3 Questions to Ask Before You Start a Company

Adam Lilling is a Serial Entrepreneur & Investor (http://www.lilling.com/). In this video he discusses three questions to ask yourself before you start a company.

  1. Does it feel sexy?
  2. Do you have customer interest?
  3. Availability of resources?

I've started several companies in in the last twenty years and I've mentored a lot of young entrepreneurs. And I find that if they just asked themselves three questions and it gives them and me a good understanding of whether or not they're ready to start a company. The first is does it feel sexy. And I know that sounds funny but really, when I was a kid I used to sit in front of the mirror and look at, you know, pretend I won the Grammys for Best New Artist and it felt great. But the work that it would take to get there is very different.

So, if you're still at that point where it feels so sexy that you just want todo it because the grass is greener, then you should stop and maybe find somebody who has a company, go into their offices, understand what it really is going to take. It will save you a lot of time and a lot of money.

Also, do you have a customer interest? Is there somebody who wants to buy your product? Who would be interested in buying your product? Just because you think it's a great idea, it would be good to have some somebody who thinks, they think it's a great idea that would buy it.

And the third is, do you have resources? Do you have the availability of resources where somebody or some group of people will help you get to the finish line to create some minimum viable products that you can actually sell to this person?

If you don't even know how you're going to get there, it's great to start but I wouldn't quit your day job until you figure it out. Here's how I'm going to build that first product. It'll be much easier to decide whether or not you’re ready to start this company if you just think of those three things. 'Cause if it feels good, if it feels right, if you've got the interest and if you've got the people, it's going to make it a lot easier for you to win.