Step 3: Assess the Business Feasibility

There is no guarantee or entitlement program that will automatically ensure that your business will be profitable or long-lasting. In fact, many businesses – particularly restaurants – fail within the first three years. Why? The answer often is that the new entrepreneur didn’t plan well or adequately count the cost before they went out on their own.

The point? Determining the real feasibility – the possibility and probability – of your idea and business succeeding is very important to both short- and long-term success.

LIBRARIES IN GREENE COUNTY

Bloomfield-Eastern Greene County Public Library, 384-4125
Jasonville Public Library, 665-2025
Linton Public Library, 847-7802
Worthington Jefferson Township Public Library, 875-3815

Sample Feasibility Analysis Outline

- What exactly is my business idea?

- What are the advantages/disadvantages of this idea?

- What is the potential market for this product/service? Who is my target market?

- What is the financial viability of pursuing this business idea? How much profit can I expect
after expenses?

- What are the risks involves with pursuing this
idea?

- What are the alternative directions I can go from here?

- What alternative direction should I pursue?
Should I move forward?

ONLINE FEASIBILITY ANALYSIS RESOURCES

This feasibility checklist excerpted from FastTrac® NewVenture™, a program of the Kauffman Foundation, offers a method for you to rate your business idea and obtain a score to offer further insight as to the viability.
The Indiana Small Business Development Center offers an interactive feasibility plan analysis through their SmallBizNavigator online ($25) that is very useful.

ONLINE MARKET RESEARCH

CONSULTING & FEEDBACK

Small Business Development Center (SBDC) in Bloomington (free)
Consultations are available through the Agricultural Innovation & Commercialization Center at Purdue University (free)
Rural Entrepreneur Network (cost is $25 per session, located in Bedford)
Service Core of Retired Executives (SCORE) offers free, online answers and advice to your questions.
Contact a professional consultant (for a fee) to conduct an independent and objective analysis or USI in Evansville provides consultant services.

TIP: A great place to start when conducting the initial market research to determine the feasibility of your idea is a trade association for the industry you are entering. Some examples include the Restaurant and Hospitality Association of Indiana or the Indiana Hotel and Lodging Association. Many times these trade associations include key statistics, information on trends and classifications for the industry that can be very helpful. To find your trade association, do an online search with the words ‘trade association’ and the name of your industry. If you need help, contact your librarian.

Is Your Idea Worth Money? Article by Michael Snyder.

Back to Business/Entrepreneurial Resources

Greene County Economic Development Corporation

Step 3: Assess the Business Feasibility