7 Main Characteristics Of A Business Opportunity

It is important to know what the characteristics of a business opportunity are so that you can direct your efforts and resources towards viable business ideas rather than “void” business ideas that will leave your bank account sending out S.O.S signals.

If at all you want to put in place a firm and successful business that will last through the “thick and thin” of things then you ought to know what the characteristics of a viable business opportunity are and this is what we shall be looking at today.

Characteristics Of A Business Opportunity/Characteristics of a Good Business

Characteristics Of A Business Opportunity #1: Demand

The first thing that one ought to take into account before planning to start a business is to ask themselves where there’s a significant demand for the particular product or services they intend to launch i.e. is there a gap in the market? If the answer is NO then that idea isn’t a viable business opportunity. It would also be profitable to target a specific niche as this increases the chances of you becoming a dominant player for that specific niche.

Characteristics Of A Business Opportunity #2: Return On Investment

If the business opportunity you have in mind has the potential of bearing fruits within a set period of time and which can cover the capital that was used in addition to bearing profits then there’s a high chance that you’ve got a winner but if it only requires more and more capital to be injected in with minimal or no possibility of having any returns any time soon then you ought to tread carefully.

Characteristics Of A Business Opportunity #3: Availability Of Resources

You should have all the resources needed to take advantage of that particular business opportunity as well as a time frame for implementing it lest someone else beats you to it.

Characteristics Of A Business Opportunity #4: Skill

You need to have the experience required to tap into that particular business opportunity e.g. if you want to start a bakery but don’t know a thing about baking then that’s not a viable business opportunity. It is therefore important that you have the required skill i.e. experience and expertise, for the business you would like to start.

Characteristics Of A Business Opportunity #5: Scalability

Can the business grow gradually within a given period of time and can it adapt to the changing times i.e. is it flexible enough? If the answer is NO then that idea isn’t a viable business opportunity.

Characteristics Of A Business Opportunity #6: Healthy Profit Margin

Does the business have a good profit margin that will ensure the business remains profitable even as it meets the gap in the market? If the answer is NO and you’re not in it for charity then that idea isn’t a viable business opportunity.

Characteristics Of A Business Opportunity #7: Customer Retention

It’s said that customers are the lifeblood of any business but if you can’t retain your customers then your business won’t last very long. You therefore need to put in place mechanisms that will ensure you prolong your customers stay with you i.e. that they will keep buying from you for as long as possible.

Last Word On The Above Characteristics Of A Business Opportunity

It is important to be aware about what the characteristics of a business opportunity are so that you don’t preoccupy yourself trying to implement a business idea whose probability of success is equivalent to that of a cactus “not having spines” and this is because it can be quite frustrating to have spent a lot of time and other resources in trying to make a business idea work only for everything to come crumbling down at the last minute simply because one did not give much thought into trying to identify whether that idea was truly a business opportunity or a business obstacle.

I do hope the above characteristics of a business opportunity will help you as you go about trying to come up with viable businesses irrespective of their nature (i.e. internet businesses or physical businesses) so that you make the right choice in coming up with a hit rather than a miss.

As always, feel free to share what your thoughts are on what the characteristics of a business opportunity are; I’d certainly love to hear from you!