While there are many factors to consider when deciding whether a target company is "right," here are two threshold criteria it must meet. The target company doesn't need to be in the exact same space as your prior company. When you assess a target company, its untapped potential should be obvious to you. However, it didn't have 24/7 online customer and sales support, or the add-on services that would complete a web services business. This eagle eye perspective is the first test whether your business experience can uncover a startup’s latent value.

Source: Forbes September 11, 2020 16:30 UTC