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Chapter one: Researching your idea

Coming up with the idea for your new business is the first step to becoming an entrepreneur. 

Lots of people launch a start-up based on a hobby or passion.

For example, if you love baking you could start a cake business or launch a gym if you like to keep fit.

Another way to come up with an idea is to turn a job you already have into your own venture.

For example, an employee working in IT could start their own technology consultancy, while a journalist could launch a freelance writing business.

Deciding why you want to start a business can also help to inform your idea.

Is it to escape a job you’re not happy with? Do you want to earn extra money alongside a full-time job? Are you keen to explore a social mission and help other people? 

For more inspiration, here are 24 business ideas to consider.

Market research

Market research is crucial for working out if there is a need for your business idea and enough potential customers to buy it.

Without it, you may struggle to generate sales for your new product or service.

Carrying out research before you launch your new business helps to clarify the size of your potential market, how you can stand out from the competition, customer likes and dislikes, and how much money potential customers are willing to pay.

There are two types of market research that can help you achieve your goal: primary and secondary research.

  • Primary research

    Primary research involves gathering new data specific to your business idea that has not been previously collected.

    Ways to do it include using focus groups, face-to-face or telephone interviews, surveys, questionnaires, and observing customers as they shop.

    Talking to potential customers yourself can be a cost-effective option, or you can pay for a third-party market research service to do it for you.

  • Secondary research

    Secondary research is using pre-existing information which you interpret for your own business.

    Sources include news stories, industry publications, reports, whitepapers, and organisations such as the Office for National Statistics, YouGov, and the British Library Business & IP Centre.

Further reading

Read our guide to understanding market research.

Download the guide

Want a PDF of our guide? Click the download button below:

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Your previously read articles

Chapter two: Business strategy and plan

Discover the steps to take in order to get your business off the ground.

Next chapter

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Whilst we make reasonable efforts to keep the information in this guide up to date, we do not guarantee or warrant (implied or otherwise) that it is current, accurate or complete. The information is intended for general information purposes only and does not take into account your personal situation, nor does it constitute legal, financial, tax or other professional advice. You should always consider whether the information is applicable to your particular circumstances and, where appropriate, seek professional or specialist advice or support.