How to Start a Video Game Company

Are you obsessed with technology and gaming? If so, you might be considering creating your own video game business. The video game industry has been in a constant state of evolution since its birth in the late 20th century, ensuring that there is always room for new and innovative players in the high-demand gaming space. A video game company is like any other business that can be lucrative if properly handled. Wondering how to start a video game business? Find out what skills you need, the different paths you can take, important considerations and how to legally establish your business.

What Are Video Games?

A video game refers to any electronic game in which players control images on a video screen. Popular gaming consoles include the Xbox, PlayStation and Wii. With global industry valuation estimates around the $300bn mark by 2025 , it's fair to say that the overall sector is doing well. These profits are not necessarily restricted to the large-scale industry giants such as Electronic Arts or Ubisoft. Smaller, independent video game companies have also seen success, with many of the world's most critically acclaimed games produced by smaller organisations.

What Skills Do You Need to Start a Video Game Company?

As with most other businesses, you don't need to have any official training or qualifications to start a video games company. It is crucial to have a passion for video games, of course, but you also need the technical knowledge to design, build and programme your projects. You can obtain much of this knowledge through formal education, but many video game entrepreneurs start by honing their skills, such as programming, storyboarding and development in their spare time before deciding to launch a video game company.

Depending on the scale of the game projects that you are working on, it's possible to keep the majority of the work to a single person. However, it's more than likely that you will need to recruit expertise in concept design, animation, scripting and programming, either on a freelance or permanent basis. Having previous experience in the video game industry will help.

How to Start a Video Game Company

Creating a video game company is a popular career choice, but you need passion, skills and drive to make a good living and set yourself apart from your competition. To start your business, you will need to carry out the following:

Conduct Market Research

Before you go any further on your startup journey, you need to assess the market and determine if there is enough room to grow your business. You may have a great concept and design team, but if there is insufficient demand for your game concept, it can be hard to break through the glass ceiling.

Brand Your Company

In 2019, there were 2,280 video games companies in the UK. It is a tight market to crack, especially when new startups are forming all the time. Therefore, it is essential to create a branding strategy , including creating a business name, website and social media presence, which can take your company to the next level and appeal to gamers who want to be on the ground floor of your video game revolution.

Develop Your Video Game

Game development in small teams, or even alone, allows for the same authorial control as writing a book or script. You can let your creativity run wild, though a basic familiarity with the gaming landscape is helpful, to ensure you avoid repeating a popular idea.

Sell Your Video Game

Once you have created and developed your game, you can then sell it. You have three different ways you can sell your game. Firstly, you can sell it to a larger gaming business to distribute, or you might choose to sell your game via a popular gaming platform such as Steam, Desura, and GOG, though these platforms will take a share of your revenues. Thirdly, you could sell your game through your company website. Having an online presence is essential if you want to reach a wider audience of players.

How to Create a Successful Business Plan

If you want to get serious about launching a video game company and make a decent income from it, here are a few things to consider before jumping in. It would be best if you listed all the areas below inside your business plan. Make sure you spend all the time you need in the planning phase as this will prevent hardships later in the execution phase.

• Organise a budget with startup costs and expenses
• How will you price your game?
• What are your business model and legal structure?
• What is your recruitment strategy for hiring employees?
• What rules and regulations must you follow?
• Do you need to register your game for an IP patent or copyright?
• What is your marketing plan, and how will you build your online presence?

Ready to Form Your Video Game Company?

If you have your business plan created and are ready to start a video game business, it's time to form your company. You can form a limited company or go the sole-trader route . Deciding and completing your company formation is crucial to your business success. Let us help!

Are you ready to start a video game company? At Mint Formations , we help you form your limited company or self-employed business and take away all the stress that comes with starting a business. All Mint customers receive 30% off our logo and website design services so you can get started on the right foot.

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