Enterprise Evergreen

How To Evaluate Your Business Idea And Make It A Success

how to evaluate your business idea

Getting an idea and dreaming of growing it into a business is something we all have been through at some point or another. Some stick to making it a reality, whilst others fade away. But it is only a matter of time before you realise two things –

1. The idea you have is in your mind only

2. Starting a business is a lot of work in itself (even the smallest start-up)

When I started careergeekblog.com in 2011 I didn’t think of it as a business, yet I evaluated the idea to see if it’s worth starting a careers blog, whether I had the time to write the articles, share the knowledge and more importantly, if anybody would read it.

And in the same way, you need to evaluate your business idea. In this article I will show you two resources you can use to evaluate your business idea and one very good resource to start-up.

So, how do you evaluate a business idea?

The very first question you need to answer is whether you have the passion, time and determination to see the idea through. Think about it carefully; I have seen so many start-ups in the career industry fail because the founders couldn’t see it through. You don’t need to be working on a start-up full-time at the beginning. You can work on it 3 hours in the evening after your job; this way you can keep your job to pay your bills and work on the start-up in your free time to slowly make it a reality.

It will mean your revenue generation will be slow the start, but its a trade-off you have to make. Once you get over the first hurdle, the rest is purely business.

Questions like, ‘do you have the skill to do it?’ or ‘have you thought about what resources you will need?’ and many more, are part of the evaluation process.

MOO.com have put together this interactive flowchart to help you evaluate your business idea. I have put it through a test and strongly recommend it to anyone. It questions your every step and urges you to think about various things like resources, customers, skills, sales, markets, etc. Some things that a passionate entrepreneur may not necessarily think about. Because he or she is more focussed on the idea.

how to evaluate your business idea

Click on the image to use the interactive flowchart to evaluate your business idea.

OK, so you have evaluated your business idea and now want to make it a reality.

On the trip to starting a successful business you will come across various hurdles, a lot of them come in the form and shape of documents and buzzwords. For example, ‘do you have a business plan?’ , ‘what is your marketing plan?’ or ‘are you looking to hire talent?’ – all of which make you answer the same way, ‘I will think about it later’. – CLASSIC START-UP FOUNDER.

You cannot start-up that way, because that is starting to fail! Instead, here are some resources to help you get your start-up dream in order – these have been taken from the MOO Startup Toolkit.

Writing A Business Plan

Even if you don’t need investment, it’s often a good idea to write a business plan to ensure you stay on the right track. When you’re faced with a hundred (or more!) decisions to make and paths to choose, and you find that you can’t actually remember what your aims actually are, a business plan should help to reel you back in.

If you need funding, potential investors will want to know what they’re giving their money to, and Read more…

What Makes a Business Truly Remarkable?

Having an ok business is ok. You’ve branched out, made the leap into being a business owner, and you’ll be doing what you love every day, and that’s ok.

But what about being remarkable? Running a business that’s leagues better than ok. A business that inspires people to leave the 9-5 herd and go out alone, just like you did. A business that does more, and is more, than it has to be. A business that isn’t just a business, but something that people eat, sleep, breathe, and live. A remarkable business.

Think of the most remarkable person you know. What is it that sets them apart from the other people in your life? Whether it’s because they go the extra mile, they’re Read more…

Marketing Your Start-up on a Tight Budget

The way you market your business can shape everything – from the way your brand is perceived, to the customers you reach, and (ultimately!) how well you do: without being able to reach your customers (and potential customers), you probably won’t have a business for long.

However, marketing can get pretty pricey. You only have to turn on the TV to see the lengths that companies go to in order to promote their brands – and when you’re running a start-up, excessive spending isn’t (usually!) a good thing.

Your marketing plans should encompass everything – from your brand and your USPs, through to your story… Read more…

Here is the full list of resources you can gain access to by clicking on the image below.

startup business toolkit

So now that you know how to evaluate your business idea and with links to some business start-up resources, I hope you can dream your dream and see if it is worth taking the plunge.

Sometimes failure is as sweet as success, because the lessons you learn are invaluable. Not that I suggest you should fail.

If you liked this article, share it with your network by using the social media buttons below – you might just help someone! And if possible, thank MOO.com for creating these rockstar resources for you.

1 Comment

  • Hi Faizan,

    A really useful post, particularly the advice on writing a business plan regardless of whether you need funding, something many people miss out in the excitement of getting their new venture off the ground. It’s also important to ensure legal contracts are in place from the outset, in many cases trying to back track is more expensive the initially hiring a lawyer.

    We recently wrote quite a detailed guide to this, it may prove a useful addition to your readers:
    https://www.wrighthassall.co.uk/knowledge/legal-guides/2016/02/22/go-guide-starting-business/

    It covers legal aspects, people, raising finance and the company structure.