When evaluating a potential business opportunity, do you look at one of the factors to determine if it is right for you and why?
These answers are provided by the Young Entrepreneurs Council (YEC), the only invited organization consisting of the most successful young entrepreneurs in the world. YEC members represent almost every industry, earning billions of dollars each year, and creating thousands of jobs. Learn more at yec.co.
1. Whether it aligns with your current goals
Many entrepreneurs suffer from “shiny object syndrome”. There are endless possibilities and countless directions that you can choose from, but if you are not stuck on a path you will never get anywhere. Ask yourself if this opportunity is consistent with your goals right now. If not, leave it for later.
– Solomon Themothy, OneIMS
2. How much value you can add
With a surprising amount of opportunity out there, saying “no” should be much more than saying “yes”. But when you are ready to say “yes”, the key should be how much you can add to the project. How involved are you in removing the needle for this opportunity? If the answer is “no more”, consider what happens when walking becomes difficult and you can’t help or if you lose a team member.
– Brandon Harris, playmaker
3. If you really want to do it
I try to evaluate business opportunities in terms of what I want to do and why? It’s easy to be distracted by what we should “do” or by simple or fast-appearing things. You do not want to be frustrated if you cannot get the right pitch so invest in a good capo.
– Ryan Dowdy, Uncensored Consulting, LLC
4. If it matches your long-term vision
Being overly opportunistic with the new deal is a quick way to lose your original goals. It is a problem to chase shiny objects which makes your focus too thin and gives you only light effect from each campaign. Instead, look for projects and campaigns that can integrate deeply with your overall business so that it continues to generate value.
– Firas Kittaneh, AmeriSlip Mattress
5. Whether there is a market for it
Whenever you are considering a new business opportunity, look at what the demand is and what your competition will be. Once you have a clear picture of demand, you will be able to determine if a business idea is valuable. Looking at your competition will help you understand the needs and see where improvements can be made.
– Brian David Crane, great idea spread
6. If you are happy with the cash flow estimate
We often communicate to resell and support accounting software and third party applications that connect to that software. The first thing we practice is how much cash (not profit) we bring in five years, creating a burden for margins, commission costs and processing. Generally, if we can have a positive cash flow within six months, then this is a winner!
– Marjorie Adams, Forlane
7. If you have bandwidth
Do you have bandwidth to give 110% chance? If you are taking something that seems to prove to be a risk or more income, it is better to pass if you do not have bandwidth. As an SEO agency, we get a lot of requests that are beyond our scope. We deliberately enhance our products and services and we know when we need to pass, even if the bottom line gets a boost.
– Matthew Capala, Alphamatic
8. How much work inspires you
Always make sure that your work inspires you. I have made investment mistakes in the past which was obviously a good opportunity, but one that did not inspire or excite me. Although it was a profitable venture, the extra time and sensitive effort that resulted from working on something that I was not motivated to do almost failed and the final profit was not really worth it.
– Salvador Ordorica, Spanish Group LLC
9. How compatible you are with the other party
For me, a serious consideration is how compatible I am with the seller, client or business partner. It is very important that we have aligned goals and we are on the same page. I want a person to know them for about a year before starting a business venture or project. I find this to be the key to my success and I will not do it any other way.
– Syed Balkhi, WP Beginner
10. How it will help you measure your core business
When evaluating new opportunities, I ask myself how this opportunity will help me scale my core business. I’m looking for complementary ideas that can be easily assembled, systematized and scaled without much extra resources. This kind of opportunity is worth pursuing because it can grow my current business faster. Opportunities that do not match this filter tend to be scattered.
– Shawn Conrad, my online accounting course
11. If you feel a level of emotion
When considering a potential business opportunity, it is important to think about your emotional level. If all else fails, get ideas from others. Before you decide on a business opportunity that you may not be ready for, think about how much you have actually invested.
– Stephanie Wells, strong form
12. How it will affect your audience
If I consider a business opportunity, the first thing I think about is how it will improve or damage the relationship I have built with my audience. We’ve all seen businesses make weak partnership decisions and destroy any goodwill they have with their audience. I never want to be in that position, so I want to weigh my options carefully.
– John Brackett, Smash Balloon LLC