Business

If you love games, have a creative talent and are adept at coding, the idea to start a video game development business may be a great one.

After all, working with something that you love and being able to make money from it is the dream of many gamers.

However, there’s more to starting a video game business than having a great idea and the skills to create it. Full consideration needs to be given to many aspects of business when you start a video game development business, not only in terms of tech and talent, but marketing, and more. This guide will take you through the steps you will need to take to successfully launch your business.

Should I Start A Video Game Development Business?

The video game industry is growing and changing all the time, with new innovations, tech and devices to get to grips with. In fact, according to Uswitch , 88% of young adults play video games, and more than 2/3 of children aged 7 to 18, own their own consoles.There is clearly a huge target market out there, and with the right skills and set up, you could really make an impact in the industry.

However, it is essential that you know your limits. It may not be feasible to start a video game development business without having experts in software creation, coding, creative arts, marketing and business management. If you have your team together already, let’s look at how you can get set up.

Choosing Your Genre

There are many different types of game you could create for your first product. Choosing those that you identify with and enjoy playing will likely bring you the most success, whether it is simulation, strategy, action or adventure gaming.

You will also need to choose what platform you want to develop games for. VR is an exciting development in gaming, but you may prefer to opt for the platforms that you are most familiar with, such as PlayStation, PC or even mobile devices.

At this point, you will also need to identify what audience your video games are meant for. This will certainly help to guide the type of game you develop. You may choose to work on educational, augmented reality or indie gaming to make an impact in a niche part of the industry.

Starting Your Business Plan

Once you have a rough idea of the type of game you want to develop, it’s time to start your video game development business with a solid plan. We should mention that this plan does not have to be set in stone. A business plan is a document that will follow your journey through your business, and you will need to revisit it to update it regularly.

What makes up a good business plan?

• A strong brand - You will need to have a visually pleasing brand, as this will undoubtedly be used to market your company. It will be present on all games that you develop, your websites, social media and more. With this in mind, choosing a name for your business can be a minefield. It is wise to consider how quickly developers set up new businesses, and carefully check if the name you are choosing is original, to save you costly legal problems along the way.
• Research into your target market – Knowing your competitors and your target market can help you to understand how they gain, and what makes them happy. Read reviews of competitors, and take a look at their games to see what works and maybe where there are issues in their games you could solve with yours.
• A well-developed financial costing - It is absolutely essential that you get your costs right. Factor in the cost of marketing, as well as any freelancers you may have to get in for troubleshooting or beta testing. If you are struggling to figure out how to approach the financials for your start-up, consider contacting a small business advisor to ensure that you’re on the right track. Once you have your costs, you will be able to develop a pricing plan that means you make a profit.
• Monetisation planning – Aside from the cost of the original game, you may want to consider whether there could be in-game, purchases, or spin-off games to extend the gameplay of your most popular titles. These can all help to further monetise your business.

A solid marketing plan - You could create the best game in the world, but if you want to start your video game development business right, you will need to make sure that people know who you are and what your game is about. A solid marketing plan can help with this. If you are unsure where to start with this, there are various small business guides to marketing on the Internet. Or, you could approach a full service marketing agency, who could take care of this and leave you to concentrate on the game development itself.

Things To Consider When You Start Your Video Game Development Business

As exciting as games development is, you will need to be careful to ensure your business is set up correctly, especially when it comes to your legal requirements, such as:

• Intellectual property, it is vital that you have the rights to your games in terms of the concepts, the characters and the assets. Failure to secure these could mean somebody copies your game.
• Tax and insurance liabilities – it is also vital to make sure that your business is set up as a legal entity, and that you register with HMRC so that you can pay your tax and national insurance liabilities. If you are unsure as to how to set up a business , Your Company Formations could assist with this.
• Know your limits – technology is growing and evolving all the time, but it is essential to know your limits when creating a video game concept. If you want to harness the best innovations in tech, you will need to commit to regular training and development of your skills. After all, nobody wants a game that promises the world, but is full of glitches.

Hopefully now, you’ll have a fair idea of how to start a video game development business. While this industry is teeming with developers, if you carefully research, plan and market your products, you can really make your mark with your target market.