How to Know If You Have a Good Business Idea

how to know if you have a good business idea

yo what up

A lot of people want ot start a business but don’t know if they have a good idea. I can help you out with that, probably.

How to Know If You Have a Good Business Idea

Jon and I are putting together an online course to teach people (Libertarians, mostly) how they can put together an online course, selling what they know. Part of this course involves coming up with an idea. So let’s get started with that. And not just coming up with an idea, but knowing whether or not you have a good one.

The mistake a lot of people make is they try to be novel. I don’t mean you shouldn’t be unique or interesting but what I do mean is you shouldn’t try and invent a market that isn’t already out there.

Now what I am about to give you may be the best piece of business advice anywhere on the internet. Please sit down.

The secret to knowing whether or not you have a good business idea is to start with a business idea that you know is already a good one. 

  1. Look at markets that already exist and are competitive.
  2. Find a problem(s) people are ALREADY paying to have solved.
  3. Find a way to solve that problem in a unique way.

In other words it is much easier to be successful in an already competitive market solving the same problem as somebody/everybody else but with a different/better solution than it is to try and discover some kind of “niche.”

To lead you through an example, using my business ChroniclesOfStrength.com

  1. Fitness is a huge market. It scares most people away from wanting to enter it because of how competitive it is. But what “they” don’t know is how competition is a sign of demand. The market is full of potential, in other words. ENTER IT.
  2. People are paying to have their fitness problems solved. Fat loss, strength, muscle, etc. So we know “fitness” is a “good” business idea. It’s working.
  3. Minimalism. That’s my different/better way of bringing fitness to people.

What I’m saying is don’t start your business plan by trying to come up with some really unique idea of what to sell and then try to figure out if there’s a market for it. Rather become a student of markets and see what people are already paying for. From there, decide which market you feel you can serve and work on coming with a different/better way of doing so.

This way you don’t figure out later on if you have a winning idea. You just start with one.

– Pat

PS – You might also enjoy our free guide on how to Sell What You Know, because it teaches you how to sell what you know!

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