The water bottle business involves a large market from travel gear, kitchen tableware, holiday/company gifts to drinkware, of course. A water bottle business can be a good choice for you to start up your company whether you choose to sell plastic water bottles, glass water bottles or stainless steel water bottles. This article shares with you 10 steps to help you establish your water bottle company, so read it by heart if you wish to make a difference.
Pay attention to the tips of starting up your business and see whether it is a right choice.
10 steps to be followed to start your business:
You have made your mind to do the water bottle business, and you stand ready to embrace all difficulties. However, starting up a company is not just about registering it and then waiting for it to be lucrative. You have to take some necessary steps to enhance your brand promotion, which will in turn bring you the due benefits.
STEP 1: Make a Plan
A clear and well-thought plan for your business is the key to success for every entrepreneur. By developing a plan, you will know exactly what to do/think and take corresponding measures to achieve it. There are four questions to be considered:
1.What are the costs involved in the start of your business?
Starting your own business will cost you a lot. The charged items include cost for product design, sample, trial order, transportation, storage and also, your employees working for you.
If you are a new starter, the cost would be up to $10,000. However, for some other high technology businesses with large scale, the cost may soar up to $2 million. In other words, you really have to consider the costs involved in establishing your own business carefully and meticulously.
Most importantly, you must have a reliable and trustworthy water bottle manufacturer supplier like Ecoshine Drinkware Limited who has been devoted to the manufacturing of water bottles for years. With such a supplier, you do not have to worry about the source as well as the quality of your products.
2.What are the running costs for your own water bottle business?
Running your own water bottle business inevitably leads to a large amount of expenses. You have to take into account the warehouse expenses, the maintenance fees and also the increasing transportation rates under the pandemic situation.
Besides, the high labor cost is also a must for you to consider. In general, you have to pay for their insurance fees including health insurance and liability insurance, you have to pay their job training fees as well, which may cost you hundred’s of dollars monthly.
3.Who is your targeted customer/group?
You must know who you want sell bottles to. If it is a coffee mug, then you have to lay your focus on office men and ladies. If it is a sports bottle, then you should promote it to fans of outdoor activities. In a word, your products should be targeted specifically.
4.How much profit do you want to obtain?
As a rule, the profits depend on issues such as quality, quantity, transportation and marketing. So if you want to make your business much more profitable, you must improve your business in every aspect. Of course you can do little about the transportation rates.
STEP 2: Establish a Legal Entity
In terms of the structure types of business entities, there are 4 basic types, namely, limited liability company (LLC), corporation, partnership and the sole proprietorship.
With a legal business entity such as an limited liability company, you can protect your water bottles from malicious lawsuits and win much more trust from your customers.
You can learn some knowledge about building up a legal entity and do it yourself or hire someone to do it for you. The corresponding consultant fees are agreeable and not comparatively high.
STEP 3: Pay Taxes
Step 3 is also a must for you to run your own water bottle company. Actually, if you do not register for taxes your company would be shut down! It is suggested to apply for an EIN, which will help you a lot and is free.
STEP 4: Open a Business Bank Account
A business bank account plays an essential role in protecting your personal assets. By opening a bank account exclusive for your business, you can protect your personal assets if your business is broken or sued. If you do not have a business bank account, you own assets may be used to pay for the debts for your business, which is terrible and unacceptable.
In addition, this step also facilitates your understand toward financial issues, which in turn pay the way for your growth.
Open a bank account for your business
- By doing so, your personal assets are separated from that of your company and you don’t have to worry about the bankruptcy robing your own money!
- Establishing a business bank account will also make it easier for you to deal with accounting issues.
STEP 5: Have Business Accounting
It is impossible for you to take in charge of everything in your company, and some professional positions in your company must be took by experts. Business accounting is a good case in point. It helps you to control the financial status of your company and you will know exactly the detailed incomes and expenses from the records. You have to find a reliable and trustworthy employee to take this vital position.
STEP 6: Obtain Indispensable Documents
Company documents such as permits and licenses are indispensable qualifications without which the products may be fired huge fees and your water bottle company even be shut down.
Things you have to be clear about company documents such as licenses and permits:
- You have to obtain them in a legal way.
- Check them with local institutions in the U.S., ask for their assistance if need, and do not violate others’intellectual property rights.
STEP 7: Purchase Business Insurance
Business insurance is also a necessary measure that you have to take to cover your potential losses. Although buying business insurance will cost you an extra money, it is worthwhile to purchasing as it saves you a large amount of money in case of accidental losses.
There are untold numbers of business insurance. Some are bought for the transportation (such as WPA and FPA) and some are for the company itself. It is suggested that you buy General Liability Insurance for your business to defend general risks.
There is another insurance that deserves your attention—Workers’ Compensation Insurance, which aims to protect your employees and generates in them a feeling of security and belonging.
STEP 8: Establish Your Brand
Time to define your own water bottle brand. The brand helps people to perceive and know your products as well as your company. A competitive and well-known brand can be promising and lucrative.
How to market & promote your brand
The fastest way to introduce your water bottle brand to the public is to hire some celebrities for promotion. Their appealing would make it work. However, in this way, you have to spend a large amount of money, which is not ideal for a starter. So you can choose another approach that has slow effect yet is effective—dropping your water bottles to automatic vending machines grocers and shops. It takes time for people to know and accept your products, but this approach is cheap and quite normal.
How to retain customers
Unlike luxury goods such as canoes and private planes, water bottles are daily necessities, and there is a huge market before you, so once you have sold your water bottles to buyers, you have to retain those customers who may come again and introduce their family & friends. It is advised that you offer them premium quality products and agreeable after-sales service.
STEP 9: Create Your Brand Website
Since you have your own brands/logos, you have to build your own business website, which helps to further promote your water bottles.
I know some of you may be worried that you have little knowledge about the running of a website. But this step is indispensable if you want to expand the influence of your brand. Actually, it won’t take you too much money and efforts on build/running you website. You can either learn it by yourself step by step or just hire an expert. The money is worth paying, trust me!
It is imperative for you to build your website, why?
- Nearly every company has its website. The brand website can expand your sales lines and enables customers from other countries to contact your company. The website can be a small one, but it must have all the functions required by communication and purchase.
- I have a Facebook account, isn’t that enough? Social media like Facebook is a good channel to promote your water bottles, yet that channel is NOT yours. What if a giant social media is shut down?
STEP 10: Make Your Business Communication System
As mentioned above, it is necessary for you to separate private assets from the business assets, so is your communication system. Take the phone number as an example. By using a business-exclusive phone number, you can cast your own affair aside for a moment and pay more attention to your business. The business phone number also allows customers to contact you without disturbing your private affairs.