How to Recognize an Opportunity
A business opportunity has 4 requirements that must be present in order to call it an opportunity.
- It must solve a problem or meet a want
- It must add value to a customer
- It must have an opportunity for profit
- It must be a good fit for the entrepreneur
As we know, if we aren’t solving a problem for someone, we don’t really have a business. Consider the problem the opportunity solves and who it solves it for. You might enjoy https://kisstrategies.ca/ideal-client/ if you want to ensure it will fit with your ideal client.
If we are solving a problem or meeting a want at a price that provides value to the customer, then we have met the second requirement.
When we look at pricing for value – which does not mean being ‘cheap’, we must also ensure that there is room for a profit for the business.
And, of course, if you own a plumbing business and the opportunity is in an innovative pet product, you must question if this is the right opportunity for you.
What an Opportunity!
When I was 24 years old, I was appointed Branch Manager of a brand new Royal LePage office in East Vancouver, BC. I had 40 realtors licensed with me but one of them generated about 75% of gross commissions. One year later this real estate powerhouse informed me she was leaving my office to join the competition. I thought my career was over. What happened next surprised me.
The month after she left us we earned similar gross commissions as an office as we had when she was with us. I remember thinking that the performance of everyone else in the office had been held down because they knew they would never be the Salesperson of the Month. I am happy to say that we didn’t miss a beat. This was the first time that my business was counting too much on one client.
It’s really about capacity
The Business Dictionary defines capacity as “the specific ability of an entity (person or organization) or resource measured in quantity and level of quality over an extended period.” Additional capacity becomes quickly filled. But, there is another way to look at available capacity – as an opportunity.
In my story above, when the “top” salesperson left, there was vacant capacity to be filled. The rest of the team filled that capacity so that the office continued humming along. They took advantage of an opportunity to increase their own earnings.
my present-day opportunity
For the past three years, I have had the privilege of having a contract with Community Futures Okanagan Similkameen to supply business training and coaching services. I built the training program up from 2 people per course to between 10 and 15 and thus was able to impact dozens of small business owners in the region. I am very grateful to have had this experience. My contract ended at the end of August. I now have an ad hoc contract where they may call on me to provide services in the future.
The result of this for me is pure opportunity. As a business trainer and coach who specializes in working with local entrepreneurs to run a successful business, I simply have more time (capacity) to help more people. The extra capacity is a bonus and I am excited about the future.
My view: when one door closes another door opens. Watch for my live workshops or drop me a note if I can ever be of service to you. You can also check out my online Business Development Program, ProfitRx at https://kisstrategies.ca/how-to-start-a-business.
This post from inc.com explains how to recognize a business opportunity and execute quickly.