Ideas for Home Business

If you are looking for ideas for home based business there are a few things to keep in mind. Business is simple as long as you know what to look for once you have that figured out you have the keys to the world.

I have said it before and I will say it again, people don’t want the product or service you are offering, they want what that product or service provides them. Keep this in mind when you are exploring potential business opportunities.

Step 1. Solving a problem or facilitating a need.

You wouldn’t start a Popsicle stand in the North Pole so why try to sell what you have to offer if what you have to offer doesn’t have a demand? It doesn’t make sense. What does make sense is starting with the pull of the market. What is it that is already in need and has a current and consistent demand?

The most successful people in the world play off of this very dynamic. Think about it for a second, who are the most successful people you know or know about?…Ok, how are they involved with something people use on a daily basis?

Take a land lord for example; they own a building that is used every day by its tenants. Mr. Gates created the platform that I am using this very moment to express my thoughts while you are using it to read them. Mr. Buffet has his hands in companies who’s products are almost guaranteed to be in arms length of you this very moment.

Unless you have some overwhelming desire to peruse a super small micro niche, don’t waist your time with a market that won’t support you,

Step 2. Assess competition

Once you have established the need you want to facilitate take a second and observe how that need is currently being met. This is very important for the home based business owner as capital is usually limited and the cost to break into an overly saturated market may be too great to bear.

Ideally you will want to find a market that has as large of a demand and as little competition as possible. Follow the equation for motivation:

(The extent of the reward) X (the likelihood of achieving the reward) = level of motivation

Any market that will allow for a decent profit margin and high likelihood for sales will be worth pursuing. Remember all of the low hanging fruit is long gone, so no matter what direction you go a good deal of diligent work will be required.

It should also be understood that small business by definition must facilitate a small ever changing need. This will eliminate the pursuit of any market that is well established and consistent.

Step 3 Create your game plan

Now that you found a need in a market that you can compete in it is time to create your game plan. This will vary from market to market of course but it is a step that is essential for your success.

Take the time to address every nook and cranny of your newly found direction and get to know it inside and out. Your expertise in the area is a cheap insurance policy against the variability of a free market. If you know your market better than anyone else, guess who is going to be on top of the next big opportunity.

Line up your direction for your potential business with your own personal direction. If you are pushing something you are passionate about the entire process will be much easier. If you don’t like what you do it will be reflected to your potential customers and consequently in your sales.

Step 4 Get started!!!

After completing the above steps it is time for the rubber to meet the road. There are very few things standing in the way of what you truly want, often times we are our own anchor. Don’t fall into this trap, figure out the tasks that need to be completed in order for you to get your business up and running. Chances are you will have a service oriented business model in mind so after you lay out the few pre business elements hit the streets and make something happen.

Having trouble finding a direction?

If you are having trouble finding a direction for a home based business I will give you a model that always works; buy and sell in classified adds and on Ebay. There is no more straight forward business model than buying and selling physical items. While in college I followed this very model to pay for many of my expenses.

Pick a single item and begin to purchase and sell them in your town. Go with something you know and are confident about. Best of luck to all of you budding entrepreneurs and please let us know how your efforts turn out.

TJ

About TJ

Engineer and Entrepreneur