Embed Size (px)
Citation preview
Indiana Small Business Development Center
Central ISBDC
Doug Boehme, Regional Director
Evaluating Your Business Idea
• Personal issues
• Market evaluation
• Financial analysis
Workbook: Steps 1 – 3 and 8 *Case Study
1. Personal considerations
• Can you make the necessary changes?
• Do you have self-discipline?
• How are your organizational skills?
• Do you have leadership skills?
Skills, Knowledge and Experience Specific to Your
Industry?
• May be critical to your success
• Do your research
• Identify needs and develop a plan:– Training and education– Work experience
Personal Financial Statement• Assets – cash, securities, receivables,
vehicles, real estate, etc.
• Liabilities – debts, mortgages, taxes due, guarantees, etc.
• Net Worth (hopefully it’s positive)
2. Market Evaluation• Define your market
• Market potential (total market size)?
• Market share estimate or sales forecast?
• Market trends/outlook?
3. Financial Analysis
• Detailed list of start-up costs
• Operating budget
• Break-even analysis
• Brief description of possible financing sources
• Bottom Line – will the business make money?
Possible Financing Sources
• Owner’s resources
• Family & friends
• Bank loan (i.e. SBA)
• Microloan
The Grant Myth
• Contrary to popular belief, there is no “free money” to help you start your business
• Exceptions:– SBIR/STTR programs– Training grants– Tax abatements
Start Working With the ISBDC
• Take the Online Assessment– http://www.isbdc.org
• Businesses One Year Old or Greater– Receive Consulting
• Businesses Less Than One Year Old– Frequently Referred To A Startup Workshop– Receives Consulting After Attending
Workshop
If you have additional questions on this topic, please contact:
Doug BoehmeRegional DirectorCentral Indiana [email protected] Monument Circle, Suite 1950Indianapolis, IN 46201www.isbdc.org
The Small Business Development Center (SBDC) is partially funded by the U.S. Small Business Administration under cooperative agreement number 4-603001-Z-0015-19. The support given by the U.S. Small Business Administration through such funding does not constitute an expressed or implied endorsement of co-sponsor(s) or participants’ opinions, products or services. Any opinions, findings and conclusions or recommendations expressed in this publication are those of the author(s) and do not necessarily reflect the views of
the U.S. Small Business Administration. SBDC programs are nondiscriminatory and available to individuals with disabilities.
