So you have identified an idea to start a business and you’re convinced that this will be the next big thing. Starting a business requires complete dedication of your time and large investments of your hard earned money. This is why, before you take the plunge and go all in into this business idea, we recommend taking a few steps to ensure that it would be worthwhile to pursue this business.
Identify your market
You have a product or an idea that you feel there is a need for. But who needs it? How many people? These are some questions that you should be able to answer. You could conduct a survey or a market research and establish if people really need the product and also the demographic of the ones that need it.
Check if something similar exists
Even if you have the perfect idea, there could already be someone else out there doing the same thing. Or worse, a lot of people doing the same thing. Which is why you should do a search first before jumping into it. Even if something similar does exist, ask yourself if you could do it better and improve upon it.
Could it be profitable?
Good ideas are not enough, there should be a clear plan on how you could make money out if it and turn a profit. Identify things like how many customers you would require and the price point which you would need to set to make a profit.
Have a good team.
We are not saying that it’s impossible to start a good business all alone, but it’s very unlikely. Good ideas are plenty, but it’s the execution which is important. Identify people with different expertise than you, who could genuinely add value and contribute to the growth of your business.