3 Questions to ask yourself before setting up a business

Many people I know want to leave the world of employment and begin a business of their own. The want the freedom that comes with being their own boss. But the problem is, many people

don’t know where to start. A lot of people who have dreams of becoming their own boss don’t do so because they don’t know what business to set up. Hopefully by asking yourself the following three questions, you will have an idea of what it  is you want to do.

Three questions to ask yourself:

1.  What do I do well?

Ask yourself what you really do well. Your business will be focussed around this area.

2.  What do I do better than most?

Once you find out what you do well, you need to find out if you do that better than most. IF you do something well but other people can do the same thing better than you, why should prospective customers chose you?

It is imperative that there is some sort of differentiation between you and everybody else. If you are not offering a differentiated product or service, you will need to compete on cost and this is really hard to do. That is why it is better to differentiate yourself from the crowd and show people how unique your product or service is.

3. How can I create value for people doing these things?

In order for people to pay for what you are offering, you need to create value for them.

When Bill Gates created windows, he added value to peoples lives as people were able to see how computers enhanced there life and businesses could see how computers would make them more efficient. By showing people and businesses what value Microsoft Windows could add to their lives, Bill Gates was able to sell this operating system and make himself a billionaire in the process.

Without adding value to your customers lives, your business will not sell any of its products! You need to be able to create value!

It is important to understand your skill set. Each person has skills that they may or may not yet know that can yield results. Some people have already figured this out whilst others are still looking for what they are.  I believe that everyone has unique skills that can be commercialised. And your job is to find out what that is as an entrepreneur.