As entrepreneurs we all have ideas. I tend to have a new business idea every day, it is just one of the way I stay creative. Entrepreneurship has always been an incredible part of American culture and it has fueled many exceptional people to take incredible risks to make their idea a reality. For those of who have gone out to raise capital and pitch ideas to our friends, family members, or the dreaded investor, we usually get shot down at varying degrees. Why you ask? Is it because they are pessimistic, you didn’t articulate the idea well enough, they just don’t get it, or is the market size not big enough? The latter is the focus of this post.
I believe that every business idea is good and has value, otherwise why would have the person come up with it? It obviously meant enough to them to identify the problem and think of a way to solve it. The problem is not all ideas will make enough money to sustain a business. Many of us neglect that fact when we have a great idea. It may be an exceptional idea but only service a small group of people, thus not sustaining itself as a profitable entity. If you are a capitalist building a sustainable business, you need to keep this in mind. Unfortunately, this is a hard reality that you have to deal with.
Any business that makes money is a good thing, even if it puts an extra $250 in your pocket every month. Just realize that when you are pitching others to invest in your dream that it may not make enough to justify an investment, hence why in their eyes it is not a good business.
My suggestion is to keep dreaming, refine your pitch, and test your theories. Because the idea may make you an extra $100 month or maybe it will become the billion dollar idea that we all drop our draws at!