You have this very creative and innovative business idea which may seem like the perfect opportunity to increase your revenue and grow your organization. But, have you stopped to consider what the risks are in the new venture? Sure, it may appear like a good idea now, but in the days and weeks following jumping in, fundamental flaws may arise, and by then it may be too late for your business. That’s why you should ask these questions before journeying into startup adventure.
What are you giving up?
Any time a new shiny object comes across your desk, there is always an associated cost of doing business. What are you going to lose by spending time on a new project instead of your existing business? How much are you prepared to lose by shifting your focus to something else? Either way, you’re losing something, so is it worth it?
Does my idea meet a need?
You need to make sure that your idea is servicing a need. Is there a gap in the market? Why should your target market and the wider population care about this idea? At the end of the day, if there’s no audience, there’s no million-naira idea.
Is this feasible?
You need to determine if you can afford to build out this business idea if your family or anyone else close to you can handle this change and whether you have the drive and determination to go the distance. It often is just about the idea, with little thought to the reality.
Does my product add value to the customer?
If not, don’t do it. So, you shouldn’t be in business unless you are adding value to people’s lives that they didn’t have before.
Can you see yourself doing this for years?
The beauty of entrepreneurship is that you can see the future. Literally, entrepreneurs see the world with their product or service solving a problem that exists today. What we see less well are the road bumps: problems and inevitable challenges that will shake your resolve. You’ll need to be willing to commit if you want to see it through.
Can it be monetized?
Entrepreneurs and creative individuals come up with grand ideas. Sometimes these ideas even solve important problems. While the good of the world is a great motivating factor, the most important element is whether or not it can be monetized. If your idea can’t generate income, move on to another that can.
Are you motivated or just passionate?
It’s important to know the difference between being motivated by something and being passionate about it. The obvious difference is that passion is fleeting and one should strive to find long-term motivators in one’s business.