Are Recruitment Agencies and Fragrance Houses Fast Lane Businesses

[Nuno da Silva]

Hello,

Was wondering what your thoughts on both business are when it comes to them becoming a fast lane business.

I previously started a business that failed (online retail business, on a mix of bought, dropshipping models. A mix of marketing costs, high debt, not enough profit margin, Covid, UK cost of living and obviously mistakes done by me, gave me no choice but to liquidate the business.

With that experience from the past I obviously want to make sure I do not do the same mistakes and would like your input on all the points above about two potential businesses and their potential to be a fast lane business.

Recruitment Agencies:
Very little money to start the business
Potential to hire recruiters in time and grow the business
Can be a global business though start needs to be local or national at best
No industry knowledge
Easier to start as no stock is needed, only time and graft to begin with
I have no love per se in the industry or business which might actually be a good thing
High competition and low entry point
Potential of scale if people are hired and trained to a point where you are not needed to run the business
Very small amount of placements needed to make very good money

Fragrance House:
Investment to start can be substantial but £5k-£10k could be enough to start on a very small scale
Substantial knowledge in e-commerce
Lot of different products can be created in time from perfumes, candles, reed diffusers, shower gels, hand wash, etc...
Can be sold in stores, online, wholesalers, distributors, potential to go to other markets such as hotels, spas, home decor, etc...
Connections when it comes to places to sell such as marketplaces and wholesalers, distributors
It will be a private label so brand will be an asset
I love the industry but I am not a perfumer so would look into the business differently (as opposed to doing the perfume, I would be the creative director for lack of a better word)
High Competition from big designer names but more knowledgable needed so not everyone will start due to entry difficulty
I have good differentiation on how the brand will be marketed but fragrance business is quite personal (people only buy if they like it)
Difficult to sell online only as people need to smell so will be a slow starter
Can be sold anywhere and in time if I have stores I can be left to run the business and NOT be IN the business
Potential of scale

With all the points above could one or both be a fast lane business?

I did a WADM Decision Matrix on both and Fragrance House came out in front but by not much: 16 Factors, 723 to 712

Any inputs on this would be appreciated.

Thank you

 

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[Andy Black]

Hello,

Was wondering what your thoughts on both business are when it comes to them becoming a fast lane business.

I previously started a business that failed (online retail business, on a mix of bought, dropshipping models. A mix of marketing costs, high debt, not enough profit margin, Covid, UK cost of living and obviously mistakes done by me, gave me no choice but to liquidate the business.

With that experience from the past I obviously want to make sure I do not do the same mistakes and would like your input on all the points above about two potential businesses and their potential to be a fast lane business.

Recruitment Agencies:
Very little money to start the business
Potential to hire recruiters in time and grow the business
Can be a global business though start needs to be local or national at best
No industry knowledge
Easier to start as no stock is needed, only time and graft to begin with
I have no love per se in the industry or business which might actually be a good thing
High competition and low entry point
Potential of scale if people are hired and trained to a point where you are not needed to run the business
Very small amount of placements needed to make very good money

Fragrance House:
Investment to start can be substantial but £5k-£10k could be enough to start on a very small scale
Substantial knowledge in e-commerce
Lot of different products can be created in time from perfumes, candles, reed diffusers, shower gels, hand wash, etc...
Can be sold in stores, online, wholesalers, distributors, potential to go to other markets such as hotels, spas, home decor, etc...
Connections when it comes to places to sell such as marketplaces and wholesalers, distributors
It will be a private label so brand will be an asset
I love the industry but I am not a perfumer so would look into the business differently (as opposed to doing the perfume, I would be the creative director for lack of a better word)
High Competition from big designer names but more knowledgable needed so not everyone will start due to entry difficulty
I have good differentiation on how the brand will be marketed but fragrance business is quite personal (people only buy if they like it)
Difficult to sell online only as people need to smell so will be a slow starter
Can be sold anywhere and in time if I have stores I can be left to run the business and NOT be IN the business
Potential of scale

With all the points above could one or both be a fast lane business?

I did a WADM Decision Matrix on both and Fragrance House came out in front but by not much: 16 Factors, 723 to 712

Any inputs on this would be appreciated.

Thank you

Which can you make a sale for this week? If neither, then what else could you sell this week?

 

[Nuno da Silva]

Which can you make a sale for this week? If neither, then what else could you sell this week?

This week neither as I would need to set up from scratch but if all being equal could both be a fast lane business or is one more suited to become a fast lane business? I have a job now (slowlane) so I don't need to sell this week per se and would take 3 to 4 months to set up everything properly.

Recruitment Agency would be faster to set up (possibly 2 or 3 weeks max) and Fragrance House would take 3 to 4 months to get customised fragrances and manufacture the products.

 

[Andy Black]

This week neither as I would need to set up from scratch but if all being equal could both be a fast lane business or is one more suited to become a fast lane business? I have a job now (slowlane) so I don't need to sell this week per se and would take 3 to 4 months to set up everything properly.

Recruitment Agency would be faster to set up (possibly 2 or 3 weeks max) and Fragrance House would take 3 to 4 months to get customised fragrances and manufacture the products.

I like the concept of product-founder fit. What can *you* sell this week based on your current knowledge, skills, and resources? It will be different from person to person, and it should change for each person over time. (The sale doesn't have to be in a week, but it's a good thought exercise that makes you focus on making sales rather than building stuff or creating plans.)

What knowledge and connections do you already have that can help you setup a recruitment agency or a fragrance house?

Can you "Grow what you know"? What skills, experience, and resources do you already have that you start a fledgling business around?

What currently pays your mortgage or rent? You mentioned a job. That means a business is willing to pay you to solve problems they have. Are there other businesses that would pay you to solve those problems?

Can you start where you already are?

 

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[FastlaneJonah]

Hello,

Was wondering what your thoughts on both business are when it comes to them becoming a fast lane business.

I previously started a business that failed (online retail business, on a mix of bought, dropshipping models. A mix of marketing costs, high debt, not enough profit margin, Covid, UK cost of living and obviously mistakes done by me, gave me no choice but to liquidate the business.

With that experience from the past I obviously want to make sure I do not do the same mistakes and would like your input on all the points above about two potential businesses and their potential to be a fast lane business.

Recruitment Agencies:
Very little money to start the business
Potential to hire recruiters in time and grow the business
Can be a global business though start needs to be local or national at best
No industry knowledge
Easier to start as no stock is needed, only time and graft to begin with
I have no love per se in the industry or business which might actually be a good thing
High competition and low entry point
Potential of scale if people are hired and trained to a point where you are not needed to run the business
Very small amount of placements needed to make very good money

Fragrance House:
Investment to start can be substantial but £5k-£10k could be enough to start on a very small scale
Substantial knowledge in e-commerce
Lot of different products can be created in time from perfumes, candles, reed diffusers, shower gels, hand wash, etc...
Can be sold in stores, online, wholesalers, distributors, potential to go to other markets such as hotels, spas, home decor, etc...
Connections when it comes to places to sell such as marketplaces and wholesalers, distributors
It will be a private label so brand will be an asset
I love the industry but I am not a perfumer so would look into the business differently (as opposed to doing the perfume, I would be the creative director for lack of a better word)
High Competition from big designer names but more knowledgable needed so not everyone will start due to entry difficulty
I have good differentiation on how the brand will be marketed but fragrance business is quite personal (people only buy if they like it)
Difficult to sell online only as people need to smell so will be a slow starter
Can be sold anywhere and in time if I have stores I can be left to run the business and NOT be IN the business
Potential of scale

With all the points above could one or both be a fast lane business?

I did a WADM Decision Matrix on both and Fragrance House came out in front but by not much: 16 Factors, 723 to 712

Any inputs on this would be appreciated.

Thank you

Hey, great that you're coming up with ideas, that's the first step!

I think you need to analyze how well both business ideas work with the CENTS framework. What needs do recruitment agencies or fragrance houses fill? Why should people pick your fragrance products?

What I will do in the nearby future is analyze what needs I can fill in this world and then I will try to come up with a business model that respects the CENTS framework, so that it has the potential to make massive money and then I'll focus on learning the basics, mastering the products/services that I sell, etc.

 

[Andy Black]

Hey, great that you're coming up with ideas, that's the first step!

I think you need to analyze how well both business ideas work with the CENTS framework. What needs do recruitment agencies or fragrance houses fill? Why should people pick your fragrance products?

What I will do in the nearby future is analyze what needs I can fill in this world and then I will try to come up with a business model that respects the CENTS framework, so that it has the potential to make massive money and then I'll focus on learning the basics, mastering the products/services that I sell, etc.

I'd personally do less analysis and research and initially just try and help someone and/or make a sale.

 

[Nuno da Silva]

I like the concept of product-founder fit. What can *you* sell this week based on your current knowledge, skills, and resources? It will be different from person to person, and it should change for each person over time. (The sale doesn't have to be in a week, but it's a good thought exercise that makes you focus on making sales rather than building stuff or creating plans.)

What knowledge and connections do you already have that can help you setup a recruitment agency or a fragrance house?

Can you "Grow what you know"? What skills, experience, and resources do you already have that you start a fledgling business around?

What currently pays your mortgage or rent? You mentioned a job. That means a business is willing to pay you to solve problems they have. Are there other businesses that would pay you to solve those problems?

Can you start where you already are?

Thank you Andy,

I have vast experience in e-commerce (Fragrance House) and used to sell plenty of them in my dropshipping business. I also have a lot of connections where I could sell my products such as marketplaces, distributors, wholesalers, etc...from my previous job, so when it comes to connections and knowledge the Fragrance House wins comfortably.

I have no experience in recruitment, however it is a business that needs no stock so 'cheaper' to start as no product manufacturing is needed and can of course be started much faster. I am good at building relationships so that could be paramount for sourcing clients.

I work as a marketing manager but would not be interested in starting a marketing agency (though it probably would make more sense than a recruitment agency) as at least I have some experience in that but the cost of setting up a marketing agency is much higher than a recruitment agency I believe and I would even say the Fragrance House as to win business I would need to spend quite a bit on marketing. The Fragrance I can rely on marketplaces to start with.

Also for a marketing agency to work I would need to hire staff pretty quickly as otherwise it would not be a fast lane business correct?

 

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[Andy Black]

Thank you Andy,

I have vast experience in e-commerce (Fragrance House) and used to sell plenty of them in my dropshipping business. I also have a lot of connections where I could sell my products such as marketplaces, distributors, wholesalers, etc...from my previous job, so when it comes to connections and knowledge the Fragrance House wins comfortably.

I have no experience in recruitment, however it is a business that needs no stock so 'cheaper' to start as no product manufacturing is needed and can of course be started much faster. I am good at building relationships so that could be paramount for sourcing clients.

I work as a marketing manager but would not be interested in starting a marketing agency (though it probably would make more sense than a recruitment agency) as at least I have some experience in that but the cost of setting up a marketing agency is much higher than a recruitment agency I believe and I would even say the Fragrance House as to win business I would need to spend quite a bit on marketing. The Fragrance I can rely on marketplaces to start with.

Also for a marketing agency to work I would need to hire staff pretty quickly as otherwise it would not be a fast lane business correct?

Why setup a marketing agency before you get clients? Get fragrance eCommerce clients and do the marketing for them? If it scales you can use the revenue to build a team.

From what you've written I'd focus on growing what you know and drop the recruitment agency thoughts.

 

[Nuno da Silva]

Hey, great that you're coming up with ideas, that's the first step!

I think you need to analyze how well both business ideas work with the CENTS framework. What needs do recruitment agencies or fragrance houses fill? Why should people pick your fragrance products?

What I will do in the nearby future is analyze what needs I can fill in this world and then I will try to come up with a business model that respects the CENTS framework, so that it has the potential to make massive money and then I'll focus on learning the basics, mastering the products/services that I sell, etc.

Thank you Jonah,

Well not recruitment agencies and fragrances houses have their own needs.

People need jobs and clients need to find people for their roles so a recruitment agency that have its needs.

The fragrance house is more about how to make one feel.

Not to sound to pompous this is what I wrote about my Fragrance House:

‘Atenai’ exists for all those who wander but are never lost; for the travellers, those who love exploring the world, and the ones who live life to the fullest.
Through a single whiff of our fragrances, we want to bring the scents of different cultures and destinations to people's lives. The simple yet elegant fragrances evoke memories of travel and adventure and inspire the wearers to explore new places.

This doesn't go to the question you pose as if what i do is a NEED but people do buy fragrances, they do buy products for their house such as candles, reed diffusers etc...and therefore there is a need for those products. If that makes it more or less important then for example finding a job for someone maybe not but I assume it is still a need that can grow globally.

 

[Nuno da Silva]

Why setup a marketing agency before you get clients? Get fragrance eCommerce clients and do the marketing for them? If it scales you can use the revenue to build a team.

From what you've written I'd focus on growing what you know and drop the recruitment agency thoughts.

Thank you Andy,

So from what I read, you suggest that either I build the Fragrance House (sell my own products on e-commerce which I have a lot of knowledge and connections) or grow the Marketing side and offer my services as a Marketing Agency (even if it is just me to start with) in the Fragrances Niche and then build a team for Marketing Agency?

Also can a Marketing Agency be a Fast lane Business. I am pretty sure the Fragrance House can but a marketing Agency will require a lot of manpower to grow, expand and make me a fast lane business life, is that correct?

 

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[Andy Black]

Thank you Andy,

So from what I read, you suggest that either I build the Fragrance House (sell my own products on e-commerce which I have a lot of knowledge and connections) or grow the Marketing side and offer my services as a Marketing Agency (even if it is just me to start with) in the Fragrances Niche and then build a team for Marketing Agency?

Also can a Marketing Agency be a Fast lane Business. I am pretty sure the Fragrance House can but a marketing Agency will require a lot of manpower to grow, expand and make me a fast lane business life, is that correct?

I suggest not being so concerned about CENTS and whether it's Fastlane or not.

With your skillset my immediate thought is to be a gun for hire helping fragrance houses (I'm not even sure what they are) with their marketing. Get good at it and maybe (also?) start selling your own stuff or scale some other way.

Your path reveals itself when you walk it, not before.

 

[Nuno da Silva]

I suggest not being so concerned about CENTS and whether it's Fastlane or not.

With your skillset my immediate thought is to be a gun for hire helping fragrance houses (I'm not even sure what they are) with their marketing. Get good at it and maybe (also?) start selling your own stuff or scale some other way.

Your path reveals itself when you walk it, not before.

Thank you Andy, understood.

Fragrance Houses are basically perfume companies who also sell home products and personal perfumed products, you can think of Jo Malone or Molton Brown in the UK.

Thank you,