There’s a phrase that goes around the business community everytime someone in a industry considered really boring generates a huge amount of revenue and that’s “Boring businesses make millions”. I really like this statement for a number of reasons.
I have a friend based in the UK that owns a business producing resin flooring for clients. That’s a business that would be considered pretty boring. Installing flooring all day, not the most interesting thing in the world. But he generates a lot of business and interest because they do this skill or service very well and there aren’t other many businesses looking to get started in this industry. As a result the competition stays relatively normal but the leads continue to come in.
There are 3 keys to building a successful “boring” business:
The first is having a relatively high barrier to entry. For example if you have a business that can’t be started for less than £50,000 then that’s a good start. This could be anything from having a storefront or building a gym for example, all the way to building a complex piece of software that could not be replicated by anyone very easily. As a result you have less people coming into the marketplace and it does not get crowded.
The second is building something that is still KIND OF unique. Something that some people would actually find interesting. I know another business owner that works with reclaimed materials to build new furniture or antiques for clients. This is very boring work on a day to day basis, but when they are finished the pieces they create sell for hundreds, and they don’t even have to really individually market these items. The process is great because although the strategy is simple and (probably) boring for them. The end product is in fact very interesting.
The final strategy is to create something that is scalable. For example in the flooring example, once the materials are purchased he can outsource this to a member of staff or train a specific team for each type of flooring. That’s very important because if he individually has to implement every new floor then there isn’t going to be a lot of time for him to market his business to new clients and he will become a slave to the business. Instead do something that you can easily systematise and scale later on in the business’s life.
Thanks for reading.