus on one or more sectors and end up building a client list in certain industries like fiction writing, photography, dentistry, and others. Getting the first clients will be difficult but clients will have referral contacts of their own after that.
With effective cost management and a knack for marketing, a new web studio with some smart programmers and designers can flourish. Just don’t expand too soon in case there’s the occasional bad month.
Here are four tips to help you create a web studio business that survives the early few months and has a chance to grow from there.
Know Your Revenue from Your Profits
When you wish to work from a home office full time and create a profitable online enterprise, it requires getting the figures correct. Otherwise, it won’t matter how much business you do, it will be impossible to turn a profit! Whether selling services, products (or likely a mixture of both), you should figure out the profit margin for each product and service you’ll offer first. Oberlo has provided a convenient online profit calculator that does this for you, so anyone can figure out the prices they should charge their clients.Also, consider not just what the profit margin and retail pricing should be on each product or service, but also what’s the business must generate in sales to be profitable. This is different from individual services or products sold. It’s possible to sell products profitably but fail to sell enough to cover the other business costs and to turn a profit.
Remote Business or Eventually Move to an Office?
Working from home, you may not ever need to move into an office space. This requires the company to be completely remote with freelancers and/or remote workers providing the productivity that the business requires.For tech-based businesses, it’s often possible to sell digitally and avoid an office altogether. Sales calls will still need to be handled, but there are commercial call centers that can do this. For meetings, a meeting room can be hired for the afternoon to talk with clients or simply visit them at their office instead.
Make Your Mark Early
It’s important to make your mark early in the business world. When doing so, the brand can become well-known within a year or two and generate significant business. Other companies and individuals will then start seeking you out instead of having to constantly chase new project assignments.For design businesses, try marketing via business forums and Facebook groups that are frequented by business owners. It’s also useful to befriend other programmers and graphics designers. This is because web studios sometimes need to outsource portfolio work that their team either cannot do or doesn’t have the capacity for.
Research the Market for New Opportunities
Look for gaps in the market that aren’t being filled or pursued. Also, think about whether it’s either too early or too late for this type of product or service? Consider whether an idea is premature or not – a great idea developed too soon will drain company resources.Some web studios focus on one or more sectors and end up building a client list in certain industries like fiction writing, photography, dentistry, and others. Getting the first clients will be difficult but clients will have referral contacts of their own after that.
With effective cost management and a knack for marketing, a new web studio with some smart programmers and designers can flourish. Just don’t expand too soon in case there’s the occasional bad month.
