So you want to start a profitable business around your passion that gives you the freedom you’ve always craved. It’s possible, but it requires a lot of commitment. There are about 582 million entrepreneurs in the world and most of them built a business around their passion. These businesses have a higher success rate because their founders love what they do. So, if you have a passion you think you can monetize, here’s how to do it.
1. Identify a Gap
To make money from your passion, you need to fill a gap in the market. Identify what’s missing in the industry and utilize your skills to provide a great service or product. Phil Knight and Bill Bowerman launched Nike in 1964 to introduce a lighter and more comfortable shoe into the market. Bill was a highly experienced track and field coach who had trained 31 Olympic athletes.
While startups are launched every day, there’s always a void that needs to be filled in the market. Do a lot of market research first before putting money into a business venture. Once you have the right business strategy, you can monetize your passion.
2. Start Small
According to statistics, the failure rate of startups was around 90% in 2019. Many startups fail in the first year and second year. To ensure your business doesn’t become a negative statistic, start small. Take time to test the waters and expand gradually. If all goes well in the first few months, scale up. You can develop a second product or add more services.
3. Choose the Right Investors
Whether you want to create a local or a global business, getting investment is crucial. Apart from injecting cash into your business, a big-name investor can give you a stamp of approval in the business world. But be sure to thoroughly research investors before committing as institutional investors can change the way you work, who you report to, and even your plans for the business. Some may ask for a big stake in your business.
If you’d like to own your company fully, you can try startup financing sources like small business grants, crowdfunding, business accelerators, and short-term loans.
There are other, alternative sources of financing that can be available to you as well. If you own a vehicle, have equity in the vehicle, and live in California, you may qualify for title loans california. You only need to give your car as collateral to access the loan and won’t have to give up company shares. If you don’t own a car, consider looking for partners or applying for local grants.
4. Utilize Your Strengths
A Gallup analysis shows that people who leverage their strengths daily are more likely to be engaged at work and are 8% more productive. To be a successful entrepreneur, make the most of your strengths and outsource what you can’t do. For example, you can focus on creating a great product and outsource services such as accounting, graphic design, or marketing. As the business grows, hire skilled employees to handle these jobs.
5. Start Immediately
Launching a startup can be an overwhelming experience, especially if you have no prior experience. However, you must stop dreaming and start doing. Launch your business immediately, even if it means working from home. The journey will be rewarding in the long run.
