One of the good question and very complex too. Here are my top 12:
- Strong CEO and Team - This is 50% as a strong team can fix everything else. And a CEO that has built and exited a company before, ideally. Young, new entrepreneurs will need a stronger team, advisers and board.
- Large market opportunity. Usually, $1 billion plus in 5 year
- Clear market entry strategy, going after a niche (small market) and expanding into other niches or broader market after 1–2 years to make product and other infrastructure robust.
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This is a simple but good question, but does depend on what your definition of “successful” is, too. A lifestyle business is successful if it provides a decent living for the owner. Most freelancers, consultants and coaches are this kind of business. So are most local retail stores. They sell commodity products and services like millions of others.
To me, a successful business is one that can reach multi-millions in revenue, create jobs and has good margins for profit that can be reinvested to grow the business.
There are too many to list individually, but most come from having someone with experience. People often confuse smart with experienced and think they can do anything new well. Science and logic says this is not possible with anything complex.
Few things are as complex as entrepreneurship. Hardly anyone would read a book on flying and hop in a plane alone to fly it. Or try to climb Mount Everest alone. But everyone thinks they can build a new business for some strange reason.
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I see the question “What one quality must an entrepreneur have?” and I never answer it because it is a dumb question. Listing one would be imprudent, as any entrepreneur needs many qualities to be successful. No one will ever make it on a single quality, and I would not want to mislead people.
Here is my list of several that I believe are all necessary, not optional, to create a significant business:
- Raw intellect to do critical thinking and analysis so they can make data driven decisions
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