Business goal No. 1: Serve customer

Several times a month I have the opportunity to mentor college students who are preparing to launch or have recently launched a business. I enjoy these meetings and feed off of the entrepreneurial passion that many of these students demonstrate.

A few weeks ago, a student entered my office with what he thought was a great business idea (and truth be told, he may very well be correct). However, when asked why he thought he had the makings of a business that was eventually going to amass great fortune, he simply indicated that he believed that his business was going to fill a void in the marketplace.

I recognized the void the student referenced. In fact, it was obvious. And, ultimately, that is what concerned me. Most of us are not genius (or lucky) enough to mastermind a business idea that is completely novel, and, frankly, I didn't think he had achieved this either. So I found myself asking this question: Why was there a void?

Simply filling a void in the marketplace is not enough of a foundation upon which to build a business. The void needs to have some key characteristics. First, it must be a void that potential buyers care about (think revenue), and, second, it must be a void that can be economically filled (think costs). If both of those characteristics are in play then at least the economics of the business may work.

I continued to question the student, and he seemed to have at least a rudimentary knowledge of the costs associated with filling the void. However, further questioning helped me realize that he had a build-it-and-they-will-come mentality. He hadn't ever talked to any potential customers and, as a consequence, didn't know if he was filling a void that anyone actually cared about.

The student, like many other entrepreneurs, was beginning to build a business that suited himself — not necessarily anyone else. I had heard enough to give him my opinion. I suggested he hit the streets and talk to his potential customers before he spent another dime on developing the infrastructure of the business.

Customers (or potential customers) can provide the aspiring entrepreneur with a wealth of information. In reality, many customers are dying to talk to businesses so that they can have more significant input on the type of solutions available to them. To try to do business without questioning and listening to the customer is ... well ... bad business.