Is This a Great Business, or a Hobby?

August 26th, 2013 / No Comments »

 By Elle Kaplan, CEO and Founding Partner of Lexion Capital Management

Here’s a crazy business idea: a wealth management firm, client-centric, all-inclusive, completely independent, female-run. What? You mean you aren’t planning to jump right on it and run with that concept? Investing does happen to be my particular passion and area of expertise, and I have turned it into a successful business, but everyone has their own unique talents and passions. Who hasn’t wondered if they could turn their favorite pastime into their bread and butter?

But not every hobby, no matter how much you love it, should be turned into a business. Success ultimately rests on two things: profitability and sustainability. Passion is key, but the viability of your company is a numbers game. So how do you distinguish a passionate personal interest from a great business idea?……