Don’t just take advice, evaluate it. Your business’s future depends on it.
As a new business owner, you’ll receive advice from every direction – well-meaning friends, online forums, experienced colleagues, and industry experts. While much of it can be helpful, it’s crucial to critically evaluate every piece of guidance to ensure it aligns with your specific business, goals, and values.
This checklist will help you cut through the noise and make informed decisions.
Section 1: The Source of the Advice
Understanding who is giving the advice, and their background, is the first critical step.
Source of Advice: _________________________________________________________________ (e.g., Mentor, Friend, Accountant, Online Forum, Business Coach, Article, Consultant)
1.1 Expertise & Experience:
- Does the person/source have direct, relevant experience in your industry or a closely related field?
- [ ] Yes [ ] No [ ] Not Applicable (N/A)
- Notes:
- Have they successfully navigated challenges similar to the one you’re facing?
- [ ] Yes [ ] No [ ] N/A
- Notes:
- Are they a recognized authority or a trusted professional (e.g., licensed accountant, attorney, business consultant with a proven track record)?
- [ ] Yes [ ] No [ ] N/A
- Notes:
- Are they offering advice in their actual area of expertise, or just a general opinion?
- [ ] Expertise [ ] General Opinion [ ] Unclear
- Notes:
1.2 Motivation & Bias:
- Does the source have a vested interest (financial or otherwise) in you taking this specific advice? (e.g., are they selling a product/service related to the advice?)
- [ ] Yes [ ] No [ ] Unclear
- Notes:
- Is this advice primarily based on their personal, anecdotal experience, or broader, research-backed principles and industry data?
- [ ] Anecdotal [ ] Research-backed [ ] Both [ ] Unclear
- Notes:
- Do they seem genuinely interested in your success, or are they pushing a personal agenda?
- [ ] Genuine [ ] Agenda [ ] Unclear
- Notes:
Section 2: The Nature of the Advice
Now, let’s analyze the advice itself and how well it fits your business.
2.1 Specificity & Actionability:
- Is the advice clear, specific, and actionable? Can you immediately tell what steps to take?
- [ ] Yes [ ] No [ ] Somewhat
- Notes:
- Is it vague or overly general, leaving you more confused than before?
- [ ] Yes [ ] No
- Notes:
2.2 Contextual Relevance:
- Does this advice directly apply to your specific business model, industry, stage of growth, and unique goals?
- [ ] Yes [ ] No [ ] Somewhat
- Notes:
- Is the advice based on current market conditions, regulations, or trends, or does it seem outdated?
- [ ] Current [ ] Outdated [ ] Unsure
- Notes:
- Does the advice realistically consider your current resources (time, money, team skills)?
- [ ] Yes [ ] No
- Notes:
2.3 Risk & Reward:
- Are the potential risks of following this advice clearly articulated by the source?
- [ ] Yes [ ] No [ ] Unclear
- Notes:
- Does the advice align with your personal and business risk tolerance?
- [ ] Yes [ ] No
- Notes:
- Are the potential rewards realistic and clearly defined?
- [ ] Yes [ ] No [ ] Overly Optimistic
- Notes:
Section 3: Your Gut Feeling & Due Diligence
Finally, trust your instincts and always do your homework.
3.1 Internal Alignment:
- Does this advice feel right for your business, your values, and your long-term vision?
- [ ] Yes [ ] No [ ] Unsure
- Notes:
- Does it make logical sense after you’ve taken time to process it, free from immediate pressure?
- [ ] Yes [ ] No [ ] Unsure
- Notes:
3.2 Further Research:
- Can you independently verify this advice through other reputable sources (e.g., industry studies, official guidelines, other trusted experts)?
- [ ] Yes [ ] No [ ] Partially
- Notes:
- Should you seek a second opinion from another trusted professional (e.g., your accountant for financial advice, an attorney for legal advice)?
- [ ] Yes [ ] No
- Notes:
3.3 Long-Term Impact:
- How might this advice impact your business 1 year, 3 years, or 5 years down the line? (Consider both positive and negative)
- Notes:
- Does it align with your ultimate long-term vision and the legacy you want to build?
- [ ] Yes [ ] No [ ] Unsure
- Notes:
Conclusion & Next Steps:
Based on your evaluation, what’s your overall assessment of this advice?
Decision:
- [ ] I will implement this advice.
- [ ] I will research this advice further.
- [ ] I will seek a second professional opinion.
- [ ] I will not implement this advice.
When in doubt, remember the value of professional guidance. Sometimes, the best advice comes from those whose expertise is dedicated to helping businesses like yours succeed. If you’re struggling to evaluate complex advice, or need tailored strategies for your business growth, Havins Business Services is here to help.
Need personalized guidance to navigate your business journey? Visit www.HavinsConsulting.com to explore our services and see how we can help you build your legacy.