August 22, 2024
The foundation of any successful business starts with a great idea. Passions, skills, or addressing your own frustrations can inspire the idea. But how do you know if your idea has the potential to succeed?
The Utah Small Business Development Center (SBDC) offers free, personalized business consulting. The consultants can guide you through the process and help you navigate the complexities of starting a business.
The Small Business Administration (SBA) also suggests some steps to help determine which business idea is most likely to succeed:
- Identify your passions: Start by making a list of your passions. Then, write complete sentences explaining what you commit to doing with each passion. Think about things you love to do that may have solved problems or addressed challenges you’ve had.
- Research the market: Conduct research to see if people are willing to buy your solution. Write a list of potential situations where your idea would be beneficial. Spend some time online to see what is currently available. Analyze similar products to identify gaps in the marketplace that your business could fill.
- Define your value proposition: Your value proposition is what sets your product or service apart from other products. Does your product or service solve a problem, and would people be willing to pay for a solution? Creating a clear value proposition and target market allows you to explain your product’s key benefits.
- Test your idea: Start testing your product or service with real customers. Create a prototype so you can see how they react. If you receive positive feedback, you can continue launching your idea. Otherwise, you may need to make adjustments before moving forward. Collect positive and negative feedback to determine what tweaks to make.
For those who don’t have a unique idea but still want to start a business, the Small Business Administration offers several business ideas. They suggest exploring ideas spanning from creative fields such as a logo designer, photographer, or video creator; practical solutions such as a house and pet sitter, errand service, or tutor; or remote work such as an e-commerce seller or virtual assistant.
Starting a new business is an exciting journey! Before you begin, think through your idea and make sure it has the potential to be successful, look into what solutions are currently available, and check with state and local authorities for the necessary licenses and permits.