Small Business Center Guide: So you have a great idea!

There are three kinds of ideas:

.....1. An idea that addressees an existing need that has previously gone unsatisfied.
.....2. An idea that addresses an existing need that is better than the alternatives.
.....3. An idea that is so revolutionary that it creates its own need.

If you believe you have a great idea, into which category does it fall? Depending on the category, there will b

e unique opportunities, advantages and challenges to consider.

However, the one question you should ask yourself over and over again is: “How good is my idea?” This requires a careful evaluation on the part of you, the entrepreneur, before investing time, money and/or energy in developing a business. Often times a “good idea” fails in the marketplace because there were glitches or snags that were overlooked in the early stages of planning. A basic evaluation of an idea or concept can help identify potential problems before they occur and/or save you form committing resources to something that won’t work.

Once you have formulated your idea, take time to review each component of your idea before attempting to develop it into a marketable product/service. This review process will help you identify the feasibility of the idea, thus providing insight on what will or should happen if the idea is developed into a business. Failure to do this will no doubt increase your chances for failure.

When evaluating your idea, you should be able to classify it in one of three categories:

.....Simple: An idea that you could implement now with out much expense or delay.
.....Moderate: An idea that could probably be realized in six to twelve months,
..... with some outlay of capital.
.....Difficult: An idea that would take a year or more to develop into a viabl
..... business. Often venture capitalists or partners are needed to suppl
..... adequate financial support.

Knowing what level your idea falls into will help you determine how much time and research you must spend prior to developing your idea into a business.

The great thing about ideas is that they are available to anyone. Almost any reasonably intelligent person who is aware of what is going on in their society, community and industry and is willing to immerse themselves in study, thought, research and creativity can make an assessment of their idea. Thus, they can determine with reasonable accuracy the feasibility of the idea before they make an investment of capital.