Low Risk Business Opportunities

Good opportunities are few and far between not my quote but appropriate to anyone looking.

Many of us are searching for that one opportunity to improve our life or situation.

It may be for financial gain or chance to prove yourself to others and show off your talent or ability.

Ideas and inventions in, medicine engineering science and technology keep evolving and help improve our lives and environment of today and for the future.

Like an engine, which drives us forward, keeps economies flowing and business developing.

On a personal level, you may see a marketing opportunity a niche to develop that others have not.

Dragon’s Den the TV program shown in the UK encourages entrepreneurs to come forward to present their business idea’s to a group of millionaire business investors.

If the investors are presented with an opportunity, they consider worthwhile an offer may be made to invest.

The size of the investment depends on how they view the risk/reward ratio.

If the risk is high with the potential to make little return or even a loss then the investor will require a high proportion of the business.

In the opposite situation when the business opportunity is seen as low risk with potential high rewards then the negotiations can change in the business proposes advantage. The investors have seen a good business opportunity that through their knowledge and experience in the market can develop further.

One of the main reasons why budding entrepreneurs enter the Dragon’s Den is not only for the investment but also for the expertise that the Dragon’s provide.

With online business opportunities the same sets of rules apply, low risk high reward with the backup and support provided through knowledge and expertise in the business.

The opportunity, which you seek, has now presented itself, but can you see it? This all depends on your mindset; you will either grasp it with both hands or come up with various negative scenarios of why it will not work for you.

Sitting on the fence, you are not committing yourself either way. The ship will sail without you and all you can do is gaze in to the horizon.

The Dragon’s have the foresight, strength and determination and will grasp an opportunity and run with it, that is why they are successful. In order for you to replicate the same success then develop the same mindset.

Developing the Right Opportunities

Not all of the questions you ask will have answers. For certain questions, you might get answers that do not excite you at all. However, some of the questions you ask will have answers that tell you that there might be a possibility for an opportunity to develop.

You note that I use the words “might” and “possibility” here. For an opportunity to exist, we should be able to combine four elements. Without all four, we have only a possibility, nothing more. However, as you get used to viewing the world from four different angles, you will very quickly start to think of all four elements automatically.

It is when you get to that point, that opportunities will just start “popping into your head”. It is crucial that you take notes when an answer excites you. Right at that moment, you might think that you will not forget it, but we all forget things, even very important things. Make notes of your thoughts and include any thoughts that you might have about the other three elements. Give your possible opportunity a name, as by doing this you give the opportunity a mental anchor and summarise it to its essence. You will remember it better, and your subconscious mind will work harder to expand it from the essence of the possibility, to a more complete vision of the opportunity.

During the course of the day, use any spare time you might have, to look at your card and ask questions. While travelling in your car (record your thoughts rather than writing them down!), in the elevator and on the escalator, while having a cup of coffee in the canteen. When you are doing things that do not require you to think, use that time to search for opportunities and do that by questioning the whole world around you. Yes, even when you have to go to the bathroom! And remember to jot down all the thoughts you experienced when you get answers that excited you.

Dedicate time; 15 minutes per day should do it, to reflect on your findings and what possible opportunities might arise from it. Think about each of them, and jot down any additional thoughts you might have.

Try and find the “missing three” elements for each answer that you get when asking the questions. A very simple matrix will assist you in trying to find the missing elements – turning them into opportunities for yourself.

You will start off with something like this:

Date: 04 Feb ’08
Needs: Computer keyboards, screens and mouse pads need cleaning
Means:?
Method to apply:?
Method to benefit:?
Potential:?
Notes: Saw Johnny’s workstation today – looks terrible!

Date: 05 Feb ’08
Needs: ?
Means: Old tires
Method to apply: ?
Method to benefit: ?
Potential: ?
Notes: Saw a whole heap of old tires at the scrap yard.

Date: 06 Feb ’08
Needs: ?
Means: ?
Method to apply: Carwash used to wash cars.
Method to benefit: ?
Potential: ?
Notes: Drove past carwash and saw how it applied water, soap and mechanical action to wash car.

After a while, when reviewing these entries, you might progress to:

Date: 04 Feb ’08

Needs: Computer keyboards, screens and mouse pads needs cleaning.
Means: PC cleaning box with solvent, glass cloth, water and drying chamois.
Method to apply: Provide PC cleaner with box and let him/her clean all PC user’s computers.
Method to benefit: Start PC cleaning services and get big business to contract. R15 per PC per month?
Potential: Yes! There are 6 buildings in our area, each with more than a 1000 PC’s.
That means R90 000 per month!
Notes: Saw Johnny’s workstation today – looks terrible – some keyboard keys seem sticky.

Date: 05 Feb ’08
Needs: Mine dumps need stabilization to prevent erosion and pollution.
Means: Old tires.
Method to apply: ?
Method to benefit: Set up “mine dump” stabilization business to sell service.
Potential: ?
Notes: Saw a whole heap of old tires at the scrap yard. Scrap yard will pay me to remove their old tires. Find out what mines would pay to stabilize mine dumps.

Date: 06 Feb ’08
Needs: How do fleet owners wash their large trucks?
Means: ?
Method to apply: Carwash used to wash cars.
Method to benefit: ?
Potential: ?
Notes: Drove past carwash and saw how it applied water, soap and mechanical action to wash cars.

Flag all the possible opportunities which you feel comfortable with that might turn into real opportunities. There are a number of ways in which you might like to prioritise the possible opportunities. In the above example, an overall “Potential” was used to prioritise. You might use various prioritising methods such as “Ease of implementation”, “Require least capital outlay” or even:”I like this opportunity (scale of 1 to 5)”. You decide how you would like to prioritise the opportunities. The method of prioritisation is far less important than the fact that you do prioritise and feel comfortable with how you prioritise.

As your opportunities develop over time, you will quickly realise that opportunities are very abundant to those looking for them. But opportunities alone are not enough! We have to do something with the opportunities.

In the next chapter, we will look at a terrific tool that will help you turn your opportunities into complete and compelling business visions – to get the most from your opportunities.

To find opportunities – look for alternatives, no matter how satisfied you are with a situation. Everything can be improved. Every improvement is an opportunity.

Chapter reminders:

1. Every opportunity has 4 elements:
-Needs
-Means to fulfill the need
-Method to apply the means to fulfill the need
-Method for you to benefit.

2. Get into the habit of looking at things from different angles – each angle one of the elements of an opportunity.

3. Develop opportunities by filling in the blanks!

4. Prioritise the opportunities

Small Business Marketing – Opportunities

In the third of this four-part series, we will consider another of the most important considerations for analysis of the marketing efforts of a small business. A small business’ opportunities are the third part of a SWOT (strengths, weaknesses, opportunities, and threats) analysis, and reveal where the business has future growth and development chances. Opportunities can take many different forms, and should be examined and periodically reviewed to notice any changes, as they may happen suddenly, then disappear again just as quickly. Business opportunities can include some or all of the following:

  • Emerging trends which require your products and services
  • New technologies which increase demand for your product or service
  • Favorable changes to customer characteristics (demographics, psychographics, etc.)
  • Changes in customer tastes, preferences, or values
  • Poor competitor performance leading to dissatisfied customers ready for a change
  • Newly unsatisfied customer needs
  • Problems or gaps in existing offerings (creating opportunities for follow-up sales, cross sales, and up sales)
  • Completely new desires on the part of customers
  • Discovering new uses for old products and services which satisfy other market segments
  • New or expanded product and service offerings for your firm
  • New or expanded product and service offerings for other firms which complement your offerings
  • Changes which make substitute goods or services less desirable
  • Additional applications of recent research and development activities
  • Changes to current laws, regulations, or rules which allow opportunities which had been restricted
  • Beneficial changes to a supplier’s terms and conditions, or new suppliers becoming available
  • Beneficial tax changes or incentives for business development
  • Favorable side effects which are realized from using your product or service
  • Access to a greater supply of human capital with industry experience, fresh perspectives, or both
  • Less competition, as some competitors leave the market or go out of business
  • Decreased cost of raw materials used in making your product or providing your service

Put simply, the more of the above patterns that are present, the greater the amount of opportunity that exists in the market which can be utilized to start a new venture, or continue an existing operation. Even when there are fewer opportunities to make use of, highly successful businesses can still be established, but the amount of skill required to do so is significantly greater. Generally, the businesses which make the best use of their opportunities in a rapid, efficient, and effective manner are best positioned for success in the future.

Copyright 2010, by Marc Mays