If you are interested in being funded for your business venture, remember these five things that will lead you to a great business plan:
Show off your amazing history.
Any investor will be aware that they need to see the successes on the business and the executives in the past so they can try to predict if the new business will be successful. If you have been funded in the past, show them how you used your capital to bring growth in the company. Show them things like milestones that were reached operationally, how you pushed through the niche market, and how much rewards your investors received. If you have a new company then show them what things your management team has been able to achieve with the new companies that the built from the ground up.
==> Download your business plan template HERE!
Show off how you can become the master of the niche you are in.
The niche is somewhat of the boss in the world of business these days. When you own a business that is competition n a one trillion dollar healthcare industry, you will need to pay attention to the products and how you will work your marketing for a specific part of the industry. This may mean providing appliances for marketing for doctors that live in the Western Coast area. In this case, your business may also be a part of the telecommunications, business services, and electronics industries. This allows you to be more specific in the strategies that you use for marketing. When you have knowledge about your niche, the investors will be more impressed.
Prove that you are aware of the wants and needs of your customers and that you can meet these needs.
When an investor looks at a business, they are looking at the possibilities of relationships with the customers. You must have a clearly outlined section in your business plan that outlines a time line of how you will get your product out to the public in the market. If you do not have a plan to reach your customers, you will not bring in a profit and the investors will not either. You need to show them what your method of delivery is with your customers.
Show them your plans to keep your customers from leaving and trying your competition.
One of the most common example of locking in a customer is shown with the telecommunications companies. They offer bundles to their customers for the services they offer. When a customer makes a purchase for one service, they will be given the chance to get more service for a lower price. Also, once you have become a customer, you can avoid any installation costs, unless you decide to make a change to another provider. This is a lock in tactic as well. Providing excellent customer service and high quality products can also work as a lock in for your customers. This will keep your competition away. This is called building barriers that surround your customers. What will you do to guard your revenue? The investors will be interested in this.
==> Download your business plan template HERE!
Come to the table with financial assumptions that are realistic.
When you have financial assumptions that are well reasoned and great projections you will be showing that you have maturity and credibility. Some investors will only look at your financial section in your business plan. You may be completely realistic in your assumptions and pro forma statements, which are your projected financial outcomes. If you want to be seen as credible, you will need to have consistent amounts included in the penetration, the operating margin, and the revenue per employee information.
Peter