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How the score works

Every point comes from one of your answers or one calculation. Here is the whole rubric.

Rubric v1.0

The Business Idea Check’s main result is its verdict — whether the numbers work and whether there’s evidence of demand. Alongside it, a launch readiness score adds up 100 points across five areas, including your experience, competition and licensing answers. A “move forward” verdict also needs a score of 70 or more, so the two never point different ways. Questions left unanswered are scored as “not sure” and flagged as unknown in your report. The score is not a prediction of success, a credit decision or an industry benchmark.

LabelScoreWhat it means
Promising70–100The evidence and numbers support taking the next steps — carefully.
Not ready yet40–69Worth pursuing, but important gaps need closing before you spend much.
Rethink before spending0–39Big gaps in demand or the numbers. Test and rework before committing money.

Demand · 30 points

Evidence strength · up to 20 · evidence

Money changing hands is the strongest sign of demand, so payment outranks conversation by a wide margin.

Current sales, or 1+ paying customers20
Preorders or deposits16
A paid trial14
Conversations only, or named prospects6
Not tested yet0

Breadth of commitment · up to 10 · evidence

Several customers show demand isn’t a one-off. Prospects earn about half the points of paying customers.

10+ paying customers10
3–9 paying customers7
1–2 paying customers4
No paying customers; 10+ named prospects5
No paying customers; 3–9 named prospects3
No paying customers; 1–2 named prospects1
None, or not sure0

Money · 35 points

Margin at your price · up to 10 · estimate

A higher margin leaves more room for error in price, cost and volume. Product businesses get their own bands: making or buying goods costs more per sale than most services.

ServicesPoints
50% or more of the price, after fees10
30–49.9%8
15–29.9%5
Above 0%, under 15%2
0% or negative (caps the result)0
ProductsPoints
40% or more of the price, after fees10
25–39.9%8
12–24.9%5
Above 0%, under 12%2
0% or negative (caps the result)0

Expected sales vs. sales needed to pay you · up to 15 · estimate

Whether the sales you expect would actually pay you what you need — with room to spare.

1.5× or more15
1.2–1.49×12
1.0–1.19×8
0.8–0.99×4
Under 0.8×, or each sale loses money0

Cash for startup and ramp-up · up to 10 · estimate

Most new businesses that fail run out of cash while sales are still building.

Covers startup, ramp-up and cushion, with 6+ months of running costs to spare10
Covers it, with 3–5.9 months to spare8
Covers it, with under 3 months to spare5
A funding gap, or available cash not given0

Capacity · 15 points

Time needed to pay yourself · up to 10 · estimate

A plan that needs more hours than you have isn’t a plan. 80% leaves room for slow weeks.

80% or less of your productive hours10
80.1–100%7
100.1–125% (caps the result)3
Not limited by your own hours — others make or deliver your product7
Over 125% (caps the result), or hours not given0

Experience · up to 5 · self-assessment

Kept small: it’s self-reported, and gaps can be filled by learning, hiring or partnering.

Extensive5
Some3
None yet1
Not sure0

Competition · 10 points

Reason to choose you · up to 10 · self-assessment

Customers always have an alternative. A clear reason to switch makes every other number easier to reach.

Clear, and customers agree10
Somewhat6
Not clear yet2
Not sure0

Legal readiness · 10 points

Licenses, permits and insurance · up to 10 · self-assessment

An unknown is something to verify, not a penalty below someone who has identified their requirements.

Checked and in place, or checked and none required10
Identified, not yet obtained6
Not sure what’s required (becomes a plan task)6

Rules on top of the points

  • Missing essentials. Without your costs per sale, monthly costs, expected sales (or your hours), your pay target and some demand evidence, there is no total and no label.
  • Three things cap the label at Not ready yet, whatever the total: losing money on each sale; a funding gap (not enough cash for startup, the ramp-up and a two-month cushion); or needing more than all of your available hours to pay yourself.
  • Never scored: your idea description and other free text, interest in GHL services, business structure, business type, location and anything about who you are.
  • The same answers always give the same score.

Back to the Business Idea Check