Startup
Risk Calculator reveals business risks, provides probability of success, offers
strategies to increase likelihood of success
Fayetteville, AR – EquityNet (www.equitynet.com)
announced today the debut of their free Crowdfunding Tools. The release of a Startup Risk Calculator is
the first in a series of free crowdfunding tools and will soon be followed by a
free Business Valuation Calculator and other educational tools for entrepreneurs.
The Startup Risk Calculator helps
entrepreneurs identify and evaluate business risk and calculates the
probability of whether a business will succeed or fail. Free, fast, and easy, the Start Risk Calculator
provides business owners a snapshot of their individual business risk profiles
based on eight key risk factors.
The Startup Risk Calculator asks questions
chosen from the wide-ranging list of questions used in EquityNet’s patented
business planning and analysis software Enterprise Analyzer™, and the
calculator’s results helps entrepreneurs better understand how to improve their
odds of business success. Entrepreneurs
answer questions that deal with amount of capital investment; difficulty in
obtaining funds; quality of financial management; degree of business planning;
annual industry growth rate; management experience; and industry experience. The Calculator immediately generates the company’s
odds for success (defined as the business still operating) within a given
timeframe identified by the business owner.
The results are based on real-world data gathered by EquityNet from over
500,000 businesses across North America.
The calculator was introduced in response to surging
interest in equity crowdfunding. Judd
Hollas, CEO of EquityNet, said “Entrepreneurs are vitally interested in
preparing for the coming of equity crowdfunding next year. We are glad to
provide this free tool to let our EquityNet site visitors see if they’re on the
right track or not as they prepare to raise investment and pursue their
business opportunities.”
Best suited for companies that are four years
of age or younger, the Startup Risk Calculator leverages a subset of EquityNet’s
proprietary Enterprise Analyzer system, a proven methodology for assessing
risk. The comprehensive version of the
system analyzes 30 or more important business variables including industry
sector and business age. It then compares
them against thousands of statistical data points of companies that have failed
or succeeded, thereby computing the probability of success for the individual
company.
Hollas
added, "There are so many myths surrounding business risk, so our Startup Risk
Calculator is a great tool to help entrepreneurs understand their risk and pay
attention to the things that make the most difference. And if an entrepreneur needs to reevaluate their
strategy, this is an excellent exercise to know where to start.”
EquityNet’s
Crowdfunding Tools and flagship Startup Risk Calculator can be accessed and
used for free at www.equitynet.com/crowdfunding-tools.aspx.