As you grow in business you will begin to see more and more opportunities. But how do you know what’s a good opportunity and what’s a bad opportunity?
Side hustles are the new craze because people are moving away from the traditional idea of working in a cubicle. They have an entrepreneurial “itch” that they want to scratch-they’re just not sure how to go about doing it. There are five things you should think about when you are considering a new business venture. Will you enjoy it? Will there be enough cash flow? Is there long term growth potential? Have you formed a mastermind alliance? Do you have something that is proprietary to your business?
The first thing I think about when I get a new business idea is, “Will I enjoy doing it?” You might have an amazing idea, but if you won’t enjoy doing it you will lose your passion and burn out quickly-it will just become another job. This will require you to be honest with yourself. Not all of your hobbies and things you enjoy are meant to be business ventures.
Secondly, let’s talk about CASH FLOW. An idea isn’t great until cash flows. If you are not putting money in the bank-then the idea doesn’t matter. You will be flooded with all of the negative emotions and you will hate doing what you are doing. Money makes things happen. You have to understand your PL statements (profits and losses). If your new venture can’t pay the bills-you may want to keep looking.
Next, you have to figure out if there Is long-term growth opportunity. Think of it this way: A fish will only grow to the size of it’s tank. Are there opportunities for the bigger tank, the upgrade, the expansion? Don’t get caught up in your current situation and miss the opportunity to do something great. Make the best of your situation and utilize the tools that you have in front of you. Realize when it’s time to grow and expand. You have to go find the money and the jobs. Nothing is going to be handed to you. You have to put your feet to the ground and get it done. Figure out where your clients are, make the phone calls, go to the networking events and fully emerge in the business of getting business. Ask yourself, “What am I going to do to get long term growth potential?”
On the flip side, sometimes you have to realize that your great idea just won’t work. If you think you are going to build a lifelong legacy, but there’s no market, you are wasting your time. Again, this will require, sometimes brutal, self honesty.
One of the things you should do when considering a new business venture is the Mastermind Alliance-two minds working together to progress towards an achievement. We’ve all heard the phrase, “Two heads are better than one.” You need to form alliances with like-minded people who want to achieve the same goals. You have to form your alliance and utilize it within your business. It doesn’t matter if it’s your spouse, a business partner, whoever!
One of your first alliances should be with a CPA and an attorney that will be honest and realistic with you. .You can bounce your ideas off of them and they will help you figure out if it’s gonna work or not. Align with other like-minded people and work towards a goal.
Lastly, you should have something that is proprietary to your business. What’s proprietary? Something that is unique to you-that sets you apart from all the other Joe’s in the same line of business. What sets you apart from everyone else? Build your business for the long haul and implement things that are unique to your business. Then when clients are comparing you to the others-you stand out!
The bottom line is you have to do the work inside the business, but then spend a significant amount of time studying up on the “ins and outs” of what to do, how to do it, etc. Figure out what you will enjoy, look realistically at the cash flow and the long term growth potential. Link up with people who want to help you achieve your goals and lastly, make yourself stand out! Learning should be an ongoing process in your journey. Learn sales, marketing, administration, how to build systems, operations, etc. so that you can be a dominating force in the marketplace.