Today we’ll be talking about the best startup ideas. Every day we come up with new ideas for businesses. We share with our friends, get reviews and proceed to start up something new.
Well, there are also challenges when it comes to startups; for example, where to find the money to start a business.
In this article, we’ll be looking at startup ideas that other technology entrepreneurs have started up and proven to work.
What are startup ideas?
They are new or unconventional business concepts that startups work on. They are the foundation of what companies will stand on and work hard to make their ideas succeed.
Many big corporations started as a startup. Startups have to work hard to create something different and better than existing businesses.
They don’t stop until they’re recognized by other people and even other businesses. If you look at the biggest companies in the world, you will find out that most of them have been challengers from day one.
If you want a startup idea that will give you good grades, then check out these businesses below:
1. Business to business (B2B)
Companies operating with B2B services are always booming. Every day more e-commerce sites appear on the internet that offers B2B options.
This is because companies prefer to work with other businesses rather than the general public. They buy equipment or software for their own business and they or their employees need training for them to operate effectively.
The biggest advantage of having a B2B company is that you can sell business products and services to companies from all around the world.
2. Software as a service (SaaS)
Software as a service is also another good startup idea to work on. You can build software and offer it to companies or even individuals for a monthly fee.
We all know that businesses always want to be ahead of their competition. So what they do is hire people that will work for them and give them a hand in improving their business.
If you have software development skills, then this startup idea might be for you. But if not, there are still other options that you can do to break into this industry without writing a single line of code.
3. E-commerce
Did you know that e-commerce is the number one startup idea that people think of today? It has become more popular because people are buying products online now.
This is good for you especially if you have a shopping cart website that sells items from different suppliers. One drawback, however, is that it’s expensive to open an online shop.
You need to pay for the domain name, web hosting and you need to make sure your site is secure.
4. Freelancing
Freelancing is another good startup idea. This is for people who are not interested in having their own business but are still looking for ways to be successful on their own.
There are many freelancing sites today that pay people to work on different projects. An example of this is Upwork where they usually pay their freelancers around $500 for a single project.
One tip in finding your niche in the freelance industry is to work on something that you are good at and will be able to make money from it.
5. E-commerce drop shipping business
On e-commerce sites, you can often see that many of their products are being sold by third-party merchants.
This is because e-commerce owners want to expand their business and sell more goods without actually buying them.
This third-party merchant will buy the product from the manufacturer and then sell it to an end customer. The difference here is that the E-commerce owner has lower risks because he doesn’t have to store any inventory and is not responsible for shipping.
How do you go about starting a new business?
Starting a business has become easy thanks to technology. There are many online tools that you can use to get your business up and running.
New business ideas come from:
- Personal experiences
- Brainstorming
- Hobbies, and interests.
- collecting information and data and trying to look at things from a different perspective.
- And more.
Technology plays a big role in almost everything. Other people base their ideas on other business owners that are already successful.
So, if you want to start your startup idea there are ways for you to generate ideas or even tweak the current ones available.
Since technology plays an important role in running businesses today, your startup idea must have something to do with it.
What’s the difference between a startup idea and a business idea?
A startup is a newly established company, while a business is an existing company that has been in operation for some time now.
A startup idea is a concept behind a newly established company. Try to come up with an idea that no one has ever thought of before.
On the other hand, a business idea is meant for ongoing businesses that are already generating income today. You can also use ideas that are related to other successful companies out there like Amazon and eBay.
Startup ideas are usually harder to implement compared to business ideas. One reason why is that startups need more money and you’ll have to hire people for the project.
On the other hand, for a business idea to succeed all you need is capital and you can easily come up with a product by yourself since it’s not new.
So, if you are looking for an easy way to make money then a business idea is what you need. On the other hand, if you want to be innovative and unique in your field, then starting a startup is the avenue for you.
Now onto the best 5 startup ideas
#5: Freelancing
You can always get into the freelance industry if you are good at something. It can range from graphic design, writing, programming, and other skills.
The best part is that you get to choose what area you want to work on and this leaves room for creativity too. This is because freelancers typically work on one project at a time.
Some sites provide freelance jobs, such as Upwork. They pay their freelancers around $500 for a single project.
This is a great way to start this business idea if you are just an inexperienced freelancer.
#4: E-commerce drop shipping business
Dropshipping is when you sell products on behalf of another company and they handle the deliveries for you.
This is not only beneficial for big businesses but also for individuals who want to start their businesses. Because of the internet, people are now able to buy goods from other countries.
This is good news for dropshipping because it means that you can sell products to different countries just by setting up a website and warehouse.
Store the products and sell them online. There is room for convenience and security for your business.
You don’t need to worry about shipping because you can ship the products directly from the warehouse of your supplier.
#3: Social media influencer
This business idea is great if you know how to use social media. All you have to do is create a profile page where you promote products and brands to your followers.
Social influencers can also be influential in organizing events and gathering people. This means that instead of working for somebody, you are now “working with” other people – your followers.
This business idea is great because it requires no startup capital and can be easily run online since most brands pay influencers through the internet.
#2: Event planning
If you like to do all kinds of research and gathering information, then event planning might be for you. This business idea requires no startup costs either because all you need is your laptop and internet connection to get started.
You can do this with friends too because the more people you have, the bigger events that you will be able to plan.
#1: Teaching online
The best part about teaching online is that you get to set your schedule. All you need is a camera, microphone, and internet connection to start teaching online.
This business idea requires no startup costs; because the only thing that you will be using are free platforms like Skype or Zoom where people are looking for help in some areas of expertise.
Just make sure that you have a strong internet connection and that your camera quality is good enough for the people who will be watching you teach online.
The above are just some of the best startup ideas. There are many more one can consider and grow an enterprise.
Why do some startup ideas fail?
As mentioned, startups are challenging, it takes much more than just an idea to make it successful. Here are some reasons why startup ideas fail:
1. There is no market for your product or service
If there isn’t a need in the community for what you are about to offer, then you might want to reconsider if this business idea is worth pursuing.
When coming up with a new startup idea, it is best to test things out first before diving in head-first. Start slow and with a small project so you can gauge the market and see if there is space for your startup idea.
2. You are not good at marketing
Marketing is key to the success of every business. You must have enough knowledge of marketing, especially when starting a new business.
Marketing means that you have to convince people who are not yet familiar with your brand and make them your clients.
It’s not easy convincing people to try something new. If you don’t have much knowledge about marketing or you are not good at it, then this might be the reason why your business idea failed.
3. The product or service fails
A great product or service can be an instant hit, but most of the time it takes some time to gain traction. When the product or service is not good, the idea falls apart.
Sometimes we think we have a great product and no matter how much effort we exert to promote it, there still aren’t people who buy it.
We sometimes end up thinking that the market is bad or that they just don’t understand our product yet. In reality, this means that your products might be defective or that you need to improve your packaging and marketing strategy.
4. The startup is poorly funded
Another reason why startups fail is that they don’t have enough capital. At times from the very beginning, the budget is too tight.
This puts a lot of pressure on them and this may affect the product or service offered by the startup. Funds run out and the business eventually fails.
5. The team lacks the right skillset
If you are just starting, then it’s best to choose people who have the same vision as you. Also, they should be good at what they do because once you hire new employees, that may cost money that your startup might not afford at the moment.
Skills come with experience, so don’t be too quick to judge people. Evaluate each personnel well before hiring. Don’t rush the process of hiring. It may take time, but it is worth the wait.
Hiring the wrong people for your startup can cost you more than just money because these people will be with you almost every day. Hire fast only if you are certain that they are right for the job
6. Poor management
If you are not a good leader and manager, then your employees will feel it which could affect their productivity in the long run.
This can be a problem because if they lack motivation, they may have a hard time doing their assigned tasks. Employees are your startup’s hidden asset so it is important to have people who are passionate about their work.
7. Competition
If there is already somebody in the industry who is well established, then you will have a hard time catching up. This is because they already have a name for themselves and many people who are familiar with their brand.
One needs to be unique to be able to compete with other brands. So think of ways on how you can differentiate yourself from the rest.
Being a newbie in the industry can be a challenge, but you just need to work extra, have enough patience, and believe that your time will come soon.
8. You don’t know your target market well enough
Before even starting have, you must have a clear idea of how to reach customers and who will buy from you.
With that then it’s easy to devise a marketing and sales plan. Knowing about the market also helps you establish a rapport with your target market and grow your business.
A new startup is not something that you can easily do alone because the risks are too high. It’s important to have a backup plan so if anything goes wrong at least you still have an income to rely on.
9. The market is changing
When the world changes, so must your business which could disrupt the way that you operate. Markets are always evolving, and if you don’t evolve along with them, you might find yourself at a disadvantage.
It’s good to accept and adapt to change because you don’t want to get left behind. Even though starting a business is very hard, the journey from beginning to end will make it all worth it.
Besides, if your startup fails, you can always start over again with something better and new. It’s best to take on challenges instead of giving up because you never know what’s in store for you and your business.
It takes time to build a company from scratch, but as long as you work hard and smart, anything is possible.