Why should you start a software company?
The importance and use of software have increased in the last few years. A few decades earlier, no one could expect to attend classes from home, but it is a reality today. Nowadays almost everyone uses the internet to do different types of activities and software makes their work easy.
A person can earn from this industry if his software adds some value to the customer’s life. This article will discuss a complete business plan about a software company in detail, which will help run a successful business. So a lot to know, a lot to discuss and without wasting time, let us begin.
Software developments (Public vs customers)
Your software company can perform two tasks which are:
#1 Developing software for the general public.
It means developing software on personal decisions which can be accessed by the general public.
#2 Developing software for a specific customer.
It means developing software for a client like big corporations, wealthy individuals etc.
You can analyse and research both and choose the option of your choice.
Software company business plan
Now let us discuss a detailed business plan for starting a software company. You can modify the first step to make software for a specific client but do not ignore it because no one will give you work without evidence. Now go through this business plan:
#1 Make an excellent and valuable software
First of all, you need to build good software. Nothing will work if your company’s software does not add any value to the customer’s life. So first of all, focus on building helpful software; otherwise, it does not make sense if you make a competitor of an existing mobile app that already captures a considerable percentage in the market even if you provide better features than competitors.
For example, If you make a social media application with more features than Facebook and Instagram, even then significantly fewer people will download and use your software because they are habitual of using them and changing a habit is very difficult for human beings that is why most people can sacrifice some extra features to continue their old habit.
Also, social media collects data of the consumers, and many people will hesitate to share data with a new app.
On the other hand, if you make a unique app that can solve the users’ existing problems, then definitely a lot of users will use your app because there are only two ways to get success in the business: either be the first or be the best. Being the best is rugged and easy, so try to be the first to get rapid success in the business.
For developing the software, you can hire a team that will reduce the work burden.
#2 Choose a good name and logo
A name is an identity, and a logo is the face of the company. I am sure that at least 90% of the internet users know the symbol of WhatsApp and Facebook because their logo is simple, easy to memorise and relatable. Like the logo of Facebook is “f” inside a blue box which is very simple, and it is f which is the first letter of Facebook.
Similarly, the logo of WhatsApp is a phone call that is relatable because WhatsApp offers call and chatting services. In the same way, your software logo should be relatable and straightforward so that people will remember it and share it with their family and friends.
Apart from logos, try to keep your app name short, straight, simple, and easy to remember and relatable. You can again take the example of Facebook and WhatsApp and now try to analyse it yourself.
#3 Fulfill all the legal formalities
The first step in forming a company is simply registering it in the registrar of the company on the respective companies act. Apart from that, you need to complete some other legal formalities before starting the business. So first of all, take advice from a professional like a Certified public accountant and register your company logo and name.
#4 Complete some other tasks
There are some other tasks which you need to do before starting the company. These tasks are like choosing a suitable office location, hiring some employees, preparing a budget etc.
Apart from that, you must know the best ways to keep employees motivated to work with their full efforts towards the company’s success.
#5 Start and advertise your business
Now start your business at full pace and advertise it on various social media platforms. If you are launching your own app, it is best to promote it on Play Store and app store. Be ready with good app hosting because if there is a need for your software in the market, I am sure that it will proliferate in less time.
On the other hand, if you provide a software development service, it is best to advertise it on linked in because many business houses use linked in for hiring employees or outsourcing the work. So there is a good chance that companies will contact you for software by seeing your advertisements linked in.
#6 Provide best services and features and focus on expansion
Now simply provide the best services to your customers. Try to add some extra features in software so that people love to use it and all the business houses start contacting you for app development.
Once you start earning profits from it, focus on expansion by hiring more employees, leasing more areas, launching more apps, and purchasing more companies because in a business, either you buy someone else or someone else will buy you in the long term. So if you do not expand, then one day, your competitors will crush you, which I think no one wants to be.
If you follow the above steps correctly, keep your employees motivated, avoid business mistakes, and expand your business, you can definitely run a successful business.
With this note, now comes the time to end this article and as always, God Bless You All.
Frequently Asked Questions
How much does it cost to build a software company?
Depending on the scale, you can easily start a software company with a minimum amount of about $20,000. It primarily includes company registration charges and office rent.
How do software company makes money?
A software company can make money by providing app development services or by launching their own app.
Which type of software can be succesful in the market?
A valuable and useful software with less competition can be succesful in the market.