How To Find And Validate A Business Idea

In 2005, I migrated to the United States of America. My mission was to get married to the love of my life. I was starting a new life in the USA. I was super excited like Eddy Murphy in the movie “Coming to America.” I spent hours watching T.V. and learning how the U.S. system works. I also liked going to the Mall to sightsee and shop.

I noticed how the U.S. Store Reps treated customers at the Mall. Regardless of the store, you entered or your physical appearance. The store reps greet you and welcome you to the store. Other times, they ask you if you need help finding anything. It was impressive!

To appreciate my excitement, let me summarize a typical shopping experience in Nigeria in 2005 before I left.

There were no shopping malls back then like we know them today.
You had to go to an open market (flea market) with different vendors selling different items.
Most vendors had a no-return policy. Even if you bought the item, walked away, and walked right back a minute later. All sales were always final.
Walking through the flea market was exhausting, especially on a rainy day or a hot summer day.
You also had to battle with human traffic. The open markets (flea markets) were so congested.

There are so many Malls now in Nigeria like we have in the U.S. The shopping experience is better now.

How I Found My Business Idea

I liked the ease of buying and returning items at U.S. stores as long as you still had your receipt and the original tag. You got a full refund. The price and quality were also happy points for me. I also noticed I didn’t need to buy a brand name or break the bank to get quality items.

I shared my shopping experience with family and friends back in Nigeria. I would tell them about big sales throughout the year like Labor Day Sale, Summer Sale, Black Friday Sale, etc. After a while, I started getting requests from family and friends to help them buy items in the U.S. and ship them to Nigeria. I still remember the thrill of standing in line to snag some Black Friday Sale deals for family and friends.

My light bulb moment came the day I went to Walmart to buy a 3-in-1 H.P. Inkjet Printer. I paid $150 for it. I said to myself, “I can’t buy this printer for this price in Nigeria.” That was when I realized this was a business idea I could explore.

3 Simple Questions To Help You Find Your Business Idea

Question 1

What skill or passion excites you but it’s a struggle for everyone else? OR What do family & friends often ask your help to do? OR What do people compliment you about the most?

My family and friends helped me find my business idea. They were always asking me to help them buy items in the U.S. They always asked me about different sales going on in the U.S.

I noticed they complained about the quality and price disparity of items purchased in Nigeria. I figured if this was a problem for my family and friends, it must be a problem for other people too.

Your business idea might be a passion you’ve been overlooking. It might be something that’s not a big deal for you. Pay attention to your patterns and answer this question to the best of your knowledge. You can unlock business ideas you never thought possible.

Question 2

What gets on your skin the most that you wish you can fix? OR What’s your profession and what annoys you the most about it and makes you wish there was a better solution?

The second question has to do with paying attention to the things that irritate you or nag you. It might be your place of work and the way things your employer does things. You can channel your frustration into creating a solution to solve your irritation. It might end up being a problem that exists for other people.

I’ve read a lot of articles about Startup founders who built products or services to solve a personal frustration or irritation. They later turned it into a business that solves the same problem for others.

Nothing is new under the sun! That means you’re not the only one experiencing the same irritation or frustration. Solving the problem for yourself might be a gold mine you can explore to solve the problem for other people.

Question 3

What sparks your curiosity and gets you daydreaming or researching or browsing? OR What topic do you discuss with passion with friends or family at parties or social gatherings?

If you’re anything like me, there are certain topics you’re passionate about. Some people are passionate about starting a side hustle, helping women code, feeding the hungry, eradicating poverty, etc.

I’m passionate about teaching women how to start a side hustle and grow it into a profitable business. I’m passionate about starting and running a professional side hustle. I’m passionate about using tech to start and run a business. I’m passionate about design and other forms of visual communication.

Pause and look inward! Study your patterns, environments, and circle of influence. Grab a piece of blank paper or open a new google doc. Take inventory of the things you’re passionate about. The experiences you’ve been through and overcome. The FAQ you answer a lot for other people. There might be a business idea lying around that you’ve been overlooking.

“An idea not coupled with action will never get any bigger than the brain cell it occupied.” ―Arnold Glasow

How I Validated My Business Idea

I started offering free international personal shopping services to family and friends. My free shopping gigs helped me:

Learn more about the different aspects of the problem I was trying to solve.
Test the waters and know what parts of the problem to focus on solving.
Make a decision to pursue the business full-time or find another problem to solve.
Gain insight into my potential customer base. How deep their problem is, and how motivated they are to pay for a solution to their problem.
Create a go-to-market strategy. I created a plan of how I’ll market my service to potential customers.
Expose my idea and solution to the rigors of the real world. Listen to feedback, make changes, adjust fast, and be decisive.

In a little while, shopping requests increased and referrals started coming in. I decided to turn the free personal shopping service into a professional side hustle. I told my family and friends that I would start charging a service fee for my services. They were willing to pay for the service. It was solving the problem of getting access to quality U.S. products at affordable prices.

4 Simple Ways to Validate Your Business Idea

Interview potential customers. Start with family and friends who have the problem you’re trying to solve. Ask them questions about:
- How do they describe the problem?
- How do they rate their pain level?
- How they’re solving the problem today?
- How do they think your solution will help?
- How much they’re willing to pay to solve the problem?
Create the smallest version of your service and offer it for free to family and friends. Get feedback and improve the service.
Sell the smallest version of your improved service to strangers at a small price. Sell it within a predefined timeframe using phone, email, social media, or ads. You decide what your success indicator will be. Some people choose a specific number e.g. 10, 20, or 30 people. Others use a percentage of 10%, 20% of the total number of people.
Get feedback, improve the service and launch a full version to a wider audience.

A Deep Dive Into Finding & Validating Business Ideas

According to research, the fear of failure is one of the reasons why people never start their businesses. Knowing if an idea will fly before launching helps reduce the fear that leads to inaction.

In his book “Will It Fly”, my virtual role model Pat Flynn does a remarkable job in describing a deep dive process to find and validate your business idea. I’ve read the book and I recommend it to aspiring entrepreneurs who want to validate their business idea. I also recommend it to existing entrepreneurs who want to launch a new product or service.

“Will It Fly” also has a free companion course that works you through step by step from finding to validating a business idea.

My 3 main takeaways from the book are:

Create a business that serves your purpose and achieves your life goals. You can be a frustrated successful business owner if your business is not aligned with your purpose and your life goals.
Embrace the concept of “1000” true fans. Don’t be afraid to create a business that serves a small audience. In the words of Pat Flynn “Riches are in the Niches“.
Use the validation method. The validation method is a series of steps one can take to validate demand for a solution before investing so much time and money.

“The path to success is to take massive, determined actions.” ―Tony Robbins

Start With A Good Example

In my post moving from taking dreaming to taking action, I talk about the power of a good example. I learned about the concept from Fresh Start Author – Vivian Jokotade. Whenever I want to start a new venture, I always look for a guide that can work me through the journey.

The following free courses from Smart Passive Income (SPI) are good examples. Use it to launch your side hustle or business. I wish I knew about these resources when I was starting my business in 2012. I’ve arranged them in the order that’s most meaningful for aspiring entrepreneurs.

Will It Fly Book & Companion Course
Smart From Scratch (Free for a limited time due to COVID-19)
Build Your Own Brand

“Inaction breeds doubt and fear. Action breeds confidence and courage. If you want to conquer fear, do not sit home and think about it. Go out and get busy.” ―Dale Carnegie

Action Over Analysis

Avoid the plague of inactivity and analysis paralysis. Don’t let fear cause you to validate your business idea forever and never launch. The goal of validating your business is to find the smallest meaningful evidence that you have a viable business. One that solves a real problem and prospective customers are willing to pay for it. Once you get this evidence, it’s time to launch.

Don’t get into the wroth of taking multiple courses on “how to find and validate a problem”. The resources provided in this post are enough to get you going. You can always pivot or iterate on your idea after you launch.

Cheers to the success that will come when you take action. I’m rooting for you!

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