In our last post, we discussed some common mistakes entrepreneurs make when starting their own business. These are understandable errors, but ones that should nonetheless be avoided.
In today’s post, we’ll continue that discussion with more tips to keep in mind when planning your business. Specifically, we’ll talk about finding the right kind of business for you and the right niche within that market.
The previous post discussed the need to identify who your target customers will be. This is not just important from an advertising standpoint – it could actually make or break your business. And as one business owner explains in a popular business blog post, finding your niche is a multi-faceted process.
First, when deciding on what your products or services will be, you need to determine if there’s a market for what you want to offer. In other words, are you trying to sell unique goods or goods that can be found in many other places? Are you offering services that solve common problems or are you offering solutions to problems that don’t really exist? If you pay attention to your local community, you may already have a good idea for what products and services would sell well in your area.
Next, after selecting your business focus, you should think about narrowing that focus to a specific market niche. The “general store” model may seem like a good idea because you would theoretically be appealing to a bigger customer base. But the opposite may actually be true. It is easier than ever for customers to search for exactly what they want. Therefore, many small retail options attract customers by focusing on a target demographic and becoming the go-to source for those customers.
Finally, you will ideally choose a niche for your business that you happen to be passionate about. Startups are a lot of work and require serious dedication. If you don’t love what you do, chances are good that you are going to get burned out before you have the chance to become successful.
As we frequently remind readers, every business owner needs help from time to time. As you plan your startup, please consider seeking advice from an experienced business law attorney.