How I’d Start a Service Business From Scratch
The fastest way to build a winning service business is simple: validate first, build second. Always.
How I’d Start a Service Business From Scratch
Lesson: The First Steps Almost Everyone Skips
If I had to start a new service business tomorrow, I wouldn’t rush into branding, logos, or hiring. I’d begin with the customer. Deep research, real conversations, and understanding what they truly want, what they actually need, and what they’re willing to pay. Only then would I look at demand, TAM, and whether the market is big enough to make it worth the effort. And finally, I’d ask the most important question: “Can this be profitable, and is the profit worth my time?”
Insight: Every Successful Service Business Starts Long Before Launch
- Customer Psychology Is the Foundation: You can’t design a winning offer until you understand your customer’s frustrations, desires, expectations, and perceived value. Your product isn’t the service, the product is the solution they believe you provide.
- Market Size Determines the Ceiling: A great offer can still fail if the market is too small. Validating demand and TAM early protects you from building a business that simply can’t scale past your own effort.
- Profitability Must Be Proven Upfront: Not all service businesses are worth the time. You need to know the pricing, margins, labor needs, and your own role before you commit. Without a path to profitability, it’s a job, not a business.
Action Item: Validate Your Next Business Idea the Smart Way
- Interview Five Potential Customers - Ask about their pain points, buying behavior, and what they’d pay for the solution.
- Estimate Demand and TAM - Look at search volume, local competitors, and whether there’s enough market to scale.
- Do a Quick Profit Map - Price, cost of delivery, labor requirements, and your time. If the math doesn’t work, start over.
The fastest way to build a winning service business is simple: validate first, build second. Always.
If you like this content you can watch the video version of this.
Also, Young was featured as a guest on the podcast Test Kitchen Podcast, in the episode “Ep. 105 Young Han | The Formula for Freedom (Not Burnout).” Don’t miss it!
