No one but a fool would attempt to try run a business in which it's not possible to make a profit. Yet, in hindsight, this is done all the time. J. Paul Getty, who made his money in oil, gives some common sense guidelines to evaluate business opportunities. When Getty saw a business that looked promising, he'd ask himself these questions. If he concluding that by honestly answering these questions that the possibility for success was nil, he'd pass on the opportunity. So here's Getty's questions:

• What--precisely and in detail--is the situation, proposition, or issue under consideration?
  
• What is at stake?
  
  • What are the costs?
  • What are the minimum and maximum the company stands to gain or lose?
    
• Are there any precedents and if so, can they be considered valid and applicable in this instance?
  
• What do other parties stand to gain or lose either way?
  
  • Buyers?
  • Sellers?
  • Brokers?
  • Competitors?
  • Customers?
  • Others?
    
• What are the known obstacles and difficulties the company faces if it goes ahead?
  
  • Precisely, how can they be overcome?
    
• What other difficulties are likely to arise?
  
  • If they do, what resources are available to cope with them?
  • What steps may be taken to cope with them?
    
• Are all the facts known--could there be any additional, hidden pitfalls?
  
• How long will it take to accomplish the objectives or goals in question if it is decided to proceed?
  
• Would the company stand to gain more by devoting equal time and effort to something else?
  
• Are the personnel who would be responsible for handling the matter fully qualified and dependable?