Do you have good programming skills? Or you have some cool ideas for software creation? Are you interested in starting a software development company? Or you simply need a sample software development business plan template?
If you answered YES to any of the questions above, then i advice you read on.
As the economic recession gets tougher and companies continue to downsize and replace human resources with computers and machines, there are some categories of people who remain relevant and while other people are losing their jobs, these categories of people continue to be in high demand by employers and consumers.
One of the few people that fall in this category are the computer engineers and software developers. If you are looking to invest in a kind of business that is recession proof and can be guaranteed to remain relevant even in the next ten to fifteen years, then you should consider setting up your own software company.
Software companies are responsible for creating and distributing computer software which are used to perform several tasks on a computer system. Computer software could be used for learning new skills and subjects, calculating and performing accounting tasks, entertainment, instructions and several other tasks.
Software companies make their money through various means. Some companies charge licensing fees for the use of their software, others charge for subscriptions while some others sell their software in the open market for a fixed rate.
There are some other companies that allow you to use their products for free but would make money from advertisement or training. Software companies now have great marketing opportunity in the mobile market. They can make money from developing mobile applications and games.
A lot of people who are very talented in the information technology industry and have the ability to develop software and mobile applications often take this opportunity for granted. Rather than set up their own software company, many prefer to look for jobs and work under some already established software companies.
This may be because a lot of people think setting up a software company is a very cumbersome process that would cost you a couple of millions. This is not usually the case and this is why I have decided to show you just how easy it is to set up your own software development company in few steps.
Starting a Software Development Company – Sample Business Plan Template
1. Get the skills
This is a step that is especially important. You need to learn a whole lot of technical skills to be able to start and manage a software development company.
You would need to learn programming languages and other tools of the trade. This knowledge can be gained through registering for training courses online and offline and also by reading books and joining groups and forums of information technology experts.
2. You need some experience too
After you must have been trained, you would need some experience too. This can be achieved by getting employment in a company that offers similar services. You would be able to learn and understand the needs of end users, how to market your products, communication skills and how to maximize your earnings.
3. Create your product
At this stage, you are ready to start your business but before you start, you need to develop at least one product. There are several ideas out there. The best way to get an idea for a software product is to look around the internet, forums as well as apps and software markets to get an idea of what people need.
What kind of software do you think people around you need to make their lives and businesses better? It could be software that helps people track income and expenses and reduce tax burden, software that helps people track food intake and reduce weight etc. There are lots of ideas out there if you spare the time to research and think outside the box.
4. Protect your innovation
After all that hard work and research, it won’t be nice for some random person to come and steal your idea. This is why you really need to protect your innovation by obtaining copyrights, patents and trademarks. If you are going to work with a team of other developers, you should ensure that they sign a non-disclosure agreement. This would further help to protect your product.
This is another important factor to be considered. This would give you a clear idea of some of the aspects of the business like marketing, pricing, competition and branding. You would also have a clear idea about licensing requirements and taxes.
Your business plan would give you a clear idea of the financial requirements of starting a software development company.
7. Purchase equipments
You will need to purchase the necessary equipment to handle your business. You will need computers, data storage, servers and programming applications amongst other tools and software required to distribute and market your software.
8. Hire some experts-: You would need to hire some computer programmers to work with you in the business as well.
9. Develop and test your product
When you have put every other thing in place, you should develop your software and also test it in readiness for sale and distribution. You could use beta-testers to test your software and give you feedback, so that you can fix all bugs and errors. Software that crashes all the time or doesn’t function properly would discourage users so you have to put everything in order before launching your product.
10. Time to sell
You can hire a team of professionals to help you market your new software. You could also help companies develop and customize their own software or tweak your software to suit their needs.
11. Advertise too
Advertising is the sole of any business and software development and sales business is not left out. To maximize your sales and awareness of your product, you have to employ some advertising strategies.