Te determination and courage to carry out a good idea and translate it into the projection of a business are the first step. But this involves considering other factors to know how to obtain clear advantages over your competitors and thus make better decisions.
That is why you should know which are the expanding commercial sectors in Mexico. Your original business idea may not be located in one of them, but if it is still in formation you could lean or adapt it towards one. Because? Because, although it is essential that you start with something that you like to do, in addition to knowing how much money you have, what your knowledge and skills are, it is also very important to consider whether it can be viable to direct it towards the areas where commercial development is being generated, so your business could offer a product or service in it.
Now, take note and get inspired!
What businesses are in commercial trend in Mexico?
Tailored nutritional programs
One of the commercial sectors that is growing today is healthy eating and overweight. Taking care of one’s physical appearance is very relevant for those looking to learn how to eat better, which is why it offers many opportunities to undertake. The key is to connect with the new needs of that audience: demand for personalized diets according to their genetic conditioning, metabolism and lifestyle.
baby tech applications
After smart watches and applications to monitor our heart rate or level of physical activity per day, now the opportunity is in devices to remotely monitor a baby’s sleep, keep greater control of their feeding times, or generate alerts while you sleep or in the event of an increase in body temperature and even from when you are in the womb make it possible to listen to your heartbeat. The good news is that as the cost of technology drops, it becomes possible to incorporate it into more products, such as a bracelet or sock.
Elderly care
By 2030, all of the so-called baby boomers will have reached 65 years of age, thus becoming a sector in which the advances of modern medicine will have more influence.
Maintenance and decoration services in homes or offices
This business sector has grown due to greater access to homeownership and the increasing desire to live and work in better distributed and illuminated, that is, more welcoming, environments. This trend continues even in times of economic crisis. As it lacks a wide range of professional and formal services, it offers an opportunity for professional development for plumbers, bricklayers, electricians, painters, carpenters, decorators, etc.
Hardware and software for taking selfies
With the rise of social networks, selfies have become more relevant to be part of the content to publish daily. Thus, business opportunities for manufacturers of tools and apps that make it easier to take a quality photograph of this type. This includes everything from light rings for cell phones to improve lighting, to canes and apps with special filters.
Workleisure fashion
The adoption of sports designs in everyday clothing generated a revolution in fashion and a new business sector that continues to increase its turnover. If clothes, shoes or accessories are your thing, then you could start with appropriate products to wear at work or at a meeting with friends, with the added bonus of offering comfort like clothes for going to the gym.
Urban micro mobility
Since the world’s population is increasingly concentrated in large cities, many problems have been generated for both those who have a car and those who use public transportation. For this reason, more bicycle, electric motorcycle and scooter services are emerging which, due to their size, allow you to move better through the streets and get rid of traffic jams. Although they still have the challenge of being officially regulated, offering greater security and reducing their initial investment costs. However, its market is one of those that will continue to grow the most, thanks to the more development of sustainable and eco-friendly projects .
Online training
More and more people are investing in improving their professional knowledge and skills, either because they aspire to a better job or simply because they do not want to lose the one they have. But as time is increasingly scarce and traffic problems in large cities complicate mobility, there is an interesting opportunity in the development of courses and seminars online, either through platforms such as Udemy or Coursera . or from your own company with tools like Zoom or GotoWebinar .
So if you have any knowledge, experience or talent that you would like to share with others and obtain income from it, do not hesitate to offer your information and service to your potential clients through attractive advertising. You can also create tutorials or live streams on platforms like YouTube and Facebook. Remember that your motivation is the drive of many others who have their expectations placed on you because they trust your knowledge and who, like you, are about to start a business. So through your training you and your users can generate bonds of shared effort.
How to make a business plan?
Once you have chosen what your business model will be, it is essential to create your business plan, that is, devise the strategies that will lead you to develop it and meet your business objectives.
As entrepreneurs, it is important to have a business plan to start and grow a business; It defines the basic columns of the company: the competitive advantage, the market opportunity detected and how it will be taken advantage of.
How to start a business without dying trying? To achieve this, we tell you which are the strategic sections that you should review while developing the plan for your business idea.
1. Market analysis
Always keep in mind that your customers are the reason for your business, so it is essential that you stay up to date with their demands and changes in their consumer habits. Review the sales performance of the business and the causes of ups and downs. Dialogue with salespeople and those responsible for the customer service area, since they are the main communication filter with customers when addressing their positive and negative comments, such as doubts and complaints: listen to them through surveys, focus groups or their comments in social networks. Also, analyze what the competition is doing.
2. Products and services
The second step to starting a business is to determine what improvements and updates that, according to the data obtained from the market, you should make to your offer; especially in the way you deliver value to your customers and the level of service you provide them. This is key so that your sellers have better sales arguments, to strengthen customer engagement and to avoid competing for low prices.
3. The work team
Any change in the manufacturing, sale and distribution of a product or service means making changes in the operation, in the way the staff works and in their capabilities. Once you define the new functions you have to ensure that collaborators are notified of the changes so that they meet the necessary profile. Otherwise, you must train them and give them the necessary tools so that they can achieve the best quality standards and, consequently, have happy customers.
How to start a healthy business?
According to the study “The life expectancy of businesses in Mexico” , by the National Institute of Statistics and Geography (INEGI)—prior to the health contingency due to Covid-19—, 70% of small and medium-sized companies (SMEs) tend to to close before turning five years old and, according to data from the Ministry of Economy (SE), the main reason why only 10% survive each year is poor administration.
Therefore, when starting a business, knowledge is required in areas such as finance, accounting, human resources, etc.; In short: efficient and, preferably, automated administration: having software that allows the electronic management of administrative and accounting processes so that they are more agile, precise and functional.
In any business model it is vital that the administrative operation is not underestimated, since only two out of every ten entrepreneurs are capable of managing their own business, according to the National Commission for the Defense of Users of Financial Services (Condusef).
So, for the business idea of an SME to obtain greater growth and increase the success rate of the business, it is essential to have a solid administrative platform that considers the following aspects (areas) and that they are adequately controlled:
- Accounting: It is an important area because it provides accurate information to evaluate the financial status of the business, projects the growth of the project into the future and allows good decisions to be made when investing and incorporating new technologies; as well as to determine the continuity of the company, etc.
- Billing: This area checks the products and/or services that have been purchased and sold. It must be fast, effective and error-free, complying with all current tax requirements.
- Payroll: The Human Resources area is present through payroll, and it is very important, since failure to comply with it can cause problems that undermine productivity in the short and long term. For this reason, it should never be left incomplete and should never be used to complete other expenses. An alternative to maintain optimal administrative and accounting control of payroll is to implement a Payroll Management System.
- Inventory: The optimal management of this item allows the good handling of products to avoid shortages and loss of sales, profits, customers and market. To prevent this from happening, stocks must be thoroughly known, losses must be controlled and an information system must be implemented that determines the cost of products in a clear and secure manner.
- Collection: This area allows the management of accounts receivable correctly to avoid lack of liquidity that causes debts. That is why it is very important to know how much clients owe, which invoices are overdue and how many are due, review the age of balances, etc.
- Cash and accounts payable: Maintaining effective cash control allows you to carry out company operations accurately to meet the corresponding expenses. This includes always knowing bank availability, generating payments and checks quickly and efficiently, as well as having all payments and deposits recorded.
- Costs: This area helps identify and control cost reductions and improve budget planning.
- Technology: This area contributes to making the business model innovative by implementing some electronic system in the processes to make them more competitive and thus increase business success up to 94%, according to the Mexican Institute for Competitiveness (IMCO).
If you adequately cover these administrative aspects, without a doubt, you will make your business formulate, develop and evaluate intelligent decisions that help it achieve its business objectives with financial health and continue to be a cornerstone of the country’s economy.
What characteristics do entrepreneurs have?
As we told you at the beginning of this article: congratulate yourself on your decision and ability to undertake! Because, you may not know it, but Mexican entrepreneurs are making history by becoming generators of wealth and employment: transforming markets and inspiring new generations to also dare to start their own businesses.
Although entrepreneurs around the world have characteristics in common: ambition, risk taking, self-discipline and business leadership vision. In particular, Mexican entrepreneurs distinguish themselves from the protagonists of more developed ecosystems, such as the United States, thanks to six rules of success that they put into practice. Here we share what they are so that now that you are about to start a business you do not stop considering and implementing them; Or perhaps, you identify that you already have a lot of them and you hadn’t realized.
1. Dare to break business patterns
Faced with scenarios where large companies are inefficient, Mexican startups develop products and services focused on meeting the needs of a more demanding consumer. Before starting a business, it is essential to study the target audience very well, create communication and advertising strategies, always considering our consumer.
2. Do more with less
Given the lack of entrepreneurial capital funds or soft loans, the Mexican entrepreneur knows how to make the most of the available resources; Because the healthy and progressive development of a sustainable and profitable business depends on good resource management.
3. Be creative
The lack of resources is also a good excuse to think about innovative ways of producing, promoting, marketing and delivering products and services; since it requires paying greater attention to details to make the customer experience a process of quality and trust.
4. Adapt the business idea to new technologies
Above all, the youngest Mexican entrepreneurs are clear that without new technological tools there is no efficiency and innovation possible in a business. As has been seen in the scenario of the global health contingency that implied a challenge of adapting new technological processes. For this reason, Mexican youth do not refuse to implement electronic software solutions for administration, accounting, production, inventory and personnel management, such as those from Siigo|which allow them to maintain better management of each area of the company, in addition to streamline operational processes.
5. Generate alliances
Another characteristic of Mexican entrepreneurs is that, without leaving aside competitiveness, they are naturally “sociable”, which is why they value sharing information, experiences and advice with their colleagues. They know that to obtain a greater scope of performance and impact from their products or services, they must ally themselves with experts, suppliers and collaborators who share their same passion. They value teamwork and consider it key to facing challenges and implementing joint actions that give rewards to everyone both inside and outside the business.
Because unity (strategic) is strength, here we give you some tips to generate effective alliances:
A. Define the company’s real problem or opportunity
A strategic alliance must have a clear purpose in terms of business growth and not respond to the wrong reasons, such as generating media impact or strengthening a marketing campaign. For example, perhaps you want to enter a new market and need an ally who knows it well. Or perhaps your plan is to expand your product line, but you have decided that it is better for another company to take care of its manufacturing.
B. Identify the key resources to achieve the company’s objective
Analyze what the business currently has and what it needs to grow. For example, perhaps you have sufficient working capital and financing, but you lack knowledge, experience, and talent in digital tools. Sometimes needs may be in new distribution channels, high-level contacts, or products and services that your customers are asking for but that are not immediately within your capabilities.
C. Determine the real value proposition of the future alliance
Before going out to look for potential candidates, it is very important that you think about what the contribution of working together with another company will be. First of all, you have to think about your client, what new demand, need or aspiration you will address. Secondly, how you will get ahead of the competition. The problem with many strategic alliances is that the only thing they seek is to solve internal operating or financing difficulties, which sometimes companies could solve themselves.
D. Think about what your ideal candidate is like
This is another very important step before starting the search for an ally. Among other requirements, you must include a common mission and vision, as well as values. It is also key that realistic growth objectives are shared, so it is best that there is not too much difference between the sizes of the companies. It is also necessary to make a clear diagnosis of the talent each business has, what the challenges are in terms of human resources and how the different policies related to personnel management could be complemented.
E. Do an in-depth analysis of key activities
Once conversations have started with potential candidates for an alliance, it is essential to put on the table a list of the ten activities that each one must carry out for the business model to be a success. Only then will you be sure that the counterparty is prepared and that it is the right one. For example, if what you are looking for in an ally is to expand your distribution network, it is important that you present information about the number of shipments you need to make per month, week and day, what the delivery times should be and what resources are available in your company to join these new processes.
F. Calculate the costs and necessary investments
Many entrepreneurs have the mistaken idea that a strategic alliance will allow them to expand their business for free. However, although the reward can be great, often the opposite is true. When a joint-venture occurs , the most common disbursements occur in the areas of technology, administrative systems (which can be solved with electronic administration system, human resources, marketing and sales. Before signing a contract, make sure that these numbers are clear to both parties and that you have the necessary capital to meet future commitments.
6. The limit is the world
Mexico’s geographical location, the open nature of its market and access to the latest in technology and new developments make Mexican entrepreneurs global; That is, from the beginning they think about the expansion or internationalization of the business. So don’t throw away all those ideas that can contribute to the development of your type of business, from the design of your product or service to the marketing plan and the platform through which you will sell it.
Follow these six rules so that your business achieves permanent success and ensures its profitability in the short, medium and long term. Be sure to share your experience with us so that others can also have clarity about how to start a business, what steps worked for someone and how they could apply them in their strategic plan.
What should we avoid when starting a business?
Up to this point everything seems very motivating, and so it should be; However, we must not lose sight of the fact that there are also aspects to avoid during any undertaking. Experts have identified the ten most common traps that entrepreneurs fall into, mainly the youngest ones.
Entrepreneurs by nature are idealistic and optimistic; such characteristics are more evident in those young people who decide to start their own business while they are still in college or shortly after starting a corporate career. By having their whole lives ahead of them, these entrepreneurs also have more room to make mistakes and to gain experience; but when the latter is barely developing or is not sufficient, then they tend to make common mistakes that generally mean the failure of the business.
To avoid them and so that reality does not interrupt your dreams, here we tell you what they are and what they consist of. Get comfortable and stay tuned so you can make better decisions!
1. Falling in love with the business idea too much
Overly romanticizing our business idea, as in any other area of life, is not good. Of course we must be convinced of the possibilities of success of our business; But blind overconfidence often causes us to not thoroughly investigate what the client really wants, what the potential demand is and whether there are other competitors who have already taken a large part of the pie.
2. Partner with a friend
When we are twenty or thirty years old we spend a lot of time with friends; even some at a more mature age; because it becomes normal that when we come up with a business idea they are our first option to start a business. But be careful!: a good team must be made up of people with complementary profiles, knowledge and experiences, which we will not always find in our closest circle. It is important that the sentimental subjectivity of wanting to include others does not win over us when deciding who to integrate into our endeavor. So it is better to be as objective as possible and include not only those who share our same passion, but also have the necessary skills.
3. Not signing minimum agreements
In relation to the above, another problem derived from associating with a friend or family member is that we can fall into overconfidence. That’s when the problems start. It is generally due to the lack of written contracts or agreements to prevent any situation, no matter how small, from affecting the relationship between the founders and directors. Remember that from the beginning your business plan must clearly establish the rules or conditions to follow.
4. Believe that a business plan ensures success
Although we have said that the business plan is necessary to have accurate information about the market and to define the strategy, the reality is that the income and profit forecasts in this document are rarely met. That is why some experts recommend focusing during the first months of operation on two or three key metrics for the efficient operation and profitability of the business.
5. Refusing to share project details
Due to immaturity, younger entrepreneurs tend to believe that their idea is the most revolutionary and disruptive; Therefore, if they discuss details with an investor or potential client, they run the risk of being copied. Unless it’s a patent, you shouldn’t worry about it: when a company is successful 10% can be attributed to the business idea, but 90% to the execution. So remember that your project is also nourished by the brainstorming that the members can contribute. So if you fear that your original idea will be stolen, it does not mean that others will do it the same way, because in the end what counts most is the creativity with which it is executed, then everyone will have their own way of doing it and it does not mean that They will be able to do it just like you.
6. Wanting to do everything
It is normal that, at the beginning, and when resources are scarce, an entrepreneur is in charge of production, sales and finances. But if we want the business to really grow, at some point we have to start building a team and delegate some tasks. Trust in your work team is vital; Otherwise you will end up overwhelmed with tasks and you will end up getting frustrated at the impossibility of not being able to carry them out in a timely manner. The ideal is to distribute functions according to the skills that each member can perform adequately.
7. Not paying attention to the administration
Due to their natural enthusiasm and ambition, during the first years of the company, younger entrepreneurs become obsessed with marketing and sales, forgetting about operational processes, the incorporation of basic technology and the control of accounting and finances. To do this, it is recommended to rely on tools that allow the automation of administrative and accounting functions, such as those provided by specialized software.
8. Underestimate the effectiveness of traditional marketing
Millennials grew up with the Internet and social networks, so they tend to ignore offline promotion and marketing tools , such as point-of-sale activations or advertising in traditional media. However, these cannot be ignored in an omnichannel strategy. It is important not to underestimate the benefits that traditional mass advertising can offer us.
9. Focus more on finding investors than on growing the business
Entrepreneurship contests, pitches to funds, presentations to startup accelerators , networking networks , neuromarketing courses… Many entrepreneurs spend more time in these types of events than in attending to the daily operation of the company. This is a fatal mistake: the first thing to do is get clients who will finance the costs of the initial operation and allow you to generate the first profits.
10. Think only about money
If you want to undertake to become a millionaire, forget it! Although it is not impossible, the reality is that those who manage to earn billions of pesos with their company are a minority. Of course, we should never give up the idea of building a heritage, nor resign ourselves or give up in the face of initial difficulties; But we must understand that being our own boss generates another type of wealth, such as the happiness of living from our passion and positively impacting the lives of others.
Now, we want to share with you five key points that you should not overlook when starting any type of business, so that before launching into it you have a more objective vision of what it means to be an entrepreneur, with its positive and negative aspects, its opportunities and their challenges.
1. Entrepreneurship does not mean being free
Entrepreneurship does not mean making money quickly, not having a boss and taking five vacations a year; Since, although being in charge of your own business gives you more autonomy, the responsibilities are greater. Now you will have to respond to your clients, partners and collaborators, in addition to considering that the first years of business development are usually very hard.
2. Strengthen your discipline
In addition to solid optimism, energy and passion, it requires iron discipline to make steady progress in a business. The most successful entrepreneurs are organized, they make the most of their day, they do not make hasty decisions, they know how to prioritize and delegate less important tasks.
3. The business idea is not the most important thing
We will not tire of reminding you that it is essential to be clear from the beginning that to define the success or failure of a venture, the ability to provide a novel and efficient solution to a market pain is required. It is not about inventing the black thread, but about discovering an opportunity that no one saw and designing an innovative proposal. Sometimes it may be a simple idea, but it will be distinguished from the rest by our ability to execute it, by the quality of service, by lower costs or by the development of new distribution channels.
4. Lean on the experience of others
Your lack of knowledge and skills in business should not discourage you, but it is not a factor that you can ignore either, because the challenges you will face are very great. So what you have to do is compensate for the weakness through other people’s experience. For example, if you have many family members in the business world, you can ask them to allow you to work with them for some time. Or look for a mentor who will spend time analyzing your idea and connecting you with suitable allies to help you develop it. Another good alternative is to partner with an entrepreneur who already has a track record in your market segment and who has been very successful (of course, you will have to be able to convince him with an attractive business model).
5. Take care of your credit history
If the business is successful, at some point you may need a bank loan or even think about raising capital from investors. But none of those options will be valid if as the owner or founder you have a bad personal credit history. So during your first years of work experience, worry about paying your credit card on time (and, if possible, the total monthly debt), the receipts for the services you contract at home or, if you have him, the mortgage loan installments. Also, keep in mind that before starting a business you need to have your finances in order and have savings that allow you to live without receiving income during the first months of business operation. Being foresight is a quality of every leader.
What tools can I start my business with?
When starting our venture, in addition to developing previous materials, such as the marketing plan , business strategies and investing in inputs to produce and provide your products; We must include tools to be able to carry out counter transactions efficiently and without leaving the customer waiting, especially for good control of collection and cash management.
To do this, we want to recommend the implementation of electronic administrative management systems, such as ADM Tienda : an online app compatible with any point of sale that facilitates the scanning and collection of merchandise with the mobility you will require and with the support of the best technology.
What type of companies or industries can use it?
This point of sale app can be used by stores and businesses looking for greater mobility when selling, stock management and accounts receivable. From the Cloud you will be able to control the operations of your business in detail in the simplest and most practical way, so you will be able to:
- Make collections and payments through electronic transfers with CoDi
- Prepare and print sales notes
- Accept electronic payments with any credit or debit card
- Easily issue electronic invoices 4.0
- Include the IEPS tax for gasoline, tobacco, beer, etc.
- Consult reports to know cash flow
- Obtain statistics on the best-selling products, hourly sales notes, payment methods, etc.
By integrating your business to the technological transformation, you will be able to operate from a tablet or other mobile devices all the activities that you have carried out manually until today and obtain advantageous benefits, such as:
- Customize and classify your products
- Streamline payment by scanning the barcodes of your items
- Download cash count and cash cuts reports
- View the complete details of the day’s sales
- Allow your customers to generate their invoice days after the purchase from a billing portal
- Control access to information on mobile devices and ATMs
- Lock the box after 20 minutes of inactivity
Another option is Point of Sale System with which you will facilitate your payments, automate the management of commercial operations, and effectively manage all aspects related to merchandise, cashiers and cashiers. You can convert any computer equipment into a modern point of sale with a cash register system.
What types of businesses or lines of business can use it?
Any company with counter sales, such as: travel agencies, car washes, boutiques, butcher shops, beauty and nutrition clinics, dental clinics, creameries, candy and ice cream shops, beauty and barber shops, pharmacies, hardware and tlapalerías, lodging, jewelry and costume jewelry, toy stores, laundries and dry cleaners, bookstores, liquor stores, furniture stores, opticians, bakeries, stationery stores, parts stores, supermarkets, cleaning supply stores, grocery stores, plastic stores, veterinary stores and shoe stores.
A Point of Sale Software allows you to comprehensively and reliably carry out counter activities with minimal effort and maximum precision. If you provide your business with this technology from the beginning, rest assured that you will avoid many headaches by not worrying about the correct management of:
- Record of products sold
- Card payments
- Printing purchase receipts and receipts
- Inventory control and product categorization
- Management of returns, cancellations and credit notes
- Collection of invoices and sales notes with the CoDi system
- Preparation of CFDI 4.0 tax receipts
- Sales reports from one or more branches (in case you start with more than one)
- Management and monitoring of information about clients, balances and accounts receivable
- Agile capture of sales notes using touch screens
- Airtime sales and receipt of card payments (requires hiring the Punto Clave service)
- Control of income by period
- Temporary cash lock to protect your information
- Extensive administration of up to 99 stores
- Definition of discount policies
By having everything in a single, easy-to-manage tool, you simplify your business processes while boosting your business.
You can integrate this program to charge in stores with any digital device such as scales, code readers, cash drawers, screens and bank terminals to achieve greater precision in product sales processes.
In this way, automating the company’s transactions will help you reduce capture errors, access sales information by store and cashier whenever you want, have clarity about your warehouse and your sales generated, issue digital invoices when your customers do. request, as well as offer a better sales experience.
And the advertising?
Of course, you must not forget that business promotion is very important; Currently it is easier to give visibility to our commercial offer; However, this same advantage brings with it other risks, such as getting lost in the sea of competitiveness. So also from the beginning it is recommended that in your document with the business plan and objectives you include how much resource you will allocate for advertising and, previously, how much time for the creation and design of the content: from the posts, the topics, if you will make a blog with your own or related articles, if you will make tutorials, short videos, virtual talks, which social network you will choose and if it is the most suitable for your type of business.
Yes, we know that sounds like too much pre-work; but believe it: it is indispensable and inevitable. That is why it is essential that you are passionate about your business idea, because remember that every text and image that people see about your brand will be what motivates or demotivates them to follow you and buy.
Social networks and the design of your website are essential to spread everything from who you are to what you do and how you do it, to create identity (brand/company) and community (customer loyalty). So in advance you must put together your content plan, your digital marketing strategies , your promotions and schedule as much as you can on the business’s social networks so that when you launch it, all your attention is more concentrated on the operational aspects, on the details that emerge and respond to your clients’ comments… instead of stressing out because your page and your networks do not generate interaction due to lack of content. But don’t be discouraged, with organization you will be able to manage your time and you will find best practices to speed up your content production in your style, with creativity and quality.
If there are topics that you are unaware of about how to make a digital marketing plan for your business’s social networks, seek advice from experts on the subject, such as in this article that shares precise information on how to start a marketing plan when you are a newbie. .
Today we have everything from free tutorials to very affordable basic or advanced courses taught by freelance community managers or advertising agencies. But, if being self-taught is not your thing or you consider that time is not enough for you, then, if your budget allows, you can hire their service to help you outline your digital action plan and carry out its management.
We hope that the marketing actions described in this article allow you to make better decisions appropriate to the market to which you intend to direct your venture and to distribute your budget as best as possible. Continue developing your business model so that both you and more people (potential customers) benefit from your product or service. With a good strategic plan you will be part of the companies that are part of the economic base of the country. We wish you much success!
