Are you ready to dive into the entrepreneurship pool? Well, you’re not alone. Ask any entrepreneur and they will tell you that a solid business startup requires planning, creativity, and soul searching. Even if you find a hot business opportunity, you have to evaluate whether it’s realistic and viable. Will it blossom into a successful venture? Which niche or industry appeals to you? Will you enjoy your business? Here is how to know your business is right for you.
Follow your passion
To succeed in business, you must truly follow your passion for a specific product or service. If you love what you do, the money will follow. Those who look for a short-term hit to reap a financial gain may not survive for long. If you’re in for the long haul, you should venture into a business that suits your lifestyle.
What are you good at? If you’re a go-getter, this can be the perfect opportunity to turn that talent or skill into a business. If you run a business without passion, it may be hard to stick to it during hard times. When you do what you love, you may never need to work a day in your life. While many argue this mantra in different ways, the sentiment from this phrase is worth pursuing. But why is passion so important? If passion and enthusiasm are present, you’ll be more resilient when you encounter roadblocks.
“Knowing that a business, online or offline is right for you will consist of a few elements such as: are you truly interested and passionate about the product or service? And can it reach a large enough market to make it worth the learning curve to get started and ramp-up?” explains Dream Architect Travis Fox. So, you must really feel good and be passionate about what you do every single day in order to really know whether your business is right for you. If deep down you are not passionate about what you do you will be lazy about doing the work and you become less likely to succeed.
If you don’t know your passion, back off for a while and try something different. When you spend more time working on something, you get closer to it. Just follow your curiosity and you’ll be surprised where it takes you. But following your passion is just one side of the coin – what you want to do is match with the hard realities of the market. Ask yourself, what do people want?
Reach a large market
If you’re a start-up business, there’re many things you need to get off the ground. Maybe you have dreams of making your business the next Apple or Amazon. Also, you could be worried about how to make it against large companies.
For startup businesses, the learning curve can be terrifying. It all starts with a plan. When you venture into a large market, you can be sure your business will survive during tough times. Just like anything else in life, a business can change. But as it grows/matures, the market share increases steadily. Therefore, you must come up with a strategy to explore new markets. Another way to reach out to large markets is to develop products and services that solve the problem of customers.
The degree to which you venture into the market will depend on business goals and objectives. Perhaps, you should think about how you can grow your business slowly to maintain a large market share. If you target a small market, you leave your business vulnerable to economic downswings and increased competition. To achieve high market growth, you should do some research before you define the target market.
When you reach a large market, you can access a general pool of customers. There’s a common misconception that many startup businesses can’t venture into the large market but this is not always the case. When you identify your niche, you can develop market loyalty and expertise.
If you think of a small market, you may not have the right support structure. As you venture into the large market, be sure to look at the problems most businesses are ignoring. The idea is to put your efforts into innovating. Once you take the test, you can start your journey of self-discovery. There are many methodologies that can help a business soar past the limit that you never imagined yourself. Without a niche market, your idea may not even get off the ground. Finding a sizable market depends on personal preference.
Is there emotional pushback?
If you have a pushback when you share your venture with family members and friends, then you should consider pursuing a different path. When you’re not comfortable sharing about what you do, it’s just a matter of time before you venture into another business. If you’re comfortable running your business, then you should share it with everyone. Will your friends laugh at you? Will your family think you’ve lost it?
When you share your business with friends, you can get some tips on how to reach the next level. The goal is not to share the excitement but to tell everyone what you’re up to. Keep in mind this is where you get referrals and interactions with customers.
Can you hold up against the competition?
If there’s a business that has occupied the already chosen space, that shouldn’t scare you. The truth is that the existing competition can be a sign that your business makes sense. If others are doing it, you too can succeed. A smart entrepreneur will differentiate himself from the competition and perhaps target a new geographical region.
Unless you’re a monopoly, you can never have a market all by yourself. Think about it – if no one is competing in your industry chances are that the market you’re into is too small. You should know your rivals’ market positioning, products, and financial status. If you believe the market is overcrowded, you’re in the wrong business.
The competition allows businesses to stay ahead of the game. If you have a creative mind, you can push beyond boundaries and become even more innovative. These new ideas will have a dramatic effect on the success of your business. With competition, you can be sure to bring as many customers as possible to your side. If you don’t want to compete with others, it’s time you rethink your business.
Does your business solve the problem?
If your startup business solves problems that affect your family, friends, or the general public, then you’re on the right path. Let’s face it: customers want to know that your business can solve the challenges they face.
If you’re focused on your problems, you’ll remain broke. Therefore, your biggest task is to find the right audience and solve their challenges. Before you brainstorm on how you can make money or how to craft the next sales funnel, take a deeper look into the market. You should ask yourself a couple of questions; is there an actual need for the product or service? Does the idea fit the needs of the market? Is there a way I can solve the problems other people face from competitors?
Are you realistic about your goals?
Now that you have a new business idea, you should stay grounded with realistic goals. Practically speaking, any business should have a viable market where you can sell your products or services. This is where planning comes in. You can spend your time creating ads with beautiful designs but without goals, your designs won’t deliver results.
Most business startups will have vague goals like growth, revenue, etc. A good goal can be something like growing revenue by 20%. It’s worth mentioning that goals should be SMART (specific, measurable, achievable, realistic, and time-bound). So, how do you determine the right goals for your business? When you set the goals, you should determine by how much you want to achieve them.
How will you market the business?
You can have a product/service but without a decent marketing strategy, you’re destined for failure. What’s the purpose of having a product that you don’t know how it will reach its customers? This is something you must think about as early as possible. Marketing entails collecting information on what customers think and analyzing the buying pattern. Don’t forget to keep an eye on what the competitors are doing.
Are you open to advice?
If you’re not open to the ideas of others (mentors), then the business is not worth pursuing. Even the most successful entrepreneurs will tell you that you have to listen to other people’s advice. If you remain close-minded, you’re simply killing your business.
Just because you have an idea to start a business, it doesn’t mean that the rest will follow. While an opportunity may seem exciting, you should look at the bigger picture. Be sure to evaluate the above elements to establish whether your business is right for you.