A New Business Startup is the Best Unemployment Remedy
Business ideas can be generated by looking at problems you see around you. Problems are business opportunities. Understand their nature and research ways to solve them. Then go on to learn how to develop a business with the identified new solutions. Document your findings in a business plan, if necessary with the help of your local small business support agency.
Starting a New Business
As an Entrepreneur.com article says, starting a business is neither a mysterious process nor rocket science. On the other hand, it is also not a simple and easy process; you have to ensure that the business has the best chances for succeeding. Starting up a “me-too” business imitating another startup is not the best way to ensure success.
You don’t need a completely new product or service to start a new business. In fact, it might prove difficult for a small business to market something that is completely new. The best business ideas often involve improving upon something that is already in the market. Many customers are likely to feel dissatisfied with an existing offer; understand the reasons for the dissatisfaction and think how you can develop an offer that satisfies this group.
Another way to generate business ideas is to look at your own dissatisfactions and frustrations. Instead of just complaining about these, think what you can do. One of these problems might indeed turn out to be the source for an excellent business idea. The Entrepreneur article cites a case study where a lunch delivery business was started to cater to employees in a business district that lacked nearby restaurants, by an employee who felt extremely frustrated at this situation.
In today’s interconnected world, it is possible to come up with viable ideas for home businesses. However, these ideas need to be something different from what everybody else is doing. For example, you might find that a particular herb or spice has high local demand, and be able to source it from a distant country working through the Internet.
Roadblocks to a Startup
Many people think of starting a new business but never manage to actually do so. One major reason is a mental block, such as fear of failure or of the unknown. There is also the much talked about risks of business and people fear that they will lose their homes and other assets by starting a business that fails to take off.
The “looking around” process of generating business ideas outlined in the previous section can dispel some of these fears. When you have a clear understanding about the nature and volume of some pressing need in your community, and have also thought through the specifics of meeting this need, you will feel much more confident about starting the business.
Regarding risks, the best approach is to limit it. Decide how much you can afford to spend on translating an idea into an operating business. Seek partners who can be interested in the venture and are willing to contribute money. Partnerships would be particularly ideal if the partners bring different skills needed to make for business success, such as technology or marketing know-how, valuable contacts and administrative experience.
People might also be hesitant to start a business during economic downturns when many businesses are closing shop. Actually, such downturns might be the best occasions to start new businesses because you might not face much competition. There is also the possibility of getting equipment or whole businesses at bargain prices during such times.
Start up a Business to Beat Unemployment
During economic downturns, even highly skilled workers might face unemployment. Starting a business of their own is probably the best option before them. They can look at their own strengths and experience, and look for others with complementary strengths to join them. Most importantly, they can do some serious research on how to start a business. These efforts are likely to prove substantially more satisfying and effective than trying to find another job.
The Entrepreneur.com article goes into more specifics and includes some good case studies.
Starting a new business is not a complicated exercise. The critical task is to identify unsatisfied needs and find ways to meet these. Business risks can also be minimized by taking certain steps. Provided one goes about it right, a new business startup is the best solution for unemployment that is frequently associated with economic downturns.