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    2 Replies Latest reply on Mar 11, 2011 8:43 PM by FMDynamics

    Help finding an idea to start a business

    Newbie

      I see a lot of requests on this and other boards where people want to know how to start a business, or how to do something related to a buiness.  I have a question that comes before that, which is ... how do I pick an idea to start a business? 

       

      I've asked many people this question and they tell me to think about what I like to do or what I'm good at, and unfortunately, watching TV and surfing the web aren't things that you can turn into a business.  Or at least not one that makes any real money.  I'm a sales guy and a marketing guy in my day job.  I'm not worried about figuring out how to execute on whatever business I pick, I just can't figure out what I want to do when I grow up!

       

      So my questions are:

       

      1.  What process is the best process to follow, in order to think of a good business to start?

      2.  What are the top 5 or 10 hottest markets now, with potential into the next 10 to 20 years?

       

      -S

        • Help finding an idea to start a business
          FMDynamics Newbie

          The answers you have received in the past are the typical answers people give that have no true business sense. At first glance it would seem ideal to go into a field your good at or enjoy. However soon after you realize you no longer enjoy it because your running a business now. The things that mostly made your hobby enjoyable are replaced by deadlines, paperwork, long hours, etc. 

           

                          There are two main factors that are involved when starting your own business that you must address before even think of what type of business. The first being, work ethic. There is no such thing as a get rich quick business. You must be prepared to work harder and longer than you ever have before or your company will initially fail. The second factor and the most important is how good of a sales person you can be. Most people don't understand that 95% of all jobs are directly related around sales. You are either selling a product, supporting a sales person, and maintain a previous sale. Since you are looking to start a new business you will have to handle all 3 of these aspects. This takes a dedicated person with the right mind set as you will hear the words "NO" many more times than you hear "YES". (law of averages)

           

          If you can come to terms with that only then can you address you actually questions.

           

          1.  What process is the best process to follow, in order to think of a good business to start? In my opinion the best business to "start" must have three main components. Some of these items may change as you grow but the key is having these at the beginning.

           

                          1. Profitability. You want to insure the product you are selling has a large return in comparison to its cost.

                          2. Market share. You want to insure that your product is useable by as many people as possible. You can either sell a Chevy which is has a large market share or a Ferrari which has a small market share(niche market)

                          3. Overhead. You want a product that allows you to run a company with minimal overhead.

           

          2. What are the top 5 or 10 hottest markets now, with potential into the next 10 to 20 years?

           

               Trying to base a business on what may happen over the next 10-20 years is not a good starting point. The reason being is the hottest markets right now were not even around. Markets like, cell phones, social networking, the internet have been around a very short time. In the next 10-20 years some of things will not even be around, look at VCR's, laser disc players, tape recorders, walkman, etc all hot items in there day. I would look not to the future but to the past on see what has survived the ages. Industries like finance/banking, marketing, advertising and some new ones that are sure to be around for some time IT, web design, graphic design.

           

               I might be bias because I happen to work in the field but the credit card/payment processing field is a great industry. It has all the main factors as well as continued growth in the future. 20 years ago credit cards we rare however today they are everywhere and future generations are not going to know what cash is. How many people still use checks, allot less than 10-15 years ago. As the financial industry moves more and more to electronic payments there will be a greater need for these types of services. Just my two cents