Generating and Developing Business Ideas
Every business starts with an idea…
Many people we meet say they want to have their own business. Many of them also say they just don't know what their business would do. So to help out here's an overview of how you can go about generating and developing new business ideas.
There are three types of idea: a borrowed or adapted idea; a genuinely new idea (an invention); or an idea based on what you know. Bear this in mind as you go about your usual daily routine, inspiration will come.
Where Do Ideas Come From?
The World Around You
What do you do each day? Think about each thing you do. Could you improve or simplify anything? Does anything annoy or bore you? Could you make it better, or is there a need that could be provided for? Think "what if…" or "wouldn't it be good if…". For example, wouldn't it be good if your washing hung itself out, your wardrobe told you the weather report, or you could get your favourite crêpes delivered to the office for breakfast.
What do you use? What businesses do you deal with? What do you read and watch? What places and websites do you visit? Could you do any of these better — or at least differently?
You
You are unique. You have a set of skills, talents and experiences unlike anyone else. Could you put any of these to good use? It's likely you can do something other people can't. This doesn't just have to be work based skills. Do you have hobbies? If not, what have you always wanted to do? Learn something you will enjoy doing with the intent of developing it into a business. Admittedly this may take a little longer but there's no time to start like the present.
List Your Skills
Follow these steps to analyse your abilities and personal properties, then develop them into possible business ideas.
- What do you love to do?
- What do you do well?
- What would you like to do?
- Do you have any talents, hobbies, skills, passions or experience?
Create a Personal SWOT Analysis
Make a SWOT analysis about yourself. List your position across all four dimensions:
- Strengths: What do you enjoy doing most? Consider skills, experience, hobbies, knowledge and personal traits.
- Weaknesses: What do you least like doing? For example: no business skills, not good with numbers, lacking in a particular area of knowledge.
- Opportunities: What's around the corner? What external factors may help you, what can you learn from others, and where do you fit the bill?
- Threats: What could cause you problems? How will external factors affect your business or venture?
Learn to Recognise Trends
Spotting a trend early — before a market becomes saturated — is one of the most reliable ways to find a genuine business opportunity. The key is to observe what is changing around you and ask what needs those changes will create.
Trends Worth Watching
- The growth of the internet
- Environmental concerns and sustainability
- Working from home
- Demographic changes
- Economic shifts
- The Grey Pound
- The Pink Pound
- Ethical trading
- Social enterprise
- AI and new ways of working
Observe Markets to Find Opportunities
- New or growing specialist areas (niche markets)
- A market with some resurgence in demand
- Products that hold their value
- The local supplier
- Meeting a need for which there is only occasional demand
What Are the Problems and What Are the Needs?
Ever noticed something that could be done better? Could you do it better?
Is There a Solution? Is There an Opportunity?
- Is there a better idea?
- What is the idea?
- Can it be developed?
- What are the operational needs?
- What are the technical requirements?
Is There a Market?
- Will they buy it from me?
- Why won't they buy from me?
- Who do they buy from now, and why?
- What do they really want?
Evaluate It
- What sort of business could you create?
- A full-time or part-time operation?
- A business to fit your lifestyle?
- A service-based business or product-based business?
- A ready-made business (existing or franchise)?
Tips
- Be clear about your business idea.
- Be honest about your skills.
- Research what support is available.
- Research your customers, competitors and suppliers.
- Know the market — know where you fit.
- The Pareto Principle, aka the 80/20 rule — understand which 20% of your effort will produce 80% of your results.
- Develop a business plan.
- Always start with all the cash you need.
- Prepare and plan for contingencies.
- Take all the professional advice you can get.
- Create an action plan and lists.
- Network, network, network.
Shaun Knowles is a Creative Developer at Primitive, he helps people just like you.