Learn about what to do at the Seed Stage

It’s exhilarating when you figure out a solution to a problem. Solving a problem is high on the list of a good product or service. Surely, if you can solve a problem, people will buy your service or product, right? Right, but having an ‘aha’ moment doesn’t make you an entrepreneur.  Being an entrepreneur takes a lot of courage, hard work, grit and consistency.

Let’s take that solution you have and try to figure out if it’s going to be profitable. How do we do that? The easiest way is to write down the problem, who faces the problem and why are they facing the problem. This basically gives you the market segment you will be dealing with.

Now, look at the solution you are trying to develop. To offer the solution, what do you need to do? If it’s a product, do you need to manufacture the item? Do you need to buy something and modify it before selling it? Where do you need to buy the items from? Who do you need to buy them from? This will tell the you the key resources, partners and activities of your business.

Next, how much would it cost you to produce the finished product? This must include everything from the cut, shape, mould, recipe, cloth all the way to the time it is complete with printing, packing and delivery. This will give you the cost of goods. Common sense indicates that the product or service has to be sold for more than the cost to be profitable, but let’s not forget about how we’re going to tell the potential customers about our products or service. The marketing activities need to be accounted for as they will affect your profitability too. You need to know the marketing channels you will be using, the content you will be creating, and the cost for creating the content and reaching out to the potential customers.

If you are still here and not feeling exasperated with the steps involved, great – you may well have what it takes to be an entrepreneur – and keep reading. If you feel like there was just too much going on, give your self a pat on the back for being a creative problem-solver, but you’re not an entrepreneur. Remember “courage, hard work, grit and consistency”?
You will need to have lots more to keep going. The few steps we did above are the basic steps to creating the Business Model Canvas.

But there’s more to come. How’s your relationship with money? Need more of it but think that lots of it is gonna make you a different person? If everyone around you has a job that they really like and they’re earning a lot of money, are you sure you want to start a business? Why not work with a company and earn a salary instead? Can you keep your self motivated? Would you rather go out and party with your friends on Friday night and stay in the whole weekend to binge watch your favourite TV show?

If you are still undeterred at this point, go ahead and read about the things you need to have or know about before starting a business.

Sprout some ideas?

Time to plant a seed.