When starting a business, do I make sure that I have a client base or start the company first?

I want to start a business working with hotels but i dont have a business established yet. Which comes first? Do i run the idea by the hotel first to make sure they are interested or do i establish the business then go to the hotels?

2 years ago - 3 answers

Best Answer

Chosen by Asker

Run the idea by them first absolutely. Even if they don't like it you've lost nothing.

However, if you already start the business, and then they don't like the idea, well then you still have to pay all your monthly business costs and without any revenue either.

I would say put off officially starting your business for as long as possible, or until you are CERTAIN that you will have a reliable revenue stream. Finding out your business idea isn't working after hiring people, leasing an office space, and scrambling to figure out a plan B with bills piling up, isn't a situation you want to find yourself in.

Instead, I would advise you keep working your current job, do your business idea on the side, and don't move into it full time until you are absolutely sure it'll work.

2 years ago

Other Answers

Logically, establishing the business first, but if both can be done simultaneously, nothing like that.

by Cowboy - 2 years ago

If this is a new niche marketing idea, you may want to feel out some of the hotels in your area first to find out if there is, indeed, a market for your idea.

If this is an established idea, then you would need to first find out how much, if any, competition you will face.

As for client base before company. You will not get a client base until you have a company and have signed them up. Prior to that, they are prospects, not clients.

by Herrmann - 2 years ago