You have an idea for a new business, a new app, service or product or want to push your existing business in a new direction and you can taste the excitement. You’ve talked to friends and family and their responses are encouraging.
But, as Shark Tank followers know, not all ideas turn into good businesses. 50% of all businesses fail in the first year but as depressing as that might sound, it means that half succeed. There are any number of reasons why some fail, some succeed and a few soar but there is no simple formula that guarantees success.
Working with start-up founders and established companies looking to branch out, I found the following exercise a good first step in evaluating whether you can turn that napkin into a successful business. There are many excellent guides that will walk you through creating a business plan, or you can hire an expert to write one for you, but don’t. Our outline will help you do the basic research and analysis that will help you determine whether your idea is viable and whether this is the right time to proceed.
PHASE I ON THE ROAD FROM NAPKIN TO SUCCESS:
Take a single piece of paper and create your ‘pitch’, an outline of 6 key factors that will help you determine if your idea is an opportunity.