4. Develop and plan
Develop and change your idea based on what you’ve found out about your customers’ needs before investing. Deal with any problems you’ve found with your product or service, including the way you’re planning to make and sell it.
Go back to your customers and test again.
Keep doing this until you’re confident that they’ll be willing to pay what you’re asking, and that you’re meeting their needs.
If there’s no real demand for your idea, think about changing it completely. Is there another product, service or market that uses your skills and resources in a different way?
Write a business plan
A business plan is a good way to sum up:
- the customer need you’re aiming to meet
- how your business will meet that need while making a profit
It should clearly show the results of your customer research, and that you’re able to explain how you can turn your idea into a viable business before you invest lots of time and money.
Your plan can also be a very helpful tool to convince other people of the value of your business. This includes potential partners and sources of funding.
Watch a video on understanding cash flow.
