Page 224 - 6 Secrets to Startup Success

Appendix A: Startup Readiness Tool 203

M8. What fundamental assumptions about the market opportunity are
most critical to your success? How can you test these assumptions?

M9. What are your most pressing questions to answer regarding your
targeted customers or the overall market opportunity?

Math Questions

MT1. Describe your vision and business model (including options
under consideration).

MT2. How will you produce and distribute your product or service?
MT3. What capabilities will be required? (Consider technology,

skills, processes, “know-how,” etc.)
MT4. What capabilities/skills should you own vs. outsource? Why?
MT5. What resources/investments will be required toward what ex-

pected revenues, along what timeline? What are strengths/con-
cerns with the financial projections?
MT6. What are projected cash levels (best-, mid-, worst-case) over
time?
MT7. What are key financial indicators to measure and manage going
forward?
MT8. What financial controls/systems are in place, or planned?
MT9. What are highest-probability/highest-impact risks to the plan?
How will these be managed (preventive, contingent actions)?
MT10. Based on your financial picture and personal needs/goals,
what total startup funds are necessary to get the business off
the ground?

9 Is this enough to cover startup costs in a worst-case
scenario?

American Management Association • www.amanet.org