(DAY 14/35) Journey to increased profitability available M-F start date was June 20,2010
Small business owners are always coming up with new ideas; new services, new products, new marketing concepts, etc. In the past I have asked you to stay with a service/product; give it the time needed to see if it can become a profit center.
However, being the free spirits that most small business owners are, it is possible that an idea may come to you that has great potential. Having systems is the backbone of a small business operation; let’s look at such a system that is specifically for new ideas in an established business.
- First, don’t neglect or give up your “day job”; in other words, don’t take time away from your current base business.
- Don’t share your new idea with staff members or current clients.
- Spend several evenings searching the internet for similar businesses and learn as much as you can about.
- Look in your own area and determine if such as service is being offered. If the answer is yes, shop the business, take careful notes and then determine if there is a need for your idea.
- Just because an idea appeals to you does not mean that the public will feel the same way about it. Before you spend any money start a research process to test market your concept. One idea is to have a focus group made up of trusted friends,or your business support group. Ask them to give you their honest opinion as to the need and value of your new idea.
- Only after you have completed these items should you go to the next step. The next step is to answer questions, similar to the ones that you answered about your current business: 1– describe the new service in detail; 2– who will it benefit? 3- define your target market. 4-create a start up budget including both cash and time resources required.5– do a one year projection on income and expenses for this new idea.
- Based on the date gathered make a decision as to whether you should pursue the new idea, or let it go, or put it on the shelve for a future date.
- This process takes time, but it will also test your true enthusiasm and your willingness to proceed.
What great thing would you attempt if you knew you would not fail?