Startup Idea Rubric

First, the idea needs to be immediately valuable to a specific customer and be better substantially than all existing solutions. The startup has no credibility and no real distribution mechanism, so adding value is very important. Hopefully, this value solves a painpoint and is not a vitamin, to ensure quicker distribution. Second, ideally the competitors don’t exist (new market), are weak, or can be disrupted by not having to compete directly. Furthermore, no credible competitor should be able to grow into the market. Third, the company should be able to get distribution quickly (no long sales cycle and regulation) and build up barriers of entry quickly so competitors can not easily move into the market and it can get the advantages of being a market leader. Fourth, it should not be bottlenecked by anything. Fifth, the market should have a high TAM and be growing. Sixth, the market should be positioned strategically to capture other adjacent markets that will be enabled. Seventh, the founders should have passion for the market and have some sort of comparative advantage.

Bonus if area employees and investors can get motivated and feel like they are having an impact: i.e. education