It’s no secret that the video game industry has never been as significant as it is right now with expansion to new platforms as well, such as virtual reality. With many developers taking to the platform to create new IPs and start their own gaming companies, there is much scope.
Gaming is no longer constricted to PCs ever since modern technology such as tablets, smartphones, laptops, TVs, and other electronics support high-processing games as well.
In this post, we will talk about how you can start a successful gaming company too.
In this post, you will find information on
- How to start a gaming company
- Steps to follow to start a company
Let’s take a look at these factors in detail.
How to Start a Gaming Company?
Before we dive into the dos and don’ts of starting a company, let’s talk about the actual process of starting a company or more specifically “How to Start a Gaming Company”.
Come up with a Business Plan
A well-written and precise business plan can help refine the path you should take to start a company. If your business plan is good then it can allow significant scaling in future growth.
To come up with a business plan, you need to first identify all the costs that will go into starting a business. This includes employees, facilities, insurance, monitors, computer sets, and gaming consoles.
You need to be prepared for the heavy costs because video gaming companies are expensive. A lot of money will go into developers and equipment. Therefore, start the gaming company at home before you start creating games.
The best way to go about investing heavy budgets into startups is to apply for a short-term loan to purchase machinery. Most short-term loans are easy to secure, have no prepayment penalties, and have fixed monthly payments.
Think of a Business Name
Once you have a solid business plan, you would need to come up with a unique, catchy business name. Remember that this would represent your brand identity, therefore, this step can be quite challenging.
You can take help from the internet and your friends or brainstorm ideas to find the best fit for your company. While it can be tempting to use your own name as the company title, most good brand names are made from acronyms and unique words.
If you want to find some inspiration then check out:
- Federal and State Trademark records
- Social Media
- Business records within your state
To secure your name, you need to register for it as soon as you can to avoid someone else taking ownership before you do and creating a website from that name.
Registering for taxes is the most crucial step that you need to follow before you open up a business. The taxes you pay will be dependent on your company’s location.
They differ from state to state due to differences in federal laws which is why you should check the requirements of the process thoroughly. You would need an employer identification number to register for taxes that you can get through the International Revenue Service (IRS) website.
The amount that you will be paying in taxes will depend on your business structure which means whether you are a sole proprietorship, a partnership, or a limited liability company.
Let’s talk about your gaming company now. You can follow these steps to determine the details of your company.
Type of Game
Decide what type of game are you interested in creating in your gaming company and conduct some market research to get an idea of what the scope and competition for the game would be. Make sure that you plan your business according to the most recent trends.
Most importantly, make sure that your idea is unique and captivating so that people are drawn to your offerings.
You can tap into the following game types:
- Battle Royale
- Word game
- Casual games
Choose the Right Platform
Next, you would want to choose the right platform to create your game for such as iOS, Android, or Windows. Remember that launching it on multiple apps right at the beginning could raise costs significantly.
Therefore, first, launch it on the platform that has the most potential gamers and then introduce it on other platforms after you have received considerable profits to increase your affordability.
Find an Investor
Now you would require funding for your business idea to turn into a tangible prospect. You can find investors willing to invest in your product to help you launch your company. You can also take loans from family and friends or you can even apply for a loan.
Another great source of funding can be crowdfunding via websites such as Kickstarter and Patreon.
Build a Team
A very important aspect of a company is its team of people who make the entire business aspect possible which is why you need to build a strong team that would includes musicians, graphic designers, artists, developers, video-overs, etc.
Creating an entity means deciding the structure that your business will follow. It will determine whether your business is a sole proprietorship, a partnership, a cooperation, a private limited company, or a limited liability company, and then get yourself registered accordingly.
You need to fulfill the following legal requirements before you proceed with the process of starting your company.
A trademark is a distinctive logo for your company that will represent your brand and will create an association with your brand name in the minds of users.
Trademark registration will ensure that all rights to the game belong to you and that it will not be copied by new entrants or competitors.
The copyright on your game will protect your game idea from being stolen or copied. It is essential for you to ensure that your employees sign the intellectual property rights over to your company to avoid individual registration from them on the game complicating the launch.
Similarly, the terms and conditions include Payment Requirements, Standards or Community, Intellectual Property Interests, and restricted uses. Furthermore, it allows you to block accounts involved in illegal activities or online harassment.
Wrapping Things Up…
We conclude our article on how to start a gaming company here with the complete process explained in detail to allow you to create a startup easily.
Business is not an easy job and it can take some time for a business to settle into the market and create loyal customers. Therefore, starting a company requires much patience and hope but most of all, it demands dedication.
If you follow the procedure of starting a company properly with a solid business plan then you have nothing to worry about. You will achieve success in no time at all!
Do let us know what you think in the comments below.