Risk Assessment
What to Include
- Industry Overview
- Size of the industry (total revenue, units sold, etc.)
- Growth trends (past 5 years and projections)
- Economic, regulatory, or technological drivers
- Target Market
- Specific customer segments (demographics, psychographics)
- Market size for the segment (TAM, SAM, SOM)
- Customer pain points and unmet needs
- Customer Personas
- Profiles of ideal customers with goals, frustrations, and behavior patterns
- Market Trends
- Behavior shifts, emerging technologies, or social changes
- Barriers to Entry
- Regulations, capital costs, entrenched competitors
- Market Opportunity
- The gap your company fills and why it matters now
Where to Source the Information
- Industry Reports: IBISWorld, Statista, McKinsey, Gartner
- Government Data: U.S. Census Bureau, Bureau of Labor Statistics
- Trade Journals: Harvard Business Review, TechCrunch, Market-specific blogs
- Competitor Reports: Crunchbase, SEC filings, PitchBook
- Surveys & Interviews: Poll potential users/customers or leverage tools like Google Forms, Typeform
- Web Analytics Tools: SimilarWeb, SEMrush, Google Trends
How to Perform the Analysis
- TAM/SAM/SOM Analysis
- TAM (Total Addressable Market): Total demand for your product/service
- SAM (Serviceable Available Market): Portion of TAM your business can serve
- SOM (Serviceable Obtainable Market): Portion of SAM you can realistically capture in early stages
- SWOT Analysis
- Strengths, Weaknesses, Opportunities, Threats — particularly regarding the market
- Trend Mapping
- Use charts to show upward/downward trends
- Gap Analysis
- Identify mismatches between what customers want and what is currently offered
Recommended Format
- 4–6 pages
- Clear headers for each subsection
- Include data visuals: bar charts, pie charts, tables, and customer journey illustrations
- Narrative must combine data with actionable insight