My Queue

There are no Videos in your queue.

Click on the Add to next to any video to save to your queue.

There are no Articles in your queue.

Click on the Add to next to any article to save to your queue.

There are no Podcasts in your queue.

Click on the Add to next to any podcast episode to save to your queue.

You're not following any authors.

Click the Follow button on any author page to keep up with the latest content from your favorite authors.

Does It Gel?

2 min read

The best business idea in the world could fail miserably without the right business model. Do you have a good one? Don Debelak, author of Business Models Made Easy, suggests using his GEL analysis to evaluate your business model. Does your current business model ensure Great Customers, Easy Sales and Long Life?

Having Great Customers means your business model enables you to acquire high-value customers and offer them a significant value with your competitive advantage. Are your customers easy to find and target? How much will it cost to find them? How easy is it to secure repeat business?

To ensure Easy Sales, notes Debelak, you want to ask yourself: Does it cost a lot of money to acquire sales? Do you sell your product or service with a high enough margin to make your venture truly profitable? A good example of this is the way Starbucks sells $2.50 coffee to give customers a sense of luxury and prestige. The fact that it is an easily repeatable sale as customers return again and again for the product also speaks to the Long Life element of the GEL model. Will your business model sustain your company over time? Does your business model attract repeat customers? If your product is not edible or you offer a service, you could sell add-ons like long-term service plans or a complementary product or service to increase your longevity.

Continually evaluate your model, says Debelak. And study the business models of other companies in your industry--both successful and unsuccessful. Adds Debelak, "There are very few [business] models that can't be drastically improved."

More from Entrepreneur

Corene Summers helps clients advancing their health, careers and lives overall through reducing stress, tension and optimizing sleep.
Jumpstart Your Business. Entrepreneur Insider is your all-access pass to the skills, experts, and network you need to get your business off the ground—or take it to the next level.
Create your business plan in half the time with twice the impact using Entrepreneur's BIZ PLANNING PLUS powered by LivePlan. Try risk free for 60 days.

Latest on Entrepreneur