Search your soul

If you're going to be your own boss, you may as well go for what makes you happy. What is it that you would love to do? What special skills or talents do you have? Could those unique abilities become the foundation of a business? Would people pay for what you have to offer? Do not consider going into any business that you're not wildly passionate about. Otherwise, keep your day job. You can test the waters by starting your business part-time to gauge the real profit potential.

I recommend: Begin your research at Entrepreneur magazine's special online section on starting a business. Also check out these tips from small business marketing expert Tom Egelhoff.

Solve a problem

Those that solve problems can wind up wealthy. Make use of the information overload. What do you keep hearing on the news, or reading in newspapers and magazines? These are clues about market trends, fads, and business opportunities. Think about what sort of things people want done, but don't want to, or don't have time to do them. If you're already in business, you can discover unserved niches by talking to customers, asking them what they would add or change about your business. Put that question to employees too. The answers could be quite rewarding.

I recommend: Check out the beginners guide to everything that's involved in finding the perfect new business ideas from business software maker Planware Other good sources are the blogs Springwise, and CoolBusinessIdeas.com.

Fix what's broken

So often existing products or services fill a need but not an entire need. Where are the gaps? What can you do better, how can you go a step further? You may sell a product that is sold down the street, but perhaps you choose to deliver it for a small fee or you offer a wider, specialized variation on the theme or you customize it. You must be unique in some way.

I recommend: Tap into what others are saying on the topic at the Small Business Ideas Forum.