Side hustle evaluator

Side Hustle Evaluator

Stress-test any side hustle or business idea with real research, not gut feeling. Delivers a structured viability assessment with a go/no-go verdict the user can act on.

When to Use This Skill

• "Is this a good business idea?"
• "Evaluate my side hustle idea"
• "Should I start a [business type]?"
• "How viable is [idea]?"
• "Rate this business concept"
• "Reality check my startup idea"
• "Would [idea] actually make money?"
• "What are the risks of starting [business]?"

Inputs

Ask the user for (if not already provided):

1. The idea — what's the side hustle or business concept?
2. Their location — where would they operate? (affects market size, regulations, competition)
3. Their budget — how much can they invest upfront? (optional — if not given, assess for bootstrapped and funded scenarios)
4. Their skills — what relevant experience do they have? (optional — if not given, list required skills)
5. Time commitment — full-time or side hustle alongside a job? (optional — default to side hustle)

If the user gives a vague idea ("I want to start something online"), ask them to be more specific before proceeding.

Research Process

Phase 1: Understand the Business Model

Before researching, clearly define:

• What exactly is being sold (product, service, subscription, marketplace)?
• Who is the customer?
• How does money come in (one-time, recurring, commission, ad revenue)?
• What's the delivery mechanism (online, in-person, hybrid)?

If the idea is ambiguous, state your interpretation and proceed.

Phase 2: Market Research (5-8 searches)

Research these dimensions. Cap at 15 searches total across all phases.

2a. Market Size & Demand

• Is there proven demand for this? Search for people buying/paying for similar things
• How big is the addressable market?
• Is demand growing, stable, or declining?

Search: [idea] market size, [idea] industry growth, [idea] demand trends [year]

2b. Competition

• Who's already doing this? How many competitors exist?
• Are they making money? What do they charge?
• Is the market saturated or is there room?
• What do existing players do poorly?

Search: [idea] competitors, [idea] businesses Australia (or user's location), [idea] reviews complaints

2c. Revenue Potential

• What can you realistically charge?
• What does the revenue model look like at month 1, 6, 12?
• What are realistic income ranges for this type of business?

Search: [idea] how much can you earn, [idea] income realistic, [idea] pricing

2d. Startup Costs

• What's the minimum viable investment to start?
• What equipment, software, licences, or inventory is needed?
• Are there ongoing fixed costs?

Search: how much to start [idea], [idea] startup costs, [idea] equipment needed

2e. Regulatory & Legal

• Do you need licences, permits, certifications, or insurance?
• Are there regulations specific to this industry?
• Any legal risks?

Search: [idea] licence requirements [location], [idea] regulations Australia

Phase 3: Viability Analysis

After research, assess these dimensions and score each 1-10:

1. Market Demand (1-10): Is there proven, paying demand? 1 = no evidence anyone pays for this. 10 = massive, growing market with clear willingness to pay.

2. Competition Level (1-10): 1 = dominated by entrenched players with no room. 10 = wide open with few competitors and clear gaps. Note: moderate competition (5-7) is actually healthy — it proves the market exists.

3. Revenue Potential (1-10): 1 = hard to make more than pocket money. 10 = realistic path to $100K+/year.

4. Startup Difficulty (1-10): 1 = requires massive capital, rare skills, or years to build. 10 = can start this weekend with under $500.

5. Time to First Dollar (1-10): 1 = 12+ months before any revenue. 10 = could earn within the first week.

6. Scalability (1-10): 1 = income is 100% tied to your hours. 10 = can grow without proportionally increasing your time.

7. Risk Level (1-10): 1 = high financial risk, legal exposure, or volatile market. 10 = low downside, easy to exit if it doesn't work.

8. Skill Match (1-10): Based on what the user told you about their skills. 1 = completely outside their experience. 10 = perfect fit. If skills not provided, score based on how specialised the required skills are (generic = higher score).

Overall Viability Score = weighted average:

• Market Demand × 2
• Revenue Potential × 2
• Competition Level × 1.5
• Startup Difficulty × 1
• Time to First Dollar × 1
• Scalability × 1
• Risk Level × 1
• Skill Match × 0.5

Divide by 10 to get a score out of 10. Round to one decimal place.

Phase 4: The Verdict

Based on the overall score:

• 8-10: Strong Go. This has real potential. Here's how to start.
• 6-7.9: Conditional Go. Viable but with specific risks to manage. Here's what needs to be true for this to work.
• 4-5.9: Proceed with Caution. Significant challenges. Only worth pursuing if [specific conditions].
• 1-3.9: Hard Pass. Here's why, and here are better alternatives to consider.

Always be honest. A kind "this probably won't work because X, Y, Z" is more valuable than false encouragement that wastes someone's time and money.

Output Format

# Side Hustle Evaluation
## [The Idea]
### Evaluated: [Date]

---

## The Concept
**What:** [Clear one-sentence description of the business]
**Customer:** [Who pays]
**Revenue model:** [How money comes in]
**Delivery:** [How the product/service reaches the customer]

---

## Market Assessment

### Demand
[What the research shows about market size, growth, and willingness to pay]

### Competition
[Who's already doing this, what they charge, where the gaps are]

### Revenue Potential
[Realistic income projections — monthly and annually — with reasoning]

### Startup Costs
[Itemised minimum viable budget to launch]

### Regulatory Requirements
[Licences, permits, insurance, certifications needed]

---

## Viability Scorecard

| Dimension | Score (1-10) | Assessment |
|-----------|-------------|------------|
| Market Demand | X | [One sentence] |
| Competition Level | X | [One sentence] |
| Revenue Potential | X | [One sentence] |
| Startup Difficulty | X | [One sentence] |
| Time to First Dollar | X | [One sentence] |
| Scalability | X | [One sentence] |
| Risk Level | X | [One sentence] |
| Skill Match | X | [One sentence] |
| **Overall Viability** | **X.X/10** | |

---

## Verdict: [STRONG GO / CONDITIONAL GO / PROCEED WITH CAUTION / HARD PASS]

[2-3 paragraphs explaining the verdict. Be specific about why. Reference actual research findings.]

---

## If You Decide to Go:

### Week 1 Actions
1. [Specific first step]
2. [Specific second step]
3. [Specific third step]

### First 30 Days
[What the first month should look like]

### Milestones to Hit
- **Month 1:** [Milestone]
- **Month 3:** [Milestone]
- **Month 6:** [Milestone]

### Key Risks to Manage
1. [Risk + mitigation strategy]
2. [Risk + mitigation strategy]
3. [Risk + mitigation strategy]

---

## Alternative Ideas Worth Considering
[If the idea scores below 6, suggest 2-3 related but stronger alternatives based on what the user seems interested in]

---

## Sources
[List key sources referenced during research]

Important Guidelines

• Be brutally honest. The user is about to invest time and possibly money. A polite lie is worse than a blunt truth. If the idea is bad, say so clearly and explain why.
• Use real numbers. "Good income potential" is useless. "$2,000-4,000/month after 6 months based on [competitor X] charging [Y] with [Z] customers" is useful.
• Research thoroughly but don't loop. Use 3-5 searches per research dimension, but cap total research at 15 searches maximum. Once you have solid data, STOP researching and compile. Perfectionism kills delivery.
• Compile promptly. After completing research, immediately write the evaluation. Do not run additional searches.
• Review before saving. Scan the final output for formatting artifacts or broken tables. Fix any issues before saving.
• Compare to alternatives. Even if the idea scores well, mention 1-2 adjacent ideas the user might not have considered.
• Account for location. An idea that works in Sydney might not work in rural Queensland. Factor in the user's location.
• Save the evaluation. If the agent supports file output, save as a markdown file the user can keep.