The Best Way to Validate a Business/Start-Up Idea

Most people at some point or another, have had ideas that they thought could be turned into actual businesses. You may be pondering over one (or many) right now. However, most people never act on their ideas because they think it would cost too much, take too much time, require a lot of work and what not. Many of those who do decide to act on their ideas, go about it the wrong way. And by the time they realize their mistakes, they've used up all their resources and end up giving up.

So how do you check the validity of your idea? How do you avoid major pitfalls along the way? The answer is simple: Interview your potential customers. It is important to remember that as an entrepreneur, you are fundamentally a problem solver. Your job is to find problems in an industry, and provide the best solutions to those problems. A lot of times we come up with ideas that sound great in our head, but in most cases the problem we're trying to solve isn't as big as we think it is. It's either a problem that maybe only you and a few others face, or a problem that people find slightly inconvenient but not inconvenient enough for them to PAY to get it fixed.

You have to go out and interview as many people as you can. I'm talking at least 20-30 people, so that you cover a decent demographic. And understand that your goal is to learn more about the problem you are solving. Don't pitch your idea to people. At least not at first. Don't just go up to people and go "You know how when you do ..... Wouldn't it be great if there was a way you could...." Like I said, you're not trying to sell anything, so you're not going to pitch anything. Your questions should be designed to help you understand how common the problem is, on a scale of 1-10 how bad is it, if people are actually willing to pay money to solve this problem, and most importantly if the solution you have in mind is the kind of solution they are looking for. Once you are done learning about the problem from them, tell them about the solution you were thinking of and ask them if the solution was available right then, would they buy it. You don't need to have the solution ready, you just need to test how many people are actually willing to reach in for their wallet.

Doing interviews is absolutely vital for launching a successful business. There's a reason why companies spend billions of dollars in customer research, data collection, surveys etc. The knowledge you gain from talking to your potential customers may even help you pivot and move in a direction different than you initially planned. There is nothing to be lost, but a lot to be gained from this knowledge. So make sure you do your interviews.

#Business #Entrepreneurship