What is your Bucket List for Start-Ups?
Mine are product, people and risk.
• Product – This is something that you or the company that you’re a part of can directly control. But, ask yourself, is it a good product, where and how does it fit in its market, how large is the market, what is its potential Year I through Year 5 share, revenue and EBITDA, is it competitively protected and/or clearly differentiated, is there more of this product or service in the pipeline (or is it a one-trick pony)?
• People – Good, passionate and committed, experienced, caring and capable people with integrity. That’s what I look for. These may sound like obvious boy-scout principles. They are and life should be this simple. But, it isn’t and not everyone fits this mold. Get to know who you’re working with. Not just the founder or CEO, but also those who they are surrounding themselves with.
• Risk – This is all about your risk and the investors’ risk. How is it being funded today? Are there well-stated milestones? Is there money to do what is needed to achieve the milestones? How well understood are the risks, how are they being addressed and how are outside competitive, regulatory and other threats being managed?
Are there any other buckets that I haven't thought of or are there other comments to add my buckets?