Smart Ways to Start a Business with Minimal Investment and High Returns
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Chapter 1: Exploring Opportunities in Quadrant 2
In a previous article, I touched upon the idea of starting a low-capital business, focusing on basic skills, such as service-oriented businesses.
However, there’s a challenge: the workforce in Indonesia often isn't adequately valued. So, what are the next options? Let’s delve into Quadrant 2, which features businesses that require minimal investment but rely on specialized skills.
Businesses in this quadrant are less prone to imitation because they depend on the unique expertise of the individuals involved, unlike those in Quadrant 1, which are more easily replicated. This can be a golden opportunity for you.
Of course, there is a price to pay: you must possess a specific skill or be willing to dedicate time to acquire one. So, which businesses fit into Quadrant 2?
Section 1.1: Becoming a Consultant
Becoming a consultant is an intriguing option if you have valuable skills to offer. The key question is: do you possess a marketable expertise?
If your job involves critical thinking rather than physical labor, you likely have a substantial chance to succeed as a consultant. Examples of such skills include graphic design, programming, marketing, SEO, legal consulting, tax consulting, educational consulting, financial consulting, and more.
Section 1.2: Productizing Services
One challenge faced by consultants is scaling their business. The options often boil down to either raising prices or spending more time with clients—both have their limits.
What’s the solution? Transition to "Productizing Services." Here, you can transform your skills into digital assets, such as eBooks or online courses. This shift makes scaling your business much more manageable.
Take Justin Welsh as an example; he is a solopreneur who has generated $1.7 million without hiring any staff. Justin sells online courses priced at $150 and uses his newsletter to attract sponsors.
You could even combine both approaches; if a reader feels they need more than just your book, they can opt for one-on-one discussions, allowing you to charge for your consulting services.
Section 1.3: Getting Started
A few months ago, I found myself unable to unlock the door to my restaurant. Panic set in as I called my manager, who was just as confused. We decided to contact a locksmith, but since we didn't have a go-to person, I turned to Google to find a nearby locksmith.
The search yielded numerous websites, most of which utilized Google Ads. In my rush, I clicked on the top results, but they were all unavailable until I finally reached a locksmith on the sixth or seventh site.
Your Network is Your Net Worth
While browsing, I noticed that many locksmith websites offered nearly identical services. How did they attract customers like me, who were unfamiliar with their businesses?
If only they had a presence on social media, I would have immediately thought of their brand when I encountered a problem.
And that's how you begin. Start by reaching out to local businesses in your area and offering your skills. Perhaps your favorite bakery, a lunch spot, or even a beloved content creator could use your expertise.
In the beginning, you might offer your services for free to showcase your abilities. If they express interest, you can discuss further collaboration. Use the P.R.O.M.I.S.E method outlined in my earlier article to scale up.
If you land just one client and truly master this type of business, it could turn into a goldmine.
Section 1.4: Leveraging AI for Business Ideas
If you want to explore other potential businesses in Quadrant 2 beyond the two mentioned, consider using AI. Enter this prompt:
"I want to create a service-based business with minimal capital and specialized skills. Here are my criteria for this business:
- Low cost — it should be feasible to start with minimal investment.
- Beginner-friendly — suitable for newcomers who have at least one specialized skill, or can learn one within six months.
- Profitable — it should offer at least a 30% profit margin.
- Low risk — the business should have a low failure rate.
- B2B option — the service can be offered to businesses as well as individuals.
- Recurring revenue — the service should have a subscription model to generate ongoing income."
I will provide two examples of businesses that fit this category:
- Consulting — offering guidance based on your expertise, such as graphic design, programming, marketing, SEO, legal consulting, tax consulting, educational consulting, financial consulting, and so on.
- Productizing services — transforming your skills into digital products like eBooks or online courses.
Business models like SaaS or startups, which require significant investment, are not what I’m looking for.
Based on the criteria, ask for ten business ideas that meet the requirements mentioned. This could inspire your journey into this type of business.
Chapter 2: Insights from YouTube
The first video titled "Ide Bisnis Modal Kecil Untung Besar! Cuma Butuh 10ribu | @RifkiAnshor" discusses strategies for starting a business with minimal capital and maximizing profits.
The second video, "10 IDE BISNIS modal KECIL, Untung BESAR! COCOK UNTUK IBU RUMAH TANGGA," provides ten business ideas that are ideal for homemakers looking for profitable ventures with low investment.