Entrepreneurs are always thinking of new ways to make money, and ideas can strike at any time. They can happen while working on another project, while driving, showering, or just lying in bed. The problem then is not the lack of business ideas, but rather, deciding which one to pursue first.
There are three things that entrepreneurs should consider when assessing the potential of any new ideas. These include:
The first question addresses whether or not the opportunity is large enough to get a good return on their investment of time, power, money and more. If the opportunity seems small, then it's most likely not worth pursuing.
The next question is how intricate is the opportunity? Would it be difficult to carry out? Do you need other individuals or another company's cooperation, whether they buy on or not? Does it need “moving parts” to work in accord? If it is too difficult then you might want to consider another opportunity.
You have to know how many resources are needed to carry it out. If the amount of resources is too much, the entrepreneur will not be able to build the resources and returns will diminish.
Take, for instance, an idea for a new and improved theme park. It might seem like a fantastic idea, but you would need millions of dollars and thousands of employees to make it a reality. It most likely outweighs the resource potential of an entrepreneur or small company and could only be carried out by larger public companies.
Continually coming up with thrilling ideas is the trademark of most entrepreneurs. Picking the right one takes careful thinking, which is critical as to whether the venture is successful or not. After thinking up an idea, the next step is to put together a professional business plan to present to would-be investors.