The origination of blockchain technology has given rise to a new digital currency with bitcoin as the master of them all. Starting a cryptocurrency business is a creative idea. Crypto currency is a business modern business with a lot of opportunities yet to be exploited. Below are the requirements on how to start a cryptocurrency business
Steps on how to start a cryptocurrency business
- Create a Plan your Business
- Form a legal entity (if you want to go big)
- create a corporate bank account & credit card for the business
- Get permits and licenses necessary for operation
- Obtain an insurance (if you are interested)
- create and define your brand
- create your web presence
Though the origination of Blockchain technology has given rise to a new digital currency and market which is still young and yet very promising. Many who invested in bitcoin as early as 2009 has made a lot of fortunes and are currently still making.
To every successful business, there must be a well written and properly executed plan. The need for a well planed and paper written version of your plans can never be over emphasized.
A good business plan should contain the following (citation);
The executive summary of your business should the first to appear in your business plan. It should summarize what you expect your business to accomplish and how u wish to accomplish them. A good executive summary is imperative. It should be able to disclose your company mission together with short decription of the products and services you intend to offer.
The next section in your business plan should be your company description. This section should include your company information’s and intend market audience or your customer. Your company description should also describe her unique features, such as services she intends to offer that makes her better than her competitors. In summary it should contain things that customer intends to services that customers has been lacking and look forward to receive. In other words, services and products that distinguish her among the crowd.
Your market analysis should be able to portray that you know the do and don’ts of the business you intend to venture into. Here, data’s and analysis are highly crucial. You need to run a serious market survey to discover the gap you can comfortably feel in the market. Note that you also need to obtain info’s about you customers such as their income level and etc.
Just like the name sounds, you should know both your direct and indirect competitors, their strengths and weaknesses. With this data, you should be able to know your chances of survival.
Breakdown of Your Products and Services
Break down of the services an products you intend to offer.
After knowing you customers, its also important to know how to reach them. Including how you intend to get your products and services in front of potential clients in your business plan is necessary, and this is what marketing is all about. As you analysis your steps an strategy, you need to also have a clear budget.
Source for Funding
Funding one of the most important aspect of your business plan, that’s if its not the most important. If you don’t have any defined plan on how to raise the money required for your business to kick off, all the time spent in planning is just wastes. So it’s necessary you have a neatly defined plan on how to raise the cash your business required.
A business entity is an entity that is formed and administered as per corporate law in order to engage in business activities (citation).
When beginning a business, you have to decide the type of business entity you want to establish.
Below are the most common form of business
A sole proprietor is someone who owns an incorporated business alone. He or she solely determine the day to day running affair of the business.
A partnership could be regarded as joints business between two or more persons controlled by a common memorandum of understanding and operation.
A Limited Liability Company (LLC) is a business structure allowed by state statute. Each state may use different regulations, you should check with your state if you are interested in starting a Limited Liability Company.
Owners of an LLC or Ltd depending on the country are called members. Most states do not restrict ownership, so members may include individuals, corporations, other LLCs or Ltds and foreign entities. There is no maximum number of members. Most states also permit “single-member” LLCs, those having only one owner.
A few types of businesses generally cannot be LLCs, such as banks and insurance companies. Check your state’s requirements and the federal tax regulations for further information.
You need to create a corporate account using your registered business name or company name. This is necessary to stay legal and to avoid unlawful sanctions and extortions.
After all the legal registrations, the next step is to get permits and licenses necessary for operation. These permit’s may differ depending on regions.
Insuring your business is optional, but its advice to insure your business due lost to unforeseen circumstances.
“During the Gold Rush, most would-be miners lost money, but people who sold them picks, shovels, tents and blue-jeans made a nice profit.” words of Peter Lynch
After fulfilling all the requirement stated above, the next thing is to take the bold and ultimate step of lunching your business by creating an online presence which including creating a viable website for your business operations.
We hope that this article how to start a cryptocurrency business step by step was useful to you?
We wish you best of lucks as you proceed with your pursuit for a better source of income.