Business, Life and Business Life. Real Talk.

Creating Your Reality Business: Chosing Your Business

Before beginning to build your business you have to decide what your business is going to actually be. What will you be doing? What purpose will it serve? This step is as hard as any other and prevents many people from starting a viable business. They may know that they want to be in control of their own lives, but they just don’t know how to get started.

The great thing is, whether your business is internet based or not, you already have the main ingredient that it takes to get started. That ingredient is YOU. Yes, we want to get to a point where you have optimized systems that take you out of the equation for the most part (if not completely). But this is an eventuality that will take time to accomplish. The “gurus” may tell you otherwise, but you DO have to be present at least at the beginning stages of your business. It’s yours; you need to know what’s going on.

What we want to do is build a business that is in demand. It will solve people’s problems and make them want to buy your solutions. But we want you to enjoy it as well! So this business should also be built around your interests (if at all possible).

DRAWING ON YOUR EXPERIENCES

As I’ve already mentioned, you are the most important piece in the equation. Your experiences are priceless and your knowledge is invaluable. You are already an expert in something and you probably don’t even know it.

To be an expert you do not have to be a rocket scientist or have a degree from a prestigious school. You don’t even need to have a degree at all. What you need to have is more knowledge than a cross section of the population.

If you read a physics book you are probably already more qualified than the vast majority of people. Are you a rocket scientist? Not even close. But you can speak with more authority than the average Joe.

EXPOSING YOUR INNER EXPERT

You have what it takes to create a viable business inside of you already; it’s only a matter of bringing it out. This a simple exercise to do just that.

  1. List 5 to 10 interests/fields that you are knowledgeable about.
  2. Think of 5 to 10 problems that people with those interests face.
  3. Can you list 3 to 5 solutions for each of those problems?

This gives you anywhere from 75 to 500 solutions to problems in 5 to 10 niches (WHOA!). Map it out. You should have at least one optimal intersection that shows you your business!

Chosing Your BusinessSometimes people have difficulty listing problems that people face within their interest. It may be difficult to go outside of yourself and separate yourself from the expertise that you already have. If you have been doing something for years you may think it’s simple. Try putting yourself into the shoes of a beginner. What problems can they be facing that you don’t even think is a problem?

On the other hand, if you consider yourself an absolute expert in a field, what problems do intermediate level people face? Or maybe you can even teach other experts!

Just because an action is second nature to you does not mean that others do not struggle with it.

If you just absolutely can not come up with that optimal intersection that cross-sections your interests with problems people may be facing within that niche, then go for the second best option. Skip the first step and go straight to steps 2 and 3. Maybe there is something you have always wanted to learn or are interested in. That’s a great place to start because as a beginner you should have no problem figuring out what problems beginners face.

Disinterested in absolutely everything?

A) Find something! Or life will be really boring

B) Pick a topic you think will be profitable. A safe bet is a topic that falls under one of the three main concerns in people’s lives that they will ALWAYS spend money on: Health, Wealth and Love/Sex. (Finding profitable topics will be covered in a future post).

The resulting cross section will look like this:

Chosing a Business

THE DECISION HIERARCHY

If you can not create an optimal intersection for yourself, or you have the opposite problem and you have several to chose from, then you need to prioritize.

The absolute first thing you need to consider is profitability. Is there a buying market for your business that will keep you afloat? You may enjoy your business immensely, but you still have to pay the bills.

The next thing to consider is your interest in the underlying topic of your business. You want something that will keep your interest long enough for you to stick to it. A business is no good if you get bored with it and drop it.

You also need to consider barriers to entry that you will be facing in the niche you will ultimately decide to enter.

The decision hierarchy looks something like this:

  1. Profitability
  2. Interest
  3. Barriers to entry

But why is barriers to entry last???

BARRIERS TO ENTRY

There are really two main barriers to entry. One is start-up costs. Starting a business can be extremely costly.

The other is competition. If you are starting a brick and mortar business then this is something you need to worry about. Someone that buys your widget will not be driving down the street to buy another widget from your competitor (and you certainly won’t be splitting any profits).

But are these barriers really something you have to worry about?

I placed this last on the hierarchy because we live in a new world. Technology has changed not just WHAT we do in business, but HOW we perform business functions and WHY.

If you are starting an internet business your costs are minimal.

If you are doing things the right way your competitors can actually become your friends.

Every business should be an internet business.

…Huh???

Stay tuned…

16 Responses to Creating Your Reality Business: Chosing Your Business

  1. Stan Faryna says:

    “Every business should be an internet business.”

    Because, for many businesses (great and small), getting online is the best first step to climbing out of obscurity. The cost of reach, connection and relationship is considerably less online than on Main Street.

  2. Eugene,

    Your diagrams and “Exposing your inner expert” are fantastic. What a savvy point to make that just because we are great at or knowledgeable in a certain area not everyone else is.

    Even the “old hat” articles that we write may be a first time exposure to that content for some of our readers. As hard as that may seem to us.

    I’m with you on the hierarchy. We can love our topics all we want but if there isn’t enough of an interest “out there” it’s going to be tough building a solid business.

    Thanks for the read…

    Jon

    • Eugene says:

      Thanks Jon! I think it’s very easy to get caught up in trying to discover the new great idea and you forget that a lot of (if not most) people are way behind. Everyone is an “expert” in something. It is all a matter of changing your outlook on things. There is a hierarchy of knowledge and just because there are “experts” that know more than you, or A LOT more than you, you can still be more knowledgeable than 90% of the population. And to them, you are an expert.

  3. Patricia says:

    Hi Eugene

    I know it is important to do thorough research before even starting a business. I also had a business plan with short term and long term goals carefully mapped out.

    Realised I also had to be flexible and glad I did. Diversifying sooner than planned and certainly have learnt heaps with the first site I have.

    I agree that offline & online business have to have a presence on the net. One of the first things I ask when meeting a biz owner is what’s your web address?!

    Patricia Perth Australia

    • Eugene says:

      It’s funny how times have changed. A website is much easier to remember than a phone number. So you almost have to have a website with contact information, at the very least. Even better to have a contact form.

      I think having flexibility is one of the keys to success for any business owner. When you are working for someone else, or in a large corporation, it’s a lot easier to pass the buck and say “it’s not my problem.” But when you are the business owner EVERYTHING is your problem. And it is only amplified if you are a one-person show. So you have no choice but to be flexible and adapt.

      And that’s also where diversification comes in. You don’t want to have all of your eggs in one basket. If you diversify you have more room to adapt and take chances.

  4. Moreover many entrepreneurs don t have the unique combination of exceptional writing skills and the mathematical ability that s needed to forecast financials.

  5. Wow! I that This single webs so much superior. Them made i have the knowledge. Them as webs that has very much knowledge. I feels best the has come form the this sites Thanks a lot and me will stop to visit this site frequent thanks.

    • Eugene says:

      Well, I would normally delete a comment like this…but this is just TOO good. Couldn’t throw such a work of art into the trash bin :)

  6. I agree with Patricia, before planning to build a business you must consider first consult yourself that you think you are qualified to business field, you think that you have the right attitude and positive thoughts whatever instances you met and after consulting yourself make a feasibility study or thorough research (as Patricia said) rather so that you will know what happens next, how it goes and when it would be implemented. Thanks for sharing your thoughts and ideas in creating a reality business..

  7. Eugene,

    Perfect presentation of how to choose a business that fits anyone! I might try the first one and see what will come up. For me, choosing a business must be done carefully or you will be wasting your time, effort, and money.

    • Eugene says:

      Wasting time, effort, money and sleep! I’ve definitely started a few ventures I now wish I didn’t waste my time on.

  8. i would agree with this. My first site started because i knew about a particular health problem due to experience. I was able to help other people out and my site grew over time.
    I’ve been using the same strategy since then and it has been working out pretty well