The name of billionaire investor Warren Buffett gets bandied around a lot. But with a vast fortune under his belt, can the legendary stock picker really offer much inspiration to a private investor with far, far more modest means?

I think so. Even with just £1,000 to invest, here are some lessons I think a savvy investor could usefully learn from the ‘Sage of Omaha’.

Spotting great opportunities

Good opportunities in the stock market are not necessarily as rare as people may think. But great ones come around only occasionally. Indeed, Buffett has attributed most of his success to one outstanding investment every five years, or so.

Whether with £1,000 or £1m, the benefit of being able to spot and act on great opportunities – a combination of a brilliant business with an attractive share price – can help to produce strong returns.

Over time, even from a fairly modest financial base, that can add up. Growing £1,000 at a compound annual rate of 19% (close to what Buffett has managed over time with the per-share book value of Berkshire Hathaway) for 50 years would result in a portfolio valued just shy of £6m.

Seeing time as a servant, not a master

Once he owns a share, does Buffett then wait for the next piece of good news then sell it in a matter of weeks or months for a quick buck?

No. Buffett is the very archetype of the long-term investor.

His approach is to buy shares with the intention of holding them for years, or even decades.

His shareholding in Coca-Cola (LSE: KO) is a good example of this approach in practice. The company operates in a market that is likely to see high customer demand over the long run. Yes, sugary soft drinks are becoming less popular and that is a risk to Coca-Cola’s profits. But the company has been continually updating its product portfolio to stay abreast of evolving consumer tastes.

By building long-term demand, thanks to proprietary formulations and unique brands, the drinks company has been able to strengthen customer loyalty. That gives it pricing power, which, in turn, has allowed it to raise its dividend per share annually for over half a century.

That set of characteristics has meant the Coca-Cola share price has soared over the decades Buffett has owned it. Not only that, but the dividend growth means that Buffett now gets back over half his original investment every year in dividends alone.

By making great investments then letting time run its course, even a modest investment can potentially offer excellent returns.

Sticking to what you know

Another striking thing about Coca-Cola, as with many Buffett investments, is that it was not some little-known company with difficult to understand technology when he bought it.

It was a well-established, proven business that was widely known. In fact, that helps explain its appeal to Buffett. He has repeatedly discussed why he likes to stay inside his “circle of competence” when investing. I see that as a useful lesson for any investor.