PSW © 2004 Initiatives consulting, LLC 1 Could there be a better picture of the crystal ball for the road to a high-tech start-up company? Courtesy of the United States Department of Transportation - Federal Highway Administration April 2003 Is your idea worth pursuing?

PSW © 2004 Initiatives consulting, LLC 2 100,000 50,000 40,000 30,000 20,000 10, ,000 70,000 80,000 90,000 Hours of Your Life (cumulative) An hour The inspiration 24 hours Several long lunches 120 hours This Workshop Confirmation that it was correct to pursue the idea 900 hours Solid business plan Year 7Year 3Year hours Quit your day job 36,000 hours Product available for sale 216,000 hours Sales of $5M and making a profit Time spent by you and everybody else dedicated to moving this idea along! When should you stop?

PSW © 2004 Initiatives consulting, LLC 3 Pre-Seed Filter Is your idea worth taking to the next step? Clear identity & mission Track record to date Significant pain, today Novel Well protected Significant applications Well identified customers Platform with good initial product Competition is inadequate Competitive advantage Compelling value proposition Manageable competing vendors Clear supply chain Large market size Potential for good share Team is (or can be) assembled Committed inventor Ready now, or in 1-year Clear path of milestones WeakStrong Company Technology Tech-Mkt map Mkt need Compet’n Model Potential Team Status