Grow

How to find a business idea and what to actually do with it, in 8 Steps

1. Foundation

People debate on business ideas since for ever. Let’s see who they are based on what they do and don’t do.

Six types of people, based on how they approach a business idea.

  • In my head type: Some think and say they got the next big thing, but don’t test it and don’t execute it
  • I know better type: Some think and say they got the next big thing, but execute without any type of validation process, because they know better. In the end, they find out that the customers decide if your thing matters for them or not
  • Down to Earth, but scared type: Some know they have to test their idea, but they are scared either of failure or success, so they don’t do nothing
  • Down to Earth, but quit too fast type: Some know they have to test their idea, they do, its not right at first and they quit instead of pivoting
  • Entrepreneurs: Know they have to test the idea, they do, pivot a few times if needed and over-deliver the same experience through systematization, over and over again, based on who they are and what the ideal customer needs and wants.

Before going forward, you must know that some ideas are the wrong from the start because:

  • they are not executed at all (over-thinking, no action)
  • executed by the wrong type of people (you go into something just because it seems cool)
  • executed poorly (no expertise, not understanding business) and customers don’t care enough

Now we can see how things are done correctly.

If done completely, this exercise will save you a lot of time and energy, long term.

2. Market checklist

This is a simple, yet great formula I learned from Paul Coman from StartupAcademy.

  • demand – do specific people demand your product/ service?
  • resources – do you have the resources needed to start and prove your product idea through sales?
  • competency – do you have the competency so you can execute the idea?
  • belief – how much do you believe in your product/ service?

3. The most important question

Who can and want to pay you for what you (and/ or your team) both love to do and know how to do very well?

It has to be something both you and your future ideal client really beliefs in. Something you can deliver at a great level and they can and want pay you for it, constantly.

4. Who's your ideal client

  • who is he/ she, specifically (one real person). age? sex? what he/ she works on/ for? income level? where is he/ she?
  • what state is he/ she in?
  • what stage is he/ she at?
  • what’s his/ her need?
  • what he/ she really wishes for?
  • determine a possible ideal product or service for them, which could help in what they need and want to achieve
  • after creating a 1st draft of the product/ services, ask yourself: on a scale of 1 to 10, how much do I believe in this, on a long term?

5. How to define the product/ service & Write a hypothesis

  • what is the name of your product?
  • what is its main purpose?
  • who is it for, specifically?
  • what specific problem does it solves?
  • how does your product/ service actually solves the problem

 

Write down your hypothesis (inspired by Prime): 

[Name of the product/ service] is designed to [Purpose] for [ideal clients]. It solves this issue [Problem] by [How is the problem solved by your product/ service].

6. How to validate the product/ service

  • go talk to them live, to see what are their real needs and wants and if they can and want to pay for your product or service. if the discussions are favorable to your product/ service, ask if they are ok with you audio recording the discussions
  • starting from your recording, you create a first version of your product (a minimum valuable product), who doesn’t have to be perfect, but simply resolve your ideal client main need and want, at a quality level that would make them happy and ready to pay you again in the future
  • sell or pre-sell to them – decide on a number of initial customers, so you can validate the product/ service

7. Next steps

  • official launch with happy customers results and testimonials
  • make sure to follow up to them and continue to offer perceived value to them, so they continue to know, like and trust you and buy from you whenever you have something new

Any questions? Comment bellow and you’ll get your responses.