The Best Ideas Won’t Always Make You Money!
If I had a dollar for every person that called me and told me they had a good business idea I wouldn’t need to be an investor anymore. Almost everyone is coming to me with all sorts of ideas which although they sound good, simply don’t make enough money.This is why people need to realise that whilst some ideas sound great on paper, you really need to see if there is a way you can make money from it.One such idea I had recently even sounded great to me however I didn’t invest as I didn’t have expertise in the field however in the end it was a prime example of the best ideas not being able to make money.A guy approached me and said he had a record shop that was struggling in the digital era however it had a really loyal fan base and he felt that if he could sell MP3s online and in store he could turn a good profit from it. There aren’t many stores around that you could walk into and buy MP3s from so this sounded like it had a good unique selling point.He got the money to implement all the technology needed however it seemed that the loyal fan base to the shop was purely only interested in buying records as that is what the shop was. They weren’t interested in MP3s so sales of MP3s in-store were really slow.In the end the shop just couldn’t keep up the rent as it was in such a busy part of town. He was forced to sell up and move the venture purely online where I have heard it’s doing much better now. It worked out OK in the end however just remember that not all the best ideas will make you money.Usually, if the idea sounds to good to be true, then it is. Make sure to do research and see if the business has legs and is viable. It does you no good to open a donut shop in an area where there are already 10 donut shops. Look around your market and pick a location that is not over run with businesses just like yours. Lastly, stay dedicated to the business and don’t try to spread yourself too thin. Stick with one business until it is successful and then move on to the next. It would be better to have one great business that is making a ton of money than several smaller operations that aren’t making anything.
