1 KP: Key Partners KA: Key Activities VP: Value Propositions

KR: Key Resources

CS: Cost Structure

SC: Startup Capital

2 Key Partners Key Activities Value Propositions

3

Key Resources
2: Are you interested in
them? Do you have know-
how, useful connections,
or both?
Cost Structure

Startup Capital

3 Key Partners Key Activities Value Propositions

3. Can you empathize with the
segment's hopes and needs,
and clearly state what they most
 value as a good or service,
KR from their perspective?
2: Are you interested in
them? Do you have know-
how, useful connections,
or both?
Cost Structure

Startup Capital

4 Key Partners Key Activities VP

3. Can you empathize with the
segment's hopes and needs,
and clearly state what they most
value as a good or service,
KR from their perspective?
2: Are you interested in
them? Do you have know-
how, useful connections,
or both?
Cost Structure

Startup Capital

5 Key Partners Key Activities VP

5. Can you identify what it
would take to design and
create the good or service
for the VP?
KR
2: Are you interested in
3. Can you empathize with the
segment's hopes and needs,
and clearly state what they most
value as a good or service,
from their perspective?
 them? Do you have know-
how, useful connections,
or both?
Cost Structure

Startup Capital

6 Key Partners KA VP
5. Can you identify what it 3. Can you empathize with the
would take to design and segment's hopes and needs,
create the good or service and clearly state what they most
for the VP? value as a good or service,
KR (2nd time) from their perspective?
6. Can you identify the
tangible and intangible
resources needed for the
key activities?
Cost Structure

Startup Capital

7 Key Partners
7. What KR can you provide
and what would you still
need?
What other people or
organizations could fill any
gaps?
How could you bring them
on board?
KA
5. Can you identify what it
would take to design and
create the good or service
for the VP?
KR (second time)
6. Now, can you identify
the tangible and intangible
resources needed for the
key activities?
VP
3. Can you empathize with the
segment's hopes and needs,
and clearly state what they most
value as a good or service,
from their perspective?

8 KP
6. What KR can you provide
and what would you still
need?
What other people or
organizations could fill any
gaps?
How could you bring them
on board?
9 KP
6. What KR can you provide
and what would you still
need?
What other people or
organizations could fill any
gaps?
How could you bring them
on board?
Cost Structure
Startup Capital
KA VP
5. Can you identify what it 3. Can you empathize with the
would take to design and segment's hopes and needs,
create the good or service and clearly state what they most
for the VP? value as a good or service,
KR (second time) from their perspective?
6. Now, can you identify
the tangible and intangible
resources needed for the
key activities?
Cost Structure
Startup Capital
KA VP
5. Can you identify what it 3. Can you empathize with the
would take to design and segment's hopes and needs,
create the good or service and clearly state what they most
for the VP? value as a good or service,
KR (second time) from their perspective?
6. Now, can you identify
the tangible and intangible
resources needed for the
key activities?
Cost Structure
 Startup Capital
9.Estimate the funds needed to start the venture, up to the time it is
self-sufficient (cash flow positive). This is a first guess.

10 KP KA VP
6. What KR can you provide 5. Can you identify what it 3. Can you empathize with the
and what would you still would take to design and segment's hopes and needs,
need? create the good or service and clearly state what they most
What other people or for the VP? value as a good or service,
organizations could fill any KR (second time) from their perspective?
gaps? 6. Now, can you identify
How could you bring them the tangible and intangible
on board? resources needed for the
key activities?
Cost Structure

Startup Capital
9.Estimate the funds needed to start the venture, up to the time it is
self-sufficient (cash flow positive). This is a first guess.

11 KP KA VP
6. What KR can you provide 5. Can you identify what it 3. Can you empathize with the
and what would you still would take to design and segment's hopes and needs,
need? create the good or service and clearly state what they most
What other people or for the VP? value as a good or service,
organizations could fill any KR (second time) from their perspective?
gaps? 6. Now, can you identify
How could you bring them the tangible and intangible
on board? resources needed for the
key activities?
Cost Structure
11. (Channels: are an example of costs you might have ignored.)
What are the basics of your cost structure: the timing, the need to write
checks regularly to stay in business, how variable or how fixed?
Ways to keep costs low? Can you get paid before paying your expenses?
Startup Capital
9.Estimate the funds needed to start the venture, up to the time it is
self-sufficient (cash flow positive). This is a first guess.
Notes This variant (11) is an example of the many feedback loops in developing a viable business model.
Especially explore with potential customers your understanding of the value propositions, and their likely b
That is your biggest uncertainty. However,you will also have questions of technical feasibility, economical c
and many other matters, depending on your business model.
It is important that the different elements (called "blocks") are mutually supportive rather than contradicto
* Many people interpret "channels" as channels of promotion (communication), but channels of distributi
your customers) are also important and in some cases a major stumbling block.
VP: Value Propositions CR: Customer CS: Customer Segments
Relationships 1: Identify a category of people
you can observe and listen to
with common potential needs
or interests
CH: Channels that are not well served now
by established firms,
a "beachhead" with potential
to grow to a larger customer
base.
RS: Revenue Streams

CE: Competitive Environment

Value Propositions Customer CS

3 Relationships 1: Identify a category of people
you can observe and listen to
with common potential needs
or interests
Channels that are not well served now
by established firms,
a "beachhead" with potential
to grow to a larger customer
base.
Revenue Streams

Competitive Environment

Value Propositions Customer CS

ou empathize with the Relationships 1: Identify a category of people
t's hopes and needs, you can observe and listen to
rly state what they most with common potential needs
 a good or service, or interests
eir perspective? Channels that are not well served now
by established firms,
a "beachhead" with potential
to grow to a larger customer
base.
Revenue Streams

Competitive Environment

VP Customer CS
ou empathize with the Relationships 1: Identify a category of people
t's hopes and needs, you can observe and listen to
rly state what they most with common potential needs
a good or service, or interests
eir perspective? Channels that are not well served now
by established firms,
a "beachhead" with potential
to grow to a larger customer
base.
Revenue Streams

Competitive Environment
4. Hold on, how will you survive competition from existing firms and from those
who might enter your market? Be careful saying there are no competitors.

VP Customer CS
ou empathize with the Relationships 1: Identify a category of people
t's hopes and needs, you can observe and listen to
rly state what they most with common potential needs
a good or service, or interests
eir perspective? Channels that are not well served now
by established firms,
 a "beachhead" with potential
to grow to a larger customer
base.
Revenue Streams

CE
4. Hold on, how will you survive competition from existing firms and from those
who might enter your market? Be careful saying there are no competitors.

VP Customer CS
ou empathize with the Relationships 1: Identify a category of people
t's hopes and needs, you can observe and listen to
rly state what they most with common potential needs
a good or service, or interests
eir perspective? Channels that are not well served now
by established firms,
a "beachhead" with potential
to grow to a larger customer
base.
Revenue Streams

CE
4. Hold on, how will you survive competition from existing firms and from those
who might enter your market? Be careful saying there are no competitors.

VP Customer CS
ou empathize with the Relationships 1: Identify a category of people
t's hopes and needs, you can observe and listen to
rly state what they most with common potential needs
a good or service, or interests
eir perspective? Channels that are not well served now
by established firms,
a "beachhead" with potential
to grow to a larger customer
base.
 Revenue Streams

CE
4. Hold on, how will you survive competition from existing firms and from those
who might enter your market? Be careful saying there are no competitors.

VP Customer CS
ou empathize with the Relationships 1: Identify a category of people
t's hopes and needs, you can observe and listen to
rly state what they most with common potential needs
a good or service, or interests
eir perspective? Channels that are not well served now
by established firms,
a "beachhead" with potential
to grow to a larger customer
base.
Revenue Streams
8. How much might customers pay for your good or service? How often would
they pay? When would they pay? (Do you grant credit; do they pay with cash
up-front, etc.)?
Sketch the possible cash flow intake for the first year or so.
CE
4. Hold on, how will you survive competition from existing firms and from those
who might enter your market? Be careful saying there are no competitors.

VP Customer CS
ou empathize with the Relationships 1: Identify a category of people
t's hopes and needs, you can observe and listen to
rly state what they most with common potential needs
a good or service, or interests
eir perspective? Channels that are not well served now
by established firms,
a "beachhead" with potential
to grow to a larger customer
base.
Revenue Streams
8. How much might customers pay for your good or service? How often would
they pay? When would they pay? (Do you grant credit; do they pay with cash
up-front, etc.)?
 Sketch the possible cash flow intake for the first year or so.
CE
4. Hold on, how will you survive competition from existing firms and from those
who might enter your market? Be careful saying there are no competitors.

VP Customer CS
ou empathize with the Relationships 1: Identify a category of people
t's hopes and needs, you can observe and listen to
rly state what they most with common potential needs
a good or service, or interests
eir perspective? 10 Channels that are not well served now
Can you get your message to by established firms,
customers, AND your goods to a "beachhead" with potential
customers economically to grow to a larger customer
and effectively?* base.
Revenue Streams
8. How much might customers pay for your good or service? How often would
they pay? When would they pay? (Do you grant credit; do they pay with cash
up-front, etc.)?
Sketch the possible cash flow intake for the first year or so.
CE
4. Hold on, how will you survive competition from existing firms and from those
who might enter your market? Be careful saying there are no competitors.

VP Customer CS
ou empathize with the Relationships 1: Identify a category of people
t's hopes and needs, you can observe and listen to
rly state what they most with common potential needs
a good or service, or interests
eir perspective? 10 Channels that are not well served now
Can you get your message to by established firms,
customers, AND your goods to a "beachhead" with potential
customers economically to grow to a larger customer
and effectively? base.
Revenue Streams
8. How much might customers pay for your good or service? How often would
they pay? When would they pay? (Do you grant credit; do they pay with cash
up-front, etc.)? What are your profit margins (hopefully high).
Sketch the possible cash flow intake for the first year or so.
CE
4. Hold on, how will you survive competition from existing firms and from those
who might enter your market? Be careful saying there are no competitors.
ng a viable business model.
value propositions, and their likely buying behavior.
of technical feasibility, economical channels of distribution, reliable partners

y supportive rather than contradictory.

nication), but channels of distribution (how to get the goods in the hands of
KP: Key Partners KA: Key Activities

KR: Key Resources

CS: Cost Structure

SC: Startup Capital

VP: Value Propositions CR: Customer
Relationships

CH: Channels

RS: Revenue Streams

CE: Competitive Environment

 CS: Customer Segments

ue Streams

ve Environment