Interest-Skills-Money Triangle

A framework for finding business opportunities by combining personal interests, market research, and profit potential analysis.

Finding Business Opportunities

• Start with reading annual reports of established companies
  • Example: 1-800-Flowers revealed insights about millennial buying habits
  • Look for fastest growing segments and profit centers
  • Use financial data to spot emerging trends

Opportunity Analysis Framework

• Calculate potential value through simple arithmetic:
  • Total adjustable market
  • Contribution margin
  • Repeat purchase rate
  • Combine these factors to evaluate opportunity size

Research Process

• Look for unique data sources others might overlook
  • Annual reports from adjacent industries
  • Financial statements
  • Company disclosures about growth segments

Validation Steps

• Identify core profit drivers
  • Example: Accessories and add-ons (like fancy pots) driving margins
• Calculate unit economics
• Evaluate market size
• Assess repeat purchase potential

Implementation Strategy

• Use insights to create differentiated offering
  • Example: Combining succulents with artist-designed pots
• Focus on high-margin complementary products
• Target validated customer segments
• Build business model around proven profit centers

The key is combining market research with mathematical validation to identify profitable opportunities others might miss.