IS YOUR BUSINESS IDEA GOOD ENOUGH?

Would your business idea actually make any money?
Are you always thinking about possible business ideas, but fear of failure forever holds you back from starting up your own company?

QUESTION
From: Bimal Gohil, UK
I have a wealth of ideas and am good at spotting new opportunities for growth and development.

So much so that my wife has asked me to stop coming up with the ideas as I only get upset when a couple of years later someone else comes up with the same thing.

What is the best way of assessing the viability of a business proposition - as fear of failure stops me from putting my neck out?


ANSWER
By: Peter Ferns, director of NatWest business banking
It's great to see that you have thought about unique business ideas.

Coming up with a suitable idea is one of the biggest struggles that potential entrepreneurs face, so you are already one step ahead.

My initial suggestion would be to prepare a business plan, which will put your business ideas into a format that can help you decide how viable your business proposition is.

This will prompt questions around the strengths, weaknesses, opportunities and threats of the potential business.

There is a wide range of business literature and software available that will assist you with both the planning of the business and the key stages that you will need to follow.

Often this is available free of charge from the internet sites of major banks.

I would advise that you ask yourself the following questions to determine whether going it alone is the right path for you:


How will this fit in with your lifestyle?

Do I have the right qualities?

What is my Unique Selling Point (USP)?

How will I sell and market my product/service?

Will I make a profit?

What will my cashflow be like?

What are my set up costs?

How will I fund the business initially?

Will I need to employ staff?
I would also recommend that you approach either a local enterprise agency or Business Link, who will be able to evaluate your idea and give you a steer in the right direction for more information and guidance.

SOURCE: BBC