The odds can be against you as you approach the realms of free enterprise. Aligning yourself correctly in a market space with a market-driven idea is the first step to enhancing your likelihood of arriving at a successful outcome. Assembling a good team of players and attracting capital is next.

Consider the following questions when you are looking for seed funding and startup capital. You will need to know the answers to these questions when you ask someone for money.

1. What need in the marketplace have you identified?

2. What is your business and how does it provide a solution to the need?

3. How much money is spent in the market you’re approaching?

4. How does your business make money?

5. How much money is your business going to make in relation to the market?

6. How are you going to attract customers?

7. What percent of revenues will you dedicate to your marketing budget?

8. Who is the management team?

9. Why is your management team qualified to do the job?

10. Who is the competition?

11. How much money does each of your competitors make?

12. What differentiates you from your competition?

13. How are you going to beat the competition?

14. How much money are you raising?

15. What are you going to use the money for?

16. What and when is the exit?

17. How much do the investors get?

As you strive to answer these questions, you will find that it can be very difficult. You will notice quickly where your inadequacies lie. Money mainly wants to know how it gets paid back and your job as an entrepreneur is to illustrate how that happens.

I remember the first day I tried my new knowledge about how to present a deal out on a venture capital group. I had been mentored by a fabulous capital raiser. Using his method of clearly painting the picture of how the money makes money, I secured a $1 Million subscription agreement in 5 minutes… it only took 12 months of preparation and relationship building!

Can you help me start a business? I have a great idea; all that I need is…

This is a common question. The dreams are big. The vision is great. But, what are the factors that will determine success?

There are a number of factors; however, here are three that will help you make a quick assessment to determine just how ready are.

1. Experience – Have you built a business before? Being an entrepreneur is like being a doctor, or lawyer, or a plumber. The more knowledgeable you are about how things work, the more likely you are to succeed. I read one report that noted that 85 percent of people age 45 or older succeed when starting a new business.

1. Partnering with Friends – Business is the ultimate refiners fire. Perhaps you’ve heard the old adage: “Never hire friends or family.” This phrase has become popular for a reason. When forming partnerships, you want the other party to provide a critical value component to the future of the business. Most partnerships come unraveled due to relationship issues.

1. Access to Capital – It costs a lot of money to get an idea off the ground. Oh, there are ways to get businesses going without a lot of capital, but your success is determined by your connections; that means that you can become skilled at putting together the missing pieces by forming relationships and joint venturing instead of using cash. If you have an empty bank account, no credit, and no key relationships, you will need to adjust your entrepreneurial idea to fit your capabilities.

These three points help me quickly assess the likelihood of success when a potential client approaches me for help. The longer I coach businesses on sequence and marketing, the more I see the wisdom in these points.

Fortunately, with the right help and advice, most people can become a great entrepreneur if they are prepared and willing to do what it really takes to succeed.