Afrolink-Tz Consult Ltd
JF-Expert Member
- Feb 25, 2018
- 420
- 939
Hello Members
WHAT IS A BUSINESS IDEA?
A business idea is a concept that can be used to make money. Usually it centers on a product or service that can be offered for money. An idea is the first milestone in the process of founding a business. Every successful business started as someone’s idea.
Although a business idea has the potential to make money, it has no commercial value initially. In fact, most business ideas exist in abstract form; usually in the mind of its creator or investor and not all business ideas, no matter how brilliant they may seem, would end up being profitable. To find out about an idea’s chances in the market and check its innovative content and feasibility, you need to conduct a plausibility check.
A promising business idea must have the following characteristics:
1. Relevant (must fulfill customers’ needs or solve their problems)
2. Innovative
3. Unique
4. Clear focus
5. Profitable in the long run
The acceptability and profitability of a business idea hinges largely on how innovative the idea is. Being innovative means using conventional production or distribution methods that have rarely been adopted before. In fact, the entire business system could be innovated.
A successful business idea must meet the following three conditions:
1. It must offer benefit to the customer by solving a problem or fulfilling a need. Customers buy products and services for just one reason; to satisfy a need. So, if your business idea cannot satisfy customers, it won’t be successful. Every successful business idea must have a unique selling proposition.
2. It must have a market that is willing to accept it. A promising business idea must offer a product or service that would be accepted by a large market. It must also have feasible arrangements for catering to that large market as well as unique values that differentiates it from the competition.
3. It must have a mechanism for making revenue. A successful business idea must show how much money can be earned from it and how the money will be earned.
WHAT IS A BUSINESS OPPORTUNITY?
A business opportunity is a proven concept that generates on-going income. In other words, a business opportunity is a business idea that has been researched upon, refined and packaged into a promising venture that is ready to launch.
While multiple business ideas may strike you on a daily basis, only few of them will be profitable in the long run based on market research and feasibility study conducted. These few are the real business opportunities. An opportunity is regarded as one after it has been found to meet the following criteria:
1. It must have high gross margins.
2. It must have the potential to reach break-even cash flow within 12 months – 36 months.
3. The startup capital investment must be realistic and within the range of what you can provide.
4. You must have the strength and ability needed to drive the business to success.
5. Your level of enthusiasm for the business must be very high.
6. It must have the potential to keep on improving with time.
7. It must have a low level of liability risk.
CONCLUSION:
Major difference between business idea and business opportunity is that you can sell a Business Opportunity but you cannot sell Business idea.
Investors invest in the business opportunities and not in the business ideas.
We can turn a business idea into a business opportunity by conducting market research and feasibility study on the idea , writing business plan and assembling a business term that will work with you on your idea
WHAT IS A BUSINESS IDEA?
A business idea is a concept that can be used to make money. Usually it centers on a product or service that can be offered for money. An idea is the first milestone in the process of founding a business. Every successful business started as someone’s idea.
Although a business idea has the potential to make money, it has no commercial value initially. In fact, most business ideas exist in abstract form; usually in the mind of its creator or investor and not all business ideas, no matter how brilliant they may seem, would end up being profitable. To find out about an idea’s chances in the market and check its innovative content and feasibility, you need to conduct a plausibility check.
A promising business idea must have the following characteristics:
1. Relevant (must fulfill customers’ needs or solve their problems)
2. Innovative
3. Unique
4. Clear focus
5. Profitable in the long run
The acceptability and profitability of a business idea hinges largely on how innovative the idea is. Being innovative means using conventional production or distribution methods that have rarely been adopted before. In fact, the entire business system could be innovated.
A successful business idea must meet the following three conditions:
1. It must offer benefit to the customer by solving a problem or fulfilling a need. Customers buy products and services for just one reason; to satisfy a need. So, if your business idea cannot satisfy customers, it won’t be successful. Every successful business idea must have a unique selling proposition.
2. It must have a market that is willing to accept it. A promising business idea must offer a product or service that would be accepted by a large market. It must also have feasible arrangements for catering to that large market as well as unique values that differentiates it from the competition.
3. It must have a mechanism for making revenue. A successful business idea must show how much money can be earned from it and how the money will be earned.
WHAT IS A BUSINESS OPPORTUNITY?
A business opportunity is a proven concept that generates on-going income. In other words, a business opportunity is a business idea that has been researched upon, refined and packaged into a promising venture that is ready to launch.
While multiple business ideas may strike you on a daily basis, only few of them will be profitable in the long run based on market research and feasibility study conducted. These few are the real business opportunities. An opportunity is regarded as one after it has been found to meet the following criteria:
1. It must have high gross margins.
2. It must have the potential to reach break-even cash flow within 12 months – 36 months.
3. The startup capital investment must be realistic and within the range of what you can provide.
4. You must have the strength and ability needed to drive the business to success.
5. Your level of enthusiasm for the business must be very high.
6. It must have the potential to keep on improving with time.
7. It must have a low level of liability risk.
CONCLUSION:
Major difference between business idea and business opportunity is that you can sell a Business Opportunity but you cannot sell Business idea.
Investors invest in the business opportunities and not in the business ideas.
We can turn a business idea into a business opportunity by conducting market research and feasibility study on the idea , writing business plan and assembling a business term that will work with you on your idea
