How to Set Up a New Software Business

If you are thinking of starting a new software business and you are up for the challenge, there are some tips to get you started.

Things You'll Need

• Programming knowledge through education and experience
• Reliable computer
• Business partner
• Money
• Venture capitalist or investors
• Internet
• Test software products
• Quality assurance

Instructions

1. Get some education. It is important to get some form of formal education to be able to understand the mechanics behind creating new programs or softwares. You would need to understand computer languages in order to be able to invent a new software. There are some classes that are available at Universities, Colleges, Computer Tech schools that are available on-site and online. Do your research and find out the courses that are available to learn from basic computer programming to advanced coding and software development. Specific subjects may include: Visual Basic, Visual C#, Visual C++, Visual Studio, .NET Framework and ASP.NET. You can learn some UNIX programming or scripting languages such as Perl scripting. Along with getting an education is getting yourself certified. Taking these certifications is not easy, you would need to pass them to show you have gained the knowledge.

2. Get some experience. Aside from learning the concepts in a school setting, it is important to also be able to apply your knowledge through hands-on experience. You can do this by applying at some software companies to gain real world experience. Whether you land a full time job, contract work, or as an apprentice you will gain a wealth of experience by doing so. You can also set up your own lab at home learning and deciphering existing software that are available in the market. Experiment and find the current software's strengths and weaknesses to get an idea of what kind of software you will be inventing.

3. Find a business partner. You may not be able to do it all alone. Finding a business partner or someone who can collaborate with you in creating new software can help with the challenges you will face down the road. Look for someone that you can trust and who has same or higher knowledge than you do so that you can leverage from them. Someone who has done it all can be used as a consultant. Even software giant Bill Gates had a partner when he started creating what is now known as Microsoft.

4. Establish your business. Get your business license and permit. If you plan to operate right away, even before you invent a new software, get the necessary requirements to get your business on the ground. Get a website, establish an email and phone number. Get business cards printed.

5. Find a location. Find a place where you will be starting to work on your new software. This doesn't have to be fancy at first. Some people who made it big in the software industry have started in their own basement or garage. What you need is a quiet place where you will be away from too much distractions and interruptions so that you can concentrate on your work.

6. Get funding. You can start with very little money on your own, but pretty soon you may need additional funding so that you can complete your new software product, get it licensed, as well as marketing strategies. Find investors or venture capitalists (also known as VC in the internet business world) to get your funding from. Approach investors or venture capitalists when you are ready to show how good your software is. Do not approach them with concepts only. There are other people who are in the same boat as you looking for capital, so be ready to show what you've got in order to get that funding that you need to get your software completed and marketed.

7. Hire a lawyer. When signing a contract with the investors or venture capitalists, be sure to read the fine prints. You may need legal assistance so hire a reputable lawyer to help you out. If you have a lawyer, your prospects would know that you mean business and you will also avoid unnecessary headaches when it comes to legalities especially when you find yourself dealing with unscrupulous indidividuals. You would also need to get your partner to sign a contract so that it is clear in the end when it comes to dividing profits and getting the proper credits.

8. Test your product. It is important to have quality assurance, especially in a new software making business. Conduct testing or have friends and family members try out your product. Be ready to make improvements based on constructive feedback that they can offer.

9. Get your new software registered, trade marked, copyrighted or patented. Your lawyer may be able to help you with doing so as well. If you patent or trade marked your work, you are preventing other individuals from stealing your idea and product. You will avoid a lot of headaches of numerous litigations to prove that it is your product and not theirs.

10. Network. You need to get your company known by attending software developer conferences where you can keep up to date with the latest software available in the market. Give them your business cards, and follow-up with prospects. Be a member of software developer organizations or groups and attend their regular meetings and conferences. You can also start showing them your new software to sample and test. These people have the expertise to give you sound advice and feedbacks. With due diligence, hardwork and perseverance you will get your new software business fully established and operational.