It’s the thing that any entrepreneur dreams of – the chance to come across an amazing opportunity they weren’t expecting, one that will help them become richer, better placed in the market, or able to build something in order to enjoy the ‘boom’ of a lucrative trade.
For instance, when beauty guru YouTubers were releasing their own make-up palettes in the last five years, a boom took place, and influencers and the companies they had partnered with made millions overnight, as well as superstars known in and out of the industry.
It’s not hard to see, then, that despite it seeming as though every single opportunity has been grazed and full harvested, there are still more on the horizon.
But how do you know if you can spot a worthwhile opportunities when it comes calling? After all, it takes time, energy and enthusiasm to even find a hint, and often extrapolating that opportunity into a full avenue of pursuit can seem like water divination in the midst of a barren desert. Unlike simple and lucrative investments like Forex Trading, they’re not always so easy to spot.
With the following advice, you’ll hopefully be better placed for this noblest of intentions.
Opportunities are always time-sensitive, which might encourage you to dive on the train as soon as it trundles into the station. That’s not always wise. For instance, think about how many fidget spinners were bought and sold during that craze. We’re certain that many entrepreneurs bought many, only to have wild amounts of stock left after the ‘event’ passed.
Time sensitivity is important to consider. Calculate what its likelihood is. Think about how these products contribute to the market as of now, and how many sizeable shifts are taking place. Use common wisdom. And moreover, don’t be overexcited to hop on a trend. Sometimes it’s fine to be the less-affluent fifth guy than the overinvested first guy.
Researching the market
It’s also important to understand the market. Researching the gaps there, what consumers say they are missing, and what issues you can solve is essential. Think of DuckDuckGo, a search engine alternative that offers thorough privacy as standard, launching at the time when Google’s predatory data-harvesting practices became more of a talking point. These efforts are worth your time, because they can provide you with a real indication of how your investment may go.
Investing to scale
It’s important to consider your investment as a scalable effort. Making use of an opportunity doesn’t mean buying hundreds of thousands of dollars of cryptocurrency, for instance, or purchasing warehouses full of stock ‘just in case.’
A proof of concept to begin with can sometimes be enough through a mini-effort. It might be that going in with a partner so that you can minimize your losses, or taking that extra day to vet your supplier thoroughly can help you avoid fantastical thinking. As per our fidget spinner example, this approach may have helped many from overexerting themselves, while also making a tidy, introductory profit.
With this advice, we hope you can consider opportunities in a healthier context.