How to Test a Business Idea in 3 Steps

How to Test a Business Idea in 3 Steps


In the last article in our series on how to
start a business, we walked you through the 5 steps for coming up with a business idea.
In today’s article we give you 3 practical steps for testing a new business idea, including
a handy checklist you can use as you go through the article. Don’t make the mistake that many failed businesses
make, and launch your business before gauging the demand for your product or service. Before you spend any money on your new idea,
locate some professionals that are in the same (or similar) business to the one you
are looking to start. For example, if you are looking design and
sell a new type of necktie, then go out and talk to other people in the necktie business. Don’t know anyone in the necktie business? You can Use Linkedin to find people with experience
in just about anything. Then once you have located them just send them an invitation
to connect, and edit the invitation text to reflect why you are reaching out to them. To learn how to use Linkedin Google “Linkedin
For Begginers + Mashable.com”. To learn how to use Google to find people
on linked in Google “LinkedIn Basics + AndyBrant531.com” Once you locate some folks to talk to keep
in mind the following: You want to do a lot more listening than talking
so come prepared with questions. You are there for advice not a debate so check
your emotions at the door and don’t try and convince someone who doesn’t like the idea.
People who hate your idea often provide much more valuable information than people who
like it. Try and avoid family and friends because they
are biased towards liking your ideas. Now that you have spoken with people in similar
businesses about what you are looking to do, one of two things should have happened: You discovered that your business idea has
a fatal flaw. In this case go back to the drawing board and re read our article on how
to come up with a business idea. You will need to make a few tweaks to your
idea based on feedback, but will be confident that you are moving in the right direction. Assuming you are moving forward with your
idea, its time to take into consideration the feedback you received, and come up with
a solid elevator pitch for your product or service. If you are not familiar with the
term elevator pitch, or need help crafting an effective elevator pitch, read Visit ElevatorPitchEssentials.com
and read their free 101 guide to elevator pitches. Step 3: Go out and find some customers There is no better way to find out if you
should build out a business idea, than finding some customers who are willing to buy your
product or service once it’s developed. You don’t have to have a product or service to
ask people if they will buy it when you do have it, so why not do that before investing
a lot of time and money into your idea? Here are 5 inexpensive ways you can find customers
before you build: If you followed the advice in our article
“How to Come Up with a Business Idea” then you should already know some people who have
the problem that your product or service solves. Go pitch them and see if they will buy it
if you build it. Put up a simple 1 page website pitching your
product or service, and asking people to leave their email if they are interested in buying
once built. (Get the domain from Godaddy and use their website builder wizard for less
than $20 all-in) Then run a Google Adwords campaign and seeing if you can get signups.
To Learn how google “how to advertise on google + Fitsmallbusienss.com.
If you have a product that can be funded using Kickstarter then this is a fantastic way to
find out not only if there are people who will buy your product, but to get them to
fund the development as well. For more on Kickstarter google “ultimate guide to kickstarter
+ incomediary.com. Use Google Surveys to advertise your survey
which asks people if this is a product or service they would buy.
Contact bloggers who write about the industry you are considering entering and ask them
if you can write a guest post about your idea and solicit feedback from their audience as
to whether or not this is a product they would buy. That’s our video for today. If you have any
questions or comments please leave them in the comments section below. Also be sure to
watch our video article where we cover how to come up with a name for your new business. For more free advice on how to start and run
a successful business visit Fitsmallbusiness.com today! Thanks for watching.

1 Comment

  1. Atif Nawaz says:

    very nice and informative

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