How to evaluate your business idea

Beyond the idea: Go beyond the idea or its business name and develop an actionable business plan. For example, if you are looking to venture into the errands or supplies business, come up with a plan that shows how you will run your customer errands, your mode of transport and delivery, and regular drop off and pick up routes. In supplies, come up with a plan that shoes where and how you will source for customer supplies, and how you will fund your local purchasing orders (LPOs). This is what will primarily determine if your idea will work, and whether there are resources to fuel it. “A business plan is what every angel investor or financial institution will look at before investing in it,” says Keziah Muriuki, a Nairobi-based business coach who specialises in start-ups. She says it is also what large scale customers will evaluate before deciding to sign a service deal with you. Your business plan must address key concerns such as sales and marketing, business development strategies, financial forecasts, and, strengths, weaknesses, opportunities and threats.