It seems simple. You should research something before you do it. Despite this common sense step many begin processes without learning about their field. There is a hustle component to getting things done. I will not contest doing creates more actions than planning alone. Lack of preparation can lead to failure.
Operating by the seat of your pants is not an effective use of time.
When you research something you are looking how to do something. Research is not a question of making a decision or not. Anything you decide to do should be something you have passion for. If you like dance, open a dance studio. If you enjoy drawing, open a graphic design company. If you do nothing but play sports all day, open a sports complex.
There are opportunities in every industry.
Knowledge starts with 1) product knowledge, 2) market knowledge, and 3) market risk.
Knowing what you like doing doesn’t mean your enterprise will be profitable doing what you like. You may enjoy drawing but ninety percent (90%) of your population may be disinterested in drawing all together. How do you adopt your passion to product?
A product fulfills need or want in the consumer.
If you draw recognize new businesses require proprietary logos to trademark. Market your service as a graphic designer for print, design, letter head, and media.
Create packages that offer full service, unique service and clearly state benefits. Know products to offer and incorporate calls to action. You can only call a person to buy something if you clearly offer something.
Market Knowledge is familiarity with the industry. Understanding how much consumers spend, where your customers are located, knowing the best ways to reach them. Market Knowledge is essential to any good business venture. It is good to understand market cycles (each market has one). Knowing the average length of time for a bull market (a run up of demand) and a bear market (when no one is buying your goods) is essential to long term success.
In some instances you short term success can be decided by Market Knowledge. If you don’t recognize your market is in a recession you may adopt bad marketing practices. Opening up at the wrong time, with the wrong product, is detrimental to business.
Market Risk is when a person understands market correlation to possible and probable negative events to apply contingencies. The application of contingencies means that when a negative happens an offset occurs to lessen the risk.
An example would be purchasing disability insurance for your key employee that you know is over 50. If your employee suddenly suffered a stroke you wouldn’t be burdened with unemployment due to the disability income the policy affords.
Another example would be knowledge the construction industry slows in a boom and drought cycle. Therefore, you would run a temporary staffing service of Architects and Engineers for public private partnerships in roads, bridges and railroads. Typically government stimulus comes into economies that experience real estate recessions to put construction workers to work while the private market recovers. Failure to do so results in high unemployment rates and poverty.
This is a consistent cycle in real estate construction.
Organizing these Knowledge Areas
Organize these items into something called a Project Charter. A Project Charter is a step by step way of getting something done. A Business Plan is what I call a “Research Paper”. Research Papers are great for learning things. After you learn you must act. The only tangible application for a Business Plan is: 1) Obtaining Small Business Administration (SBA) Loans, 2) Bank financing.
Project Charters are the tangible way to lay out a step by step methodology to achieve something.
No pitch, no sale, no promotion. Project Charters organize you in a way that shows sequential steps to achieve. Here is the advantage of having your project organized into a simple Project Charter format.
Opening a business is a “Project”. You will not always be opening your business. A Project is a temporary endeavor undertaken that has a definitive start and end. So organize yourself like a Project Manager and make sure you get the most out of your work.
In here you have everything from a Business Case to Risk Planning. You also have Timelines which make you accountable to yourself. You are required to list your deliverables (what it is you need to do) and define your scope. If you would like a free copy of this simple project charter please email visit me at christopherklopez.com to obtain a free template.
Plan your passion with a project charter that addresses Market Knowledge, Market Risk and Product Knowledge.
About Christopher: Christopher Knight Lopez is a Professional Entrepreneur. Christopher has opened over 7 businesses in his 14-year career. Christopher’s purpose is to take advantage of various market-driven opportunities. Christopher is a certified Master Project Manager (MPM) and Accredited Financial Analyst (AFA). Christopher previously held his Series 65 securities license. Christopher also has his General Lines — Life, Accident, Health & HMO. Christopher has managed a combined 286mm USD in reported Assets Under Management & Assets Under Advisement. Christopher has work experience in 29 countries, raised over 50mm USD for various businesses, and grossed over 7.5mm in his personal career. Christopher worked in the highly technical industries of: biotechnology, finance, securities, manufacturing, real estate, and residential mortgages. Christopher is a United States Air Force Veteran. Christopher has a passion for family, competitive sports, fishing, martial arts and advocacy for entrepreneurs. Christopher provides self-help classes for up-and-coming entrepreneurs. Christopher’s passion to mentor comes from belief that entrepreneurs need guidance. The world is full of conflicting information about entrepreneur identity. See more at www.christopherklopez.com.