1) Why is it that you are getting into this line of business?
Is it because you have sensed an opportunity in the market that other people havent noticed yet? or do you think that there is a need in the market that has not been addressed? or is it not being addressed efficiently or effectively, therefore you see an opportunity ?
2) What is the opportunity that you have seen in the Market?
What is the opportunity that you seen in the market which you believe that you can address to the satisfaction of your potential customers?
3) Who has this need?
Who exactly has this need? Who are your potential customers? who are the ppl who are willing to buy your product or service? The demography of the customers? The addressable market for your product or service ?
4) How is this need currently being addressed?
Why do you think that your way of addressing this need is better than how its being addressed currently?
Why is it that you are better?
5) Where are your potential customers? and how do you plan to reach them?
Where are your customers located? in your city/country? This is important to address to understand how expensive it is for you to reach your potiential customers?
6) How BIG is the opportunity ? How attractive is it?
Most of us who are willing to start a business generally are aware of the market size... What i think is more important is to understand the market that you can cater to ... You might be in a business which a 1Billion $ industry, but the reality is that you cannot address the whole market ... Ask yourself what is the addressable market and how attractive it is (in terms or Profitability ) ?
Example: Consider that you want to enter the Tshirt or the trouser market.. Theres absolutely no doubt that the market size very very large, but the profit potential in this market is not very large because the extent of competition of in this market is very very high and hence the profit potential of the business is low . . .
7) How much capital do you need to get this business off the ground?
But what you really need to address is "how much capital to do you need until your business will start generating positive cashflows?"
This will help you determine to where you can go and seek your capital from (Angel investors, VCs or friends and family)..
Its also very important to remember that cash in a business is not the end, but only the means to the end.. Most Entrepreneurs think that cash is every thing, infact cash is only the beginning your hardest problems ...
8) Can you Do IT?
This according to me is the most important question.. Do you as the Entrepreneur / founder have the energy, excitement to do it? more importantly does you team have the same energy, enthusiasm, talent and capability to do it ?
Entrepreneurs must be ready to jump in the deep end of the pool with out knowing how to swim, thats the exciting challenge as an Entrepreneur ...
Pls do feel free to post you comments here or mail me @ firstname.lastname@example.org