Evaluating Business Ideas
It is a dream of many people to be their own boss and put a personal dream or idea into action to make a living. Many people have been successful by doing something that they like to do in a manner that creates a suitable income for them and their families. The first step is to realistically assess your abilities, resources and the idea itself.
University Extension has some resources available to help people do this. If you have a business idea you have probably run it by your friends but remember, just because you think it’s a good idea doesn’t mean it can make money. You have to ask if anyone else is already doing this and if not there might be a reason why they aren’t. It is essential to be able to identify who your customer is and how you will serve them. This involves knowing the market and what is not being served now.
Prospective business operators have to assess their own talents for business operation. Do you have the interest, desire and energy to devote long hours to this business? Can your family withstand the strains of long absences, missed events and ballgames, that are often out of you control?
Finally you need to organize financial support. There is a misconception about funding for business. There are very few grants available and they are almost all for a very specific sort of service or product that needs to be developed. There are guaranteed loans available and they usually require a 25 to 30% investment by the owner to even begin. Financing needs to be well thought out and organized before it will be successful