How to choose the best business idea

5 points every founder should check in a check list

This is a common story I keep hearing from my students on Entrytoo: I’m a creative person so I’ve come up with dozens of business ideas for a startup. Which one to go with? How to choose the best one, read — the one with more chances for success? Are there technics, that might help you evaluate “chances for success score” for your venture and steps one should take before investing time and/or money into business?

I like to use the old-fashioned assigned value lists and, honestly, this approach proved it’s efficiency more times that I can count on my fingers.

How exactly does it work? I make a list for every idea I want to pursue focusing on 5 major areas:

  1. My personal expertise in the area. Do I have a deep personal knowledge of the subject? Can I relate to the customer’s pain I’m going to solve? This checkpoint is more important than you might initially think (like, Ok, I know nothing about cooking, but it won’t stop me from building a platform for cooking professionals, because I clearly see a growing demand in the market). Even if you can afford hiring a professional to build your product you will be a better first user, if you look at it from other perspective users point of view. And when time comes it’ll be easier to showcase your project for investors, banks or accelerators if you have a personal expertise to highlight.

Well, that’s it. Only 5 points to check but they make you think of your business idea in a totally new way. Moreover you’ll have to make a market research, run some customers’ interview, analyse your strong and weak sides, hunt for advisors or co-founders and actually make first very important steps on the way to get traction. Most importantly you’ll clearly see what ideas are worth committing to, and what is just a wishful thinking.

Anyway, good luck with you startups.

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