Starting a business

Here are some thoughts on how to create a business:

  • Ideally pick something you have some preexisting knowledge, competence or interest in
  • Go where the money is (could be B2B or wealthy B2C)
  • What do people pay for? Examples – pleasure, convenience, power (money, health etc)
  • Try not to pick a dying market – e.g. dvds
  • People pay more for solving an urgent pain or if they create their identity around that market (i.e. pets)
  • They trust you more if you’re speaking/catering only to them (i.e. a restaurant serving one food vs trying to do everything)
  • What’s an urgent pain in the industry/business you’re targeting? Interview people to understand
  • How can you help solve that problem. Is your solution effective?
  • Don’t reinvent the wheel – copy other businesses
  • Services are generally easiest to start with. You can always offer courses or software later
  • Once you’ve got a hypothesis/general direction, it becomes a numbers game – how many relationships can you build within that industry
  • Contact the people who can afford the money you want to charge
  • Lead with value – offer to help with something or interview them. Play the long game. Don’t try to marry them on the first date
  • X amount of cold calls, X amount of emails, X amount of dms per day or X amount of ads
  • At the same time, post every day on the most trafficked target customer social media about what you’re doing, pains you’re solving and results you’re getting
  • Productise your service so you can charge a set amount, meet their expectations and create systems/processes
  • Take action. Find what works. Rinse and repeat

Work tapas

I’ve recently been applying for jobs and there’s something that simply doesn’t resonate about full-time roles.

The thought of shackling myself to someone else’s vision for 40 hours per week just doesn’t do it for me.

So for now, I’ve decided to continue with freelance work, supplemented by my own side projects.

My friend put forth a nice metaphor for this, saying it’s akin to occupational tapas.

I.e. trying bits of the this and bobs of that, rather than indulging in one oversized meal.

Business ideas

Read some good website advice the other day about picking a business idea.

This specifically pertains to creating niche websites:

  1. Be passionate about the topic
  2. Pick a tribal topic
  3. Ensure there’s enough to write about the topic

Out of them all, I think number 2 is crucial.

Basically, choose something that people are likely to shout about in their Tinder profile:

E.g. I’m a vegan, I’m a doctor, I’m a reader, I’m an entrepreneur, I’m American.

Better still – if you’re actually part of this target group, you can speak with authority and authenticity.

Failing that, it could be the group of someone you know or simply a topic you want to learn more about.

Bonus points if it has a positive connotation or strong group identity, where people earn image points for being associated with it.

E.g. sustainability, healthy living, prestigious career

Extra bonus points if people preface their affiliation with ‘I am’

E.g ‘I’m a father’ is better than ‘I love knitting’

Why? Because ‘I am’ is an identity-based statement.

Once you’ve found the niche, you can segment further within it to pick a specific angle or group.

That’s because as a new website, you’ve no chance of beating the incumbents – like to write about personal finance? Good luck against NerdWallet.

The smaller the niche, the easier you can become the most definitive source on the word wide web and stand out.

It’s a bit like a restaurant doing one thing really well rather than cooking every type of food badly.

To drill down, focus on a specific area of the niche and/or a type of person within that subset.

E.g vegan athletes, parents of twins etc.

Start small and you can always expand into other areas later, especially by picking a broad domain name.

Then educate and entertain while solving your audience’s pain points.

Simples.