Business for Bayview

Reading that BV has sold his house, and potentially looking at investing in a new business, got me thinking about "what sort of business"... with the way we do business so rapidly evolving ... and with so many potential pitfalls - and opportunities - I thought it would make interesting discussion.

There has been an interesting quote floating around on FB recently ... it goes something like this ...

The worlds' biggest taxi company owns no cars - Uber
The worlds' biggest hotel owns no beds - AirBnB
The worlds' biggest bookstore stocks no books - Amazon

etc etc

I have a friend who, many years ago, got caught owning a record store when iTunes launched and lost everything ... taxi plate prices are dropping ... online sales and door to door delivery of everything from clothes to food to white goods to furniture is taking off ... what would you invest is as a business?

The way we do business has changed so rapidly, in such a short space of time, the mind boggles as to what comes next.

I think the business would have to be something that "has" to be face to face, hands on (cafe) ... or completely remote via the internet where you could work in your PJ's (the list is endless) ... or catering in some way to those who do either of the above (warehousing) ... or providing a service remotely (holiday accommodation) ... or desirable (custom funky furniture) ... and like any good business, it doesn't necessarily have to be something you are passionate about as long as it brings in the $$ and freedom for you to do what you are passionate about.

Get creative

 

With the world getting more and more interconnected and online shopping growing exponentially, anything that covers a logistic requirement could be profitable.
Warehousing
Couriers
Waste Disposal

Or maybe something in green energy and sustainable living. Those concepts seem to be popular.

 

Interesting that posties delivering letters are going out of favour as cwe now email/text/call via mobile, parcel deliveries from online shopping are on the rise though

 

Looking at the bigger picture there are 3industries I would have a business in.
1) Children - most people don't hold back with kids expenditures. And they are a 'renewable' resource.
2) Alcohol - when the going is good, people chill out and have a drink. When the going gets tough, people have a drink.
3) elderly - aged care and the like (including funerals). Old people, like children, are a never ending resource. The structure of the industry allows for some profitable enterprises. However, it is dominated by existing players and has a reasonably high barrier to entry (lots of capital).

They are all reasonably recession proof, and continue to succeed in good times.

Blacky

 

Ah yes - funeral homes ... that was one of the biggies that Dolf De Roos (friend of RDPD) liked as an investment. At some stage everyone dies, so there is no shortage of "customers" ... and if it something unique - like White Lady Funerals" is - then there is an added bonus.

I notice the cardboard box coffins have really taken off

 

My mate is a Coroner. When you ask him how work is going he always jokes that business keeps rolling in and he doesn't even advertise!

pinkboy

 

C

Could also add pets to the kids pile too.

 

LOL! Just found this thread..

One of our possible business ideas is aged care.

One of our closer friends is a Manager at a couple of privately owned facilities, and has been in aged care for a lot of years.

She is extremely intelligent, motivated, well qualified and experienced to run them, and we have talked with her in the past about doing a JV to purchase and/or build one, which she would then manage and also pay herself a salary, and my wife would do some contact hours on a wage basis as well.

I like this possibility because it's a never-ending source of customers, and it is a field which (2 of) the owners will have had a lot of experience in....

You could also start up the add-on business of Funerals at the Centres...it's an inevitable process....a one-stop shop!!

 

With an abundance of "Baby Boomers" approaching retirement, maybe something focussed around their needs. A relatively local Caravan sales company at Coffs Harbour is going gang-busters!

 

Professional climate change denier, I've seen less and less of Lord Monckton so Bayview might be able to take over!

 

Prison.
If you have the right connections, IMO, it is the most profitable enterprise.

Sometime in the future, I personally would also like to invest in software incubators. Unfortunately, any kid with a hat who can program some crap thinks he is going to be the next big thing. Even more unfortunate, is to see through the ignorance, attitude and still be able to put your bets on something you just don't know will pan out. So a bit risky.
Otherwise a bunch of hair salons or fitness studios should do the trick for me.

 

I think babies (precious mothers who spend endless amounts) would be a gold mine.. I was trying to think of an idea, more a product that mothers would like to make childcare easier.. still thinking..

 

The risky nature of the industry is also partly why u can get some spectacular returns

 

Personally I think there is enormous opportunity out there in business.

A lot of the old ways of doing things don't work anymore or are harder to pull off, that in itself creates opportunities.

Ignoring anything property related for now, I see good opportunities in following:

- various areas of tech - requires being involved with the right people, having value add skills (even if not necessarily tech related) or lots of capital so I suspect not appropriate here
- hospitality - lots of opportunity out there, unfortunately I suspect not appropriate here either
- aged care or day care as mentioned above - definitely an option
- something to do with energy efficiency or sustainability - in some ways a crowded sector but I still feel there are opportunities out there
- various levels of entertainment, be it music, lifestyle events, kids related like all those trampoline joints opening up, options are endless

Personally I think it would be worth finding someone out there with an existing business who needs some help, you would have to be a good fit for the business and bring more than just capital to the business. People will often give away chunks of their own businesses if you can grow/fix it. Key is to being a value adder though

 

Bingo!

A huuge amount of the "Grey haired Nomads" head North and/or West from Vic every year about now (most have left already),

 

Our local Van park is nearly always full with Grey Nomads these days. However, not the case a decade ago.

 

Yep; the "Keeping up with the Joneses" through your children's clothes is a biggie.

Childcare facilites at workplaces is something that could become big; if the trend in jobs is for folks to have to go part-time/casual (as is the case a lot more these days) the parents will require more flexibility in childcare.

Privately run operations at the workplace will happen - will require some investment into facilities of course.

Possibly set-up by the Employer ( I would do it), or by the Contractor - with a lease to reflect their investment.

 

Some time ago there was a show on TV which showed mothers in the UK buying bling for their infants and toddlers. Tons of it.
Most women seemed to be middle income earners. Some of them even forewent eating food on dole money to be able to buy their babies some bling. I haven't seen that trend anywhere else yet. So you may be on to something

 

Hey Bayview, have you thought about getting back into the golf industry?

 

The mother of a friend of mine has a 'cot shop'. She has leased a low cost shop in a bit of a residential area. It is one shop in a small group of 4. The owner couldn't get a lease on the other shops, so she now has a second shop at a ridiculous cost of something like $50pw that is used as storage only. The deal is, that if the LL finds a tenant, they move out (of the second shop).

Anyway.....this shop is open on Saturday's only from 10.00am to 3.00pm, and sometimes on Sunday mornings as well. They buy cots, mattresses, change tables, and a few other bits & pieces, and sell them at way lower than the 'big' stores. The stock is purchased directly from the importer, and they get new stock all the time. Weekly, I think, but not sure. They also do deliveries all over Sydney, even as far as Moss Vale. These they will do M-F around whatever else they are doing, and they charge quite a hefty fee for this personal service.

Advertising is done via Ebay, telling them that items are pick up only, and the address if customers want to come & view the stock, and via a Facebook page.

Some weekends they will have Mother, Father, herself & her Hubby all working at this shop. They are hugely busy, and apparently there really isn't a need to be open on M-F as most of the customers want to come at weekends.

They have limited stock available, and have tried stocking clothes & other stuff, which just don't work as well as the basics, and are a target for light fingered customers.

So.....not bad for a part-time business.