Scribd
Upload
177 views2 pages

Quick Screen

This document outlines a quick screening process to evaluate business opportunities across four criteria: 1) Market and margins, assessing the potential size and growth of the target market and gross margins. 2) Competitive advantages, comparing the business's relative costs, distribution channels, barriers to entry, and timing against competitors. 3) Value creation and realization, examining the potential profit, break-even time, cash flow, return on investment, and exit options. 4) Overall potential, considering the timing, competitive advantages, value creation, fit of opportunity, risk and reward balance, and other issues to determine if the opportunity is a "Go", "No Go", or "Go if..."

Uploaded by

TrishaIntrîgüeAarons
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
177 views2 pages

Quick Screen

This document outlines a quick screening process to evaluate business opportunities across four criteria: 1) Market and margins, assessing the potential size and growth of the target market and gross margins. 2) Competitive advantages, comparing the business's relative costs, distribution channels, barriers to entry, and timing against competitors. 3) Value creation and realization, examining the potential profit, break-even time, cash flow, return on investment, and exit options. 4) Overall potential, considering the timing, competitive advantages, value creation, fit of opportunity, risk and reward balance, and other issues to determine if the opportunity is a "Go", "No Go", or "Go if..."

Uploaded by

TrishaIntrîgüeAarons
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 2

Quick Screen

I.
Criterion
Need/want/problem
Customers
Payback to users
Value added or created
Market size
Market growth rate
Gross margin
Overall Potential
1. Market
2. Margins

Market and Margin-Related Issues


Higher Potential

Lower Potential

II.
Competitive Advantages: Relative to the Current and Evolving Set of Competitors
Criterion
Higher Potential
Lower Potential
Fixed and variable costs
Degree of control
prices and cost
channels of supply and distribution
Barriers to competitors entry
proprietary advantage
lead time advantage (product, technology, people,
resources, location)
Service chain
Contractual advantage
Contacts and networks
Overall Potential
1. Costs
2. Channel
3. Barriers to entry
4. Timing
III.
Criterion
Profit after tax
Time to breakeven
Time to positive cash flow
ROI potential
Value
Capitalization requirements
Exit mechanism
Overall value creation potential
1. Timing
2. Profit/free cash flow
3. Exit/liquidity

Value Creation and Realization Issues


Higher Potential

Lower Potential

IV.

1.
2.
3.
4.
5.
6.
7.
a.
b.
c.
d.
e.

Overall Potential
Go

Timing
Competitive advantages
Value creation and realization
Fit: O + R + T
Risk-reward balance
Timing
Other compelling issues: must know or likely to fail

No Go

Go, if

You might also like