2 Ways To Tell If Your Business Idea Might Work

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Coming up with a business idea can happen in many different ways. Trying to determine if your idea is a solid one can be difficult for some and so easy for others. But there are a few different ways you can try to test your idea to see if it has potential. Your circumstances will dictate which method(s) are most appropriate for you to take.

Let’s cover a couple of suggestions on how you can do some homework on your business idea that just may help you as you are pulling your thoughts together.

The fastest and easiest way to test the waters with your product is to ask a dear friend or sibling for an opinion. But choose this person or persons wisely. You want someone who knows you well and has known you for a long time. They’ll be able to judge your level of seriousness on the idea. They also know what you are capable of doing day in and day out. And finally, if they know you well, they know what makes you happy. I talked with a gal recently who wanted to buy a business because the owner was selling it at a bargain basement price. She realized it would be a pretty easy business to run and she could easily afford the asking price. She had no experience in the industry and the day-to-day work involved was significant. The demands of that business would have thrown her well-organized and structured life into chaos — an environment in which she does not function well. Just because something is on sale doesn’t mean you should buy it. Being a good friend who could be honest with her, I shared my concerns. She had not considered the impact to her day-to-day life until our conversation. After doing more homework and talking to the owner in depth about the day-to-day demands of the job, she decided it was not the right opportunity for her. Whew! Bad decision and future crises are avoided!

Another simple way to test an idea is to “fake it till you make it”. I’m not a huge fan of this approach, but if you think this is a way to get some good feedback, then I encourage you to be as honest with yourself and your customers as possible. To me, the valid “fake it till you make it” approach is only helpful if you completely create and deliver your product/service as if you are fully in business and this is how every legitimate sale will occur. Don’t cut corners by thinking that if/when you launch a business you’ll go all in and do more work on the product. Be willing to figure out exactly what production will be in the real world. No sugar-coating. No cutting steps. Prove to yourself that you can create a product, market a product, sell a product, collect money for a sale, and earn a profit!

These suggestions are not rocket science. But they are seriously helpful when you’re kicking around your idea. Putting the testing efforts in will give you significant advantages and most likely reveal some important learnings that you will want to know before you launch a business. Be willing to do the work, it will pay you back multiple times over.