Finding Value in Boringly Productive Ventures
These days, it seems like everyone is trying to come up with ‘the next great idea’, ‘the next great app’, or ‘the next Uber of something’. Capital is being mostly deployed to funding new apps, new tech platforms of XYZ, or new supposedly ground-breaking devices. That’s all fine and dandy, and I’m all for that — but this does raise several questions:
- How many of these ‘ground-breaking’ projects are really ground-breaking?
- How much have they generated in net returns to their investors?
- How many truly excellent business opportunities are missed, and have trouble finding capital, even if they could offer solid income and capital appreciation opportunities, just because everyone is looking at tech in developed markets and ignoring almost everything else?
Sure, at the end of the day, each entrepreneur or investor makes up his own mind about what to do with his time and capital. Still, it is in your best interest to know that there’s a world of simpler, maybe even boring, but extremely profitable opportunities beyond ‘the next great thing’.
For example, in Colombia, there are many different businesses that are extremely simple, not innovative at all, and yet they offer returns that you can actually rely on. From pharmacies to bakeries, pet-friendly rental apartments to laundry shops, and a world of so many other possibilities, investing in these types of businesses may not land you a cover on a popular tech magazine, but it sure will give you the chance of growing your wealth and enjoying relatively passive income, without having to come up with anything spectacular.
In fact, just by making sure that you offer a better customer service and that your services are more efficiently run and provided than most services in Colombia, you’ll be doing something new and quite unique, in a country with so many inefficiencies. Indeed, you can be handsomely compensated for bringing just a slight improvement in what you have to offer when compared to other competing businesses, as you take a proven business model, invest on it and make it better than your competition.
Sounds boring? Maybe it is. Still, ask yourself: would you rather grow your wealth comfortably, successfully and relatively effortlessly, or going instead through a lot of capital-intensive and time-demanding innovation work that may yield 1 billion dollars as much as it can yield only 1 dollar?
It all depends on your profile, goals and expectations, but maybe, instead of seeking to change the world with ‘the next great thing’, you can just make it better — and your life a lot better in the process as well — by taking something simple and making it work better.