What is a Good Business Opportunity

Want to know what is a good business opportunity? A good opportunity is a moment in time that when exploited can create economic value to you. Utilizing this opportunity however often involves taking risks and resources, For this reason, a good opportunity for one person might not be a good opportunity for another.Here are a couple important factors in deciding what is a good business opportunity.

Low capital requirement

A good business opportunity should be inexpensive to finance.  Access to capital is a major stumbling block to entrepreneurship. In other words, entrepreneurs should focus on ideas that are not costly to finance. Too many entrepreneurs exploit financing methods such as loans, venture capitalists and contributions from friends and family among others, who are typically  reluctant to finance new businesses with huge capital requirements.

 Passion

A good business opportunity is typically one that aligns with an individual’s true passion - a key determinant of the success of a start-up. A passionate entrepreneur has an internal motivation towards building a bright future for the business and therefore creates a clear vision and mission statement. They often use those  to motivate stakeholders towards organizational goals.

Matches individual skills

One of the key factors in deciding what is a good business opportunity for someone is their capabilities. A good business opportunity aligns in tandem with the entrepreneur’s skills that ensure conversance with the intricacies of the business process.

Growth

One of the principal goals of an entrepreneur is growing their business. It is critical to ensure the quick scalability of an opportunity before committing valuable resources.  Some of the factors in growth involve  profitability, revenue, size, and more.

Resources

Are you going to be able to afford the resources needed to help the business succeed? Do you have what it takes to run that type of business right now? Here are some factors to consider…

  • Is there a large upfront cost to start the business?
  • Will you need expensive office space?
  • Do you need to work 8 hours a day?
  • Does it require driving?
  • Does it require other expensive equipment? 
  • Will you need to hire employees?
  • Will you need to hold inventory?
  • Will it require expensive marketing to promote?
  • Will you need to buy office furniture?
  • Will you have to travel?
  • Will you need to ship items?

When wanting to know what is a good business opportunity, it helps to know the factors to consider. Here is something to consider...