While studying an MA in Metal and Jewellery Arts at BCU, Anne Edwards began an exciting path that has seen her launch a successful jewellery company, while sharing her knowledge at a range of international conferences. However, being a business owner is never straightforward, and there have been challenges along the way. Anne offers the lessons she’s learnt that budding entrepreneurs should take note of.
The importance of mentorship support and programmes
While I’d thought about selling my work as a side hustle, the idea of becoming a business owner never crossed my mind. That all changed when I entered BCU’s inaugural STEAM Hatchery programme, which allowed me to turn my idea into a structured business plan.
I’m a creative, so becoming a businesswoman with a thorough understanding of the ins and outs required some help. Programmes like the Hatchery and startup support service BSEEN – which I also participated in – opened up my understanding of business essentials such as finance, intellectual property, business models and funding.
Therein lies my first lesson – get the right support. 66 percent of business owners report that having mentorship and support was crucial to their survival, so it’s imperative that you don’t go it alone.
If you’ve graduated but are still based in Birmingham, there’s lots of facilities, experts and business owners you can talk to. Brum is the UK’s startup capital outside of London, with over 21,000 businesses launching here in a single year, so you should not be short of valuable contacts.
I participated in the NatWest Accelerator programme and the Founder Collective, respectively. Both helped me forge useful connections and learn invaluable information around finances, funding and investment.
Where to start: Crafting a business plan and managing your cashflow
One of the first things I would recommend doing is creating a formal business plan. Incredibly, 77 percent of solo founders start their company without one but, while it sounds boring, it’ll be vital in helping you understand where you are now, where you want to be and any potential milestones in between. A budding business owner should also ask themselves fundamental but important questions, like these:
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What kind of company am I looking to launch?
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What am I selling and who am I selling to?
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How much do I need to invest and how much do I want to make per month?
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What are my selling prices?
Considering these questions at the beginning will ensure you’re not on the backfoot once you’ve already launched. Being familiar with all things cashflow, in particular, cannot be understated – up to 73 percent of new business closures are driven by cashflow failure. Understanding your product is also vital, as nearly half of new business owners neglect to research their target market or survey potential customers.
Common startup pitfalls to avoid in year one
The biggest mistake I made early in my business journey was spending large sums on a bespoke website, marketing and SEO, under the impression I’d get a head start. In reality, it cost an excessive amount, especially when delays began to arise.
This is a common pitfall, with over 70 percent of startups wasting capital on premature scaling and marketing. My advice would be to keep it simple and cost effective, and don’t do too much, too soon. Marketing in general can quickly become a money pit, as no one can guarantee results and it takes time to see a ROI. You don’t always need flashy branding to stand out – just make sure you research your colours, fonts and logo.
A less obvious area that people forget about is intellectual property. This is especially important if you want to protect a mechanism or technical element within your product.
Some aspects, like design rights and copyrights, are typically less time consuming to apply for, but trademarks and patents can be time-sensitive and should be explored before taking your product to market. You don’t want to miss the chance to protect the most investible, valuable part of your business.
Furthermore, understand what kind of business you want to set up. This may affect how you sell, potential future earnings and investability. The processes for setting up a business can vary depending on what type you’re launching, as well as things like legal requirements and liabilities.
Lastly, tackling pricing can be tricky. Around one in three new businesses undercharge for their services during their first year, causing serious issues later down the line. Make sure you do your research so you understand how pricing can change depending on what you’re offering. Benchmark similar products and companies, try and understand what their margins are, and evaluate based on their size and demographic.
Remember, your mindset can make or break you
Starting your business is not just about creating the best product, making the most money or receiving the kudos. It’s about your mindset. That could make or break whether you succeed or fail. You have to be willing to travel the distance, through all of the ups and downs that come along. Be open to criticism and be adaptable – if you can be prepared to fail and get back up over and over again, then you’re ready.
Anne owns Co-Creative Jewellers Ltd, offering interchangeable ring designs for the jewellery trade. You can find out more via the company’s official website or Instagram page. Anne will be speaking at Milano Jewellery Week on October 25, discussing combining digital tools with physical technology in jewellery retail.
