Why could non-core markets be a good investment opportunity?

Investors generally seek for a business opportunity which is trending and will have great investment potential in the future but that doesnt mean that businesses catering to non-core markets are not worth investing. A business with a good model and approach can grow whether it operates in core markets or non-core markets.

The investment potential not only depends on the industry trends but also depends on the idea of business and its way of doing things. In developing countries business opportunities emerge with the demands of customers. Not every business idea was successful or in demand from the beginning as everything takes time to make their mark in the society.

A non-core market could be a segment in which a business is functioning on a small scale and catering to a smaller part of the society. For example, a coaching centre providing tuition to 50 students in a particular area is a non-core business opportunity. But if this business opportunity finds investment then the coaching centre can open up in more areas which will help to raise more revenue.

The problem is that investors are not interested in business opportunities which are not core market focused. Thats why small businesses dont develop the way they should. But after digitisation, all types of businesses can seek for investment through online networking portals like BusinessEx. These portals help businesses and investors to find themselves through one stop for their growth.

Why should investors invest in small businesses?

Every business started small in the beginning and they expand with time. But to expand funding is important for all businesses and the best source to get financing is investors. There are segments in all the industries that are undermined by the investors like in food industry in which Tiffin services, caterers, etc are not much preferred by investors as compare to opportunities like food processing or a bakery business.

In todays world, the competition is rising in all sectors so investors must look for investment opportunities in non-core areas to gain more from their investment. A business needs a mentor, incubator and investor to grow whether its working in the non-core market or core market.

If you are having difficulty in finding any business opportunity then you can register on BusinessEx online networking platform to find one.

Success story

A Bengaluru-based lingerie startup Buttercups which was launched in 2014 was also looking for investment for so long but was unable to find one which led to the closure of their two major fitting rooms. After the shutdown of their fitting rooms, the business sales reduced by 50 per cent. But the startup has the potential to grow which caught the investor's eye and now it gets the funding from angel investors to grow their empire back again. The reason behind this investment is that the startup scouts for the investor on an online networking platform just like BusinessEx.

Conclusion

Small businesses catering in non-core areas contains the similar potential as businesses operating in core areas so investors must not differentiate and invest in the business which suits them best. Every business can grow if they have proper mentorship, incubation, investment and business plan. Best way to network with investors, mentors, incubators, lenders and brokers is online networking platform like BusinessEx.