How to choose a small business business idea
There are 1000 business ideas that you can use to organize your own promising production right at home. They are all original and diverse. Of course, you can develop a business with minimal costs or from scratch, but in any case, you need to test new ideas!
How can you protect yourself from dismissal? After all, it will take a lot of time to find a new job, but you need to live on something. This is why everyone has to create multiple financial streams if they want to be confident in the future.
Organizing a home business is exactly what will help you get additional income. That is, to create another source of income and, perhaps, soon it will turn out to be the only job that will bring profit.
Therefore, to start your own business you need the following:
- initial investment;
- great desire;
- knowledge and skills.
A business that can be done right from home is a rather peculiar kind of activity. Most of us ask different questions about this. Does it make sense to start a home business from scratch? Can you do this activity? When you have a favorite hobby that can bring good profit, feel free to start organizing your own business.
You need to do what you like.
Success is generally determined by what you invest in the business, not what you do. When you love what you do, then become creative and persuasive entrepreneurs. Of course, it does not always turn out to be engaged in your favorite hobby, but if you understand why you are doing this, then the business will also be promising even with indifference to the manufactured product.
Use old ideas to create a new product.
A completely new idea rarely appears. Often a new concept is a variant of an old one that has been familiar to everyone for a long time. For example, rollers were made from ordinary skates.
When you are looking for real and simple earnings, you need to come up with a new product. After all, you can choose from 1000 business ideas exactly the direction that you like. Many make money on ordinary subjects. The point is that you need to sell things that the consumer will not be able to do on his own or simply does not want to create.
If you are professionally engaged in embroidery or jewelry production, then there will be no difficulties in choosing a business. So, keep doing exactly what you like the most, and get more profit for it. We can assume that the home business is completely ready, you just need to find customers.
❶ How to choose a business idea of the year
How to Choose the Right Business Idea: Tips for Beginners | Business Arena
The builders are laying the foundation for the house to stand for decades. Builders dig a trench and pour cement or other durable material into it. So it is with business. But a business idea is not a foundation, a foundation is a business plan. The business idea defines the foundation, determines what the business will build on. A business idea is more like a trench into which a solution is poured. Choosing a business idea is the first step in starting your own business. In a changing world, the entrepreneur is obliged to formulate ideas, taking into account market trends and new technologies. This article will show you how to choose the right business idea so that it lasts for decades. In this we were helped by the trainers of Business Youth Ukraine - Evgeniy Vasilenko and Alexander Kompanets.
Become aware and do
The factors that accompany the process of formulating a business idea demonstrate a clear awareness of a person's own choice:
- rejection of the "old life" - profession, work, occupation;
- rejection of an employer - a desire to become the owner of your business;
- the desire to create goods and services that society needs;
- the desire to achieve their goals, to steadily increase income;
- a clear understanding of the schemes of their own business and possible difficulties;
- availability of knowledge in the field of future business;
- awareness of risks, the ability to identify and reduce them in time;
- the ability to organize accounting and control in your own company.
It's important to choose the right business idea. Entrepreneurship is an addictive process, but only if you are interested in working in your chosen field. The period has already passed when the best business option was considered “buy cheaper - sell more expensive”. In an established market, the winners are those with unique knowledge, even if in a highly specialized field. If you know how to bake delicious buns and you are interested, develop your business in this direction.
Most Important Business Idea Criteria
Uniqueness. It is not necessary to use a new idea. Rather, it is the ability to apply an interesting idea in time and in the right place. For example, the idea of opening a cleaning company in a city where there are no such services will be unique. It is not new to the market as a whole, but it is original in this market niche.
Implementation cost. You should not discard a profitable and interesting business idea just because it requires attracting investment. Modern entrepreneurs have many opportunities to raise funds: from bank loans to angel capital or crowdfunding platforms.
There can be any number of criteria for choosing an idea for a business, but among them there are the minimum necessary ones to maximize the chances of success. You should start by clarifying your personal goals so that the business at least theoretically corresponds to what you want to achieve in life. The goals can be very different, and it depends on which type of business is right for you. For example, you might set yourself the goal of making more money than you would as an employee. Or to achieve financial independence so that the need to just make a living disappears after a while. Also, motivation can be unwillingness to obey someone and the need to be your own boss.
Sometimes the constant refusals to find a job are pushing to create your own business. Business can be driven by the need to satisfy your own ego and become a serious businessman, or the understanding that you can do something better than anyone in a certain area. The goal can also appear as a result of the realization that it is impossible to live differently. There are no right or wrong goals for starting your business. And therefore, it is important to choose a business that will coincide with your goal, otherwise, over time, a feeling of dissatisfaction will begin to appear and, as a result, the motivation to develop your company will disappear.
Choose the amount of risk you like and what you can afford
You need to understand that any business can be described in terms of risk and expectations - upside. The risk is that the business may fail, and upside is the amount of profit that can be obtained in case of success. Of course, there are areas of business with limited risk, but profit is also limited there. For example, a consulting business should be profitable from day one and doesn't require investment. If there is a desire to create a competitor to Google or Yandex, then the development of a breakthrough algorithm alone is not enough - resources are needed to fight brands. Therefore, it is always necessary to keep in mind two types of risk: the risk of choosing a bad business model and the risk of failing to implement that business model. The first risk is associated with the fact that your service or product will not want to buy or will not want to pay enough so that you can cover your costs. If your basic financial needs are not covered, then it is wiser to choose a business idea that has been tested many times by others. At the same time, only implementation risks remain, but the upside of such an idea is also limited. It should be borne in mind that businesses with low risk and unlimited high returns simply do not exist. There is only one way to reduce the implementation risks - to choose ideas in those areas in which you are well versed, and even better - you are a recognized expert, at least among your friends. This creates an advantage and saves money and time. Another important factor is self-interest, but business should not be confused with a hobby here. In the motivational literature, I have often met calls from all sorts of coaches and even successful businessmen to do what they like, and the money will definitely come. In my opinion, this is not so: the cause-and-effect relationships are mixed up here. Of course, you have to like a business, otherwise it will be hard to do it for 5-10 years for 15-18 hours a day, but not vice versa: not every favorite activity can become a successful business. Therefore, you can collect stamps, wrestle, aikido or drawing as much as you like, but to determine what kind of business to do, dig deeper: decide what kinds of activity are close to you in spirit, what brings you pleasure - you like to create something, you like numbers , do you like to sell or do you like to organize.
One of the key questions to be answered is: "What basic consumer needs does my business idea cover?" The fact is that trends in the modern world are short-term and you need to constantly adjust to them, but basic needs do not change. We see that now everyone uses mobile applications, and after some time, for example, holograms will appear that will transmit images directly to the brain, and the trend will change. However, the need for communication between people and the need to be accepted in the society of other people is eternal. To identify basic needs, it is worth considering one more question: "Why will my case be in demand in 10-20 years?" For example, the desire of consumers to save money and receive quality service will remain unchanged. As Jeff Bezos said: "I can't imagine my clients in 20 years will say that you have great service, but could you raise your prices a little, otherwise it is somehow too cheap." Therefore, from the very beginning, Amazon staked on the lowest prices.
After answering all the above questions, you can proceed to choosing a niche. Let's take a look at a few of the most common types of businesses.
"I do what I can"
“Doing what you can” is the surest way not to burn out. Do business on what you know best. Usually, such a business is opened by professionals who have gained experience as hired employees and are ready to go free floating. The main test: they turn to you from outside for advice and help and offer money for it. As a rule, such a business does not require investment and is not high-risk. However, you have to depend on customers. Most often, a company associated with the provision of services falls under this category: consulting, development, marketing, PR, HR. Low risks also imply low income. It is quite possible to make more money than your uncle's salary, but it will be difficult to grow to a place in the “golden hundred” of Forbes.
Franchise and its quality
Franchising: this option is suitable for those who do not want to become a specialist or expert in a particular field, while having some free amount of investment, but are not inclined to take much risk. Everything is simple here: you take a business with a ready-made model, where everything is provided for to the smallest detail, and you do what you are told. True, there is a risk of choosing a bad franchise. Therefore, before making a decision, it is worth diving into the topic, carefully calculating and checking everything. Let's say you can buy a franchise from a successful cosmetics store, but not guess where it opened and go bankrupt. All the implementation risks will still have to be taken on, although the risks of the business model have already been minimized.
Business ideas for the lazy: options for their business
How to make money without investing a lot of money and effort? Profit from passive business can be about 200 thousand rubles per month. The main thing here is your desire and entrepreneurial spirit.
Own business requires a lot of time and effort - it's true. But today we will tell you about business ideas for the lazy, which will require a minimum of effort. It turns out that you can only make money using your intellect and enterprise. Our selection brings together lucrative yet simple business ideas. You will surely find an option for yourself, if you are not too lazy to read the article to the end.
Equipment for the implementation of a business idea
Despite the seeming simplicity of this business idea of the entire photo booth design, it is equipped with a high-precision camera and a powerful computer with special software. Therefore, a photo booth is not cheap equipment. A photo booth with high-quality photographic equipment will cost about 200 thousand rubles.
Initial cost of implementing this business idea
200 thousand rubles - for the cabin itself;
5 thousand rubles - for registration of an individual entrepreneur and all organizational issues;
In this article, we will show you how to choose a business idea from the list or how to come up with a business idea from scratch.
This article provides techniques to help you decide which business is best for you, in the market that exists and in the place where you are. These techniques are suitable both for developing an original idea, and for choosing one idea from the existing list of potential business ideas, or for choosing a franchise.
And at the end of the article I will answer how to choose an idea for a business.
So, which is better, take and copy a ready-made idea, or come up with something of your own, completely unique and original?
Well, remember that if you copy an idea, you still cannot copy absolutely everything 100%. All the same, you will have to bring something original to someone else's idea. There are cases when an entrepreneur works for some time on a franchise, and then leaves the franchisor and creates his own project according to the same patterns, but in these cases he has to change and build some things himself.
On the other hand, if you come up with a completely original idea, it will be too difficult for you to come up with absolutely every element in the value chain yourself. Look at other businesses, think about which projects have a similar audience, a similar market to you, and, if possible, steal the best ideas and practices from them.
Is a business idea really important?
I would also like to briefly touch on the question of how important a business idea is?
The fact is that I know many people who either grabbed onto one cool idea that they really want to implement, but they absolutely have no opportunity to do it (I myself have several business ideas , which I cannot yet implement, I just keep them in my collection of ideas for now). Often these guys make presentations and go to investors for years trying to raise money, instead of starting a business that they can finance.
Other people want to find a business idea that will shoot with a 100% guarantee of success, and so they are looking for the perfect business idea and do not start doing something until they understand exactly what they want.
There are still cases when a person has a crude business idea and he polishes it for years, writes a business plan, studies the market, but does not start his project.