A lot of entrepreneurs come up with what They think is a great idea and testing Before Their idea, They just start spending money. This is definitely the wrong approach. Slow and steady wins the day. If you have an idea and have it fully Developed; then it is time to test it. “How do you do that?” you ask. It is quite simple. You go and find people WHO are or have been in a similar business and you ask for Their opinion on your small business idea. And then Listen intently to what They have to say.
A lot of people make the mistake of NOT doing this and They are the ones That go on to make $ 10,000 Those mistakes. If you take the time to test your idea beforehand Putting your idea Into motion and spending money, you Will Be Able to catch yourself from making a big and costly mistake and also Allow you to refine your concept Before Putting it Into place. Find Those Who Will people give you an Objective opinion. They willhave owned the mistakes you’ll make if you do not listen to the theme.
So ask: “I am thinking of opening a ‘Something’ shop in ‘Somewhere ville’, what do you think ? ” I am sure They willhave some questions and you better be prepared to answer the theme:
What products are you going to carry?
How much are you Charging for themself?
Who do you see as your competition?
What hours are you going to be open?
What experience do your employees need to have?
How much money do you think you’ll make?
Customers Who are you?
They’ll challenge your assumption and may make you feel a tad uncomfortable if you are not prepared. That is good. You want that. You want to be put Into a position where you have to justify your decisionmakers to go Into small business.
If it appears as if your initial idea may be a little “sketchy” in Their opinion, go back and tweak it and then re-present it to themself. Now what do They think? Every time you have to go back and change a few things, you are working through your concept and it is your concept on sem your business plan is built. If people do not embrace your idea Because maybe the idea really does not have ‘legs’, do not be scared to walk away. You Can always come up with another idea. It Will send you back to the drawing board and save you having to complete the business plan, as well as spending a whole bunch of money. Whew. Sorry about that. I can not stress how Important this stage is in building a business plan for small business.
Once you have settled on your concept and Tested it, only now are you ready to do the real work. You have to take your idea and build a financial forecast and marketing strategy to see what sort of money you are going to make – yes, before you have signed a lease Even Hired or an employee.