Start Your Record Label with a Plan

February 12, 2009 by · 3 Comments
Filed under: angel investor 

Are you ready to learn how to start and run your own record label? Well, every business owner needs one important thing in order to start their own business and that is a business plan. A business plan is important for not only yourself but it is a necessity if you want to get any type of financing or solicit investors. If you have never written a business plan then I am going to give you a step by step instruction on how to start an independent record label beginning with the plan.

Alright, so now you know the first step in how to start a record label, a business plan. Your business plan needs to be simple, yet professional. Let’s begin with your audience. As I mentioned before, a business plan is for you and the people who may finance your business.

First you have your “angel” investors. These are the people who, such as a mom, dad or wealthy friend or family member. Even if you have a personal connection with these people, you will still need to be professional in approaching them and your business plan is your key. You have to convince them that you know how to start and run your own record label.
Once you get your angel investor out of the way, the next people you will have to convince you know how to start an independent record label will be the venture capitalists. These guys are going to be a little harder to impress than good ole mom and pop. These guys are going to expect respect, preparedness and professionalism. They probably see tons of business plans a year so you have to step it up and notch and prove to them you know how to start and run your own record label.

On to the actual business plan. First, you have to write your executive summary. This is the most vital part of your proposal because it is the first thing people read and it is a mini version of the bigger plan. What kind of company is it? What is special about it? Who will work for you or manage it? How much money do you need and where are you planning on spending it? This is where you demonstrate to your audience that you know how to start a record label.

A table of contents is not necessary but it definitely adds a bit of professionalism to the report. Next you need to write a company description and describe your product. Do you already have some bands or acts in mind? This is where your ideas can shine.

Now, the following sections will be a bit harder to write but are crucial to verifying that you know how to start an independent record label. You will have your market analysis, marketing plan, operations plan, financial plan (the dreaded budget) and the appendixes which will be where you would include resumes, promotional materials and things to that effect.

Now you are one step closer to starting the record label you have always dreamed of. It’s up to you now to write a business plan that convinces everyone that you know how to start and run your own record label.

Ty Cohen
http://www.articlesbase.com/careers-articles/start-your-record-label-with-a-plan-96368.html

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