I Want to Start a Business but Don't Know What Business

Why brainstorming in a vacuum rarely works

Most people start by trying to think of an 'original' idea, often looking for a gap in a market they know nothing about. This is difficult because without deep knowledge of a sector, it is impossible to see the hidden reasons why that gap exists. You might see a lack of a certain service and assume it is an opportunity, when in reality, the margins are too thin or the customer acquisition costs are too high for it to be viable.

A more effective approach is to look inwards and downwards: what do you already do that people find difficult, and what specific frustrations do you hear colleagues or customers complain about? The best business ideas are usually found in the friction of everyday work, not in a sudden flash of inspiration. If you have spent years in a particular industry, you have already seen dozens of small problems that businesses would pay to fix.

The Evans 'What Business Should I Start?' tool (/what-business-should-i-start) is designed to help you filter these observations by mapping them against your own risk tolerance and capital availability.

Auditing your unfair advantages

Every successful founder has at least one 'unfair advantage' that makes them more likely to succeed than a random competitor. This could be a technical skill, such as knowing how to automate a specific manufacturing process; it could be a network, such as knowing fifty procurement managers in the construction sector; or it could be an asset, such as owning a van or having a specialised piece of software.

List everything you know how to do, every group of people you have access to, and every resource you have at your disposal. A business built on these foundations starts with a lower cost of entry and a higher chance of reaching the first customer. If you start a business where you have no advantage, you are competing solely on price and effort, which is a difficult way to build a sustainable company.

Do not overlook the mundane. Being the only person who knows how to navigate a specific regulatory requirement or who has the patience to handle a complex logistical task is a stronger foundation for a business than a generic 'good idea'.

Looking for 'burning problems' in your current sector

The most profitable businesses solve a problem that is currently costing a customer time, money, or reputation. In a B2B context, this usually means helping a company increase revenue, decrease costs, or stay compliant. If you can identify a task that a business currently does poorly or finds painful, you have the seed of a viable proposition.

Talk to your professional network. Ask what their biggest headache is this month. Pay attention to the tasks people procrastinate on or complain about. A good business idea often sounds boring to an outsider but is essential to the person paying for it. If you can solve a problem that a buyer is already trying (and failing) to solve, your sales process becomes significantly easier.

The danger of the 'lifestyle' or 'passion' business

Many people choose a business based on a hobby or a personal interest. While this can be rewarding, it often lacks a clear commercial buyer. Just because you enjoy doing something does not mean someone else will pay you a sustainable rate to do it for them. A business requires a customer who perceives more value in your solution than the price you are charging.

Before committing to an idea based on a passion, test the commercial reality. Who exactly is the buyer? Why do they need this now? How much is the problem costing them? If you cannot answer these questions clearly, the idea may be a better hobby than a business. It is often better to build a business that you are competent at and that has high demand, and use the profits to fund your passions elsewhere.

How to filter and select your best starting point

Once you have a list of potential directions, filter them based on speed to first test and capital requirements. An idea that requires £50,000 and two years of development to see if anyone wants it is a poor choice for a first business. An idea that can be tested by calling three people and asking for a deposit is much stronger.

Rank your ideas by how easily you can reach the decision-maker. If your idea requires you to sell to the CEO of a global bank but you have no contacts there, it is a low-probability start. If your idea involves selling to the site managers you worked with for five years, your chance of getting a 'yes' or a useful 'no' is much higher. Choose the path of least resistance for your first test.

What to avoid when choosing your first business

Avoid businesses with high fixed costs and low margins, such as retail or generic hospitality, unless you have a specific, proven advantage in those sectors. Avoid 'middleman' businesses where you do not add value, as these are easily bypassed once a customer finds the original source. Most importantly, avoid any business where you cannot explain why a customer would choose you over an established competitor beyond 'being cheaper'.

If you find yourself saying 'I just need a website and people will find me', you are likely choosing a business based on a lack of a sales plan. A good business idea should have a clear, direct way to find and talk to your first ten customers without relying on the hope that they find you accidentally.