Developing a Business Idea and Taking it to the Market

From time to time most people have a business idea of some sort or another. Are there any practical steps one should take in developing this business idea so that it does eventually reach the market place successfully?

The first step is to carry out some market research. Speak to the end users who you think will have use of your products or services. Investigate the approach you will use to take them to the market place. Speak to other trusted business people and ask their opinion. Discuss your idea with your family and friends. Canvass as much opinion as you can and keep a record of it.

Here are some questions you might need the answers to:

How long will it take from development to completion?
How big is the market for your idea?
How will I reach the market place?
Who are my competitors?
What skills will I need?
What skills do I have?

If it is a business product that you are developing:

What are the unique selling points of your product?
How much will it cost per unit?
How much will it wholesale at?
How much will it retail at?
How can I test the market?
Can I make a prototype?

Check with a lawyer what legal requirements there are for your product or service before you proceed to the next step of seeking funding for your idea or product.

The next step in this process is to create a business plan. Having a professional business plan is essential and lets people know that you are serious about your idea. Not only does it help when seeking funding but it also serves to make the idea clearer in your own mind.

Use the services of an experienced accountant to create your business plan. Be realistic with the figures. Most people always overestimate what can be achieved in the first 6 months… product development always takes longer than initially anticipated and the initial take up is always slower!

It is possible to get a business grant for some ideas but this process takes a long time and is very cumbersome. It might be a good idea to skip this stage altogether and approach the banks straight away.

It is generally a good idea to approach two or three banks with your business plans. Let them know that you have approached other banks aswell! Some banks even often offer free business banking for the first year or even two.

Nothing is ever plain sailing when launching a new business product or service. If your idea is good you can bet that somebody will try and copy it! Your offering will need to be continually developed & improved to keep pace with your customers needs and keep one step ahead of the competitors.

If the steps outlined above are followed then you stand a much greater chance of success when taking your product to the marketplace. If you can survive the first year and make enough money to keep the business and yourself financially stable, chances are that you're onto a winner!