Know yourself

Capitalize on your own experience — whether you're a veteran in a specific industry or a simple hobbyist with boundless knowledge — to create good ideas with great odds. But before deciding whatbusiness is best for you, you must decide if you're ready to do the hard work to make it happen.

I recommend: Discover if you've got what it takes to be a successful entrepreneur by taking self-employment quizzes from Monster.com, SmallBizPro.com and American Express.

Do what you love to do

You must be passionate about your ideas in order to make them fly; if you're not, they'll flounder. Think about the things that make you happy: Is there a business idea there?

I recommend: Discover which of your passions will mix well with your personality in order to create a successful business by enrolling in Rockport Institute's Pathfinder Entrepreneur's Choice Program, which helps budding entrepreneurs identify their natural strengths and talents and match them with a complementary business model.

Do what consumers need done

Supply is useless without demand. Find out what people want and find a way to give it to them.

I recommend: Scope out consumer needs by subscribing to the free monthly Trend Briefings.

Do better what someone else already does

The best ideas aren't always new ideas. Examine existing business models that you admire and brainstorm concepts to improve them.

I recommend: Study America's most successful companies for ideas and inspiration. The Fortune 500 list ranks the nation's largest corporations — many of which used to be small, just like you.

Do what's been proven successful to do

If you're a new business owner, consider purchasing a franchise. The best business for you might end up being one that a franchisor has already spent millions of dollars to develop, test and grow.

I recommend: Make an informed franchising decision when you consult the resources available at Franchising.com, including information on specific franchising opportunities, attorneys and more.