Turn Your Passion Project Into a New Business Venture In 5 Steps

Turning a passion project into a profitable business is a dream for many of us, but making that first step feels scary. Whether you are worried about the financial investment, not having enough time to spare, or simply not succeeding in your venture, leaving it for "another day" can be easy. 

Taking the plunge is the first step, and we’re here to help you make sure your venture is a successful one. Just over a third of startups make it to 5 years, with many failing due to reasons such as poor planning, a lack of persistence, or bad cash flow. Instead, tackling the process step by step will help build up a solid foundation that can help you leap from a passion project to a successful business.

In this article, we’ve listed the five steps that can help you get started on your new venture.

Don’t Quit Work Prematurely#

One of the biggest mistakes budding entrepreneurs can make when looking to dive into a new business venture is quitting their day job. Although working on a passion project on the side of a full-time job may seem easier said than done, having financial security will secure the basis of your new business.

A new business requires an initial investment, with many people failing to realize quite how much is required. 

Having a stable income will help you fund the new business, being able to put money to one side to provide enough savings to support the early stages of the business.

Some startup owners choose to open a new business account to manage their finances. This allows them to separate their living costs from the money that can be invested into the business, making forecasting clearer and more accurate.

By having funds in a separate account, you can figure out exactly where to budget your money and minimize the risk of running into cash flow problems.

Start Small#

When we’re filled with inspiration and motivation, it can be easy to get carried away and dive head-first into our business venture. Although there may be a ‘what have I got to lose’ mindset, this can be a costly mistake.

Starting a new business venture is a learning curve, bound to bring highs and lows as you navigate the new territory. With mistakes being almost inevitable, it’s much easier to manage these on a smaller scale, learning lessons that can help educate the next move.

Breaking down your business plan into manageable chunks will set out the different goals that need to be met to achieve growth. Doing things on a smaller scale, whether that be product creation, taking on clients, or hosting events, will give you room to maneuver the landscape without significant financial risk. 

In addition to making sure the business stays manageable and doesn’t lead to burnout in the early stages, starting small allows for change. A new venture is a time of experimentation and learning, so it is perfectly normal for things to change along the way as you learn what works and what doesn’t.

Establish a USP#

A unique selling point (USP) is key for new businesses that are looking to find their gap in a saturated market. With so many competitors fighting for the attention of consumers, it’s important to set yourself apart from the rest by having a unique business model that stands out.

Consider your strengths and how these can be used in your business to offer a product or service that is not commonly seen. Whether you forage for sustainably sourced materials, invest back into the local community, or offer a fully customizable service, finding your USP and placing it at the center of your business will help make a mark.

Any brand messaging should make your USP as clear as day, piquing the interest of potential customers at a glance. This can be incorporated into your website, product packaging, marketing materials, and face-to-face interactions to ensure people know exactly what you have to offer.

Create a Brand Identity#

Now that you have established the basis of your new business, it’s time to bring this all together into a unified brand image. The visual elements of a new business are crucial, creating an initial impression within seconds. A poor brand identity can make a business appear unprofessional and untrustworthy, losing potential customers before they’ve even interacted with the brand.

A brand identity consists of features such as your logo, color palette, fonts, imagery, and tone of voice. These elements should all work well together to reflect your brand personality and make it clear what the business is all about. Your core messaging is based on more than just words – visuals are a huge part of a brand and what it stands for, acting as the face of the business.

The color palette and overall aesthetic of a brand is a huge form of non-verbal communication, with color psychology subconsciously impacting our opinion of a brand. For example, neutral shades suit sustainable businesses that use natural materials, whereas a deep blue is more appropriate for corporate B2B businesses.

Once a business becomes more established, it can be trickier to make significant changes to brand identity, so getting it right from the offset is a must. Brainstorm different options and get the opinions of people who fit into your target market, seeing whether they can figure out what your business is all about without you having to tell them.

Market Your Business#

Once the foundations of your business have been established and you’re in a position to reach out to a wider audience, marketing your brand is necessary to grow your reputation and get your name out there.

First, start with your website. Ensure that it is well-optimised to rank for key search terms in your industry. Alongside this, create a site experience that hooks the user from the first click. This includes adding powerful visuals, easy navigation, and fast-loading media for streamlined consumption. 

A reliable web hosting plan is essential as it ensures the website remains visible and secure, also providing the necessary tools for scalability when your business grows. 

Depending on the target audience you are trying to target, the marketing strategy you choose will need to be adapted. Consider where your audience is likely to be most receptive to your product or service, reaching out to them in a way that solves their needs.

Social media marketing is a great way to build up your brand image for free and repeatedly get in front of your audience. Platforms like Instagram and TikTok are great for businesses that have plenty of images and videos to share, whereas Facebook and LinkedIn may be more suited to corporate businesses or those targeting an older generation.

Email marketing and paid advertising are also incredibly successful tools, however, it is important to consider whether you have the budget to invest in these on an ongoing basis and whether they are likely to bring a return.

Before getting carried away and trying to take on too many strategies, consider what is a manageable amount that you will be able to stay on top of going forward. Consistency is key, so maintaining a few platforms is going to be significantly more successful than dipping in and out of every single one.

The Road Ahead For Your New Business#

Making the jump from a passion project to a business venture is a big one that involves a lot of risk and effort, but the rewards can be life-changing.

The process is not going to provide results overnight, but setting out small steps that help you work toward the end goal will turn it into a manageable process that doesn’t leave you burnt out. 

By following the five steps listed above, you can start working towards your new business in a logical way that will ease you into the process. By taking small steps that establish your USP, brand image, and target audience, you can figure out exactly what needs to be done to succeed.