When looking for angel investors, venture capitalists, private equity firms, and debt capital for your new business, your business plan is the most influential piece of presentation material you will produce.
Investors whom you have convinced to find out more about your business will always request a business plan.┬á If you have the ability to keep your prospective investors curious about your business, they will ultimately go over your complete business plan.┬á The manner in which your company is presented will tremendously affect your investors’ opinion of you and the development possibilities of your business.
Seasoned equity capitalists such as venture capitalists are looking for a large amount of various facts about your business before investing.┬á They want to ensure that your business is in a position to quickly mature and steadily move towards a payout for investors.
All good business plans have an executive summary, company analysis, industry analysis, customer analysis, competitive analysis, marketing plan, operations plan, a description of the executive team, the business plan, and a listing that contains important information such as charts, graphics and any proprietary descriptions of technology.
This might appear like a lot to think about, so get familiar with the subject.┬á These are the three questions that you should be able to answer in your business plan:
Click here to discover how to finish your Business Plan in one day! <==== Is My Business Filling a Market Demand? Who are your customers and what do they want and need?┬á Your business plan has to prove that your company is exactly what your customers need.┬á You must show proof that customers are demanding a product or service that is almost like the one that your business has to offer.┬á This will make investors confident that your business has what it takes to mature very rapidly. Does My Executive Team Have What It Takes to be Successful? Contrary to belief, you cannot put all of your eggs in one basket when it comes to your business idea.┬á You and your executive team must be experienced and have a history of getting things done.┬á Put the spotlight on members of your team who have a proven track record of┬á ┬áhelping businesses which are in the same growth phase like yours┬á to grow. Are My Business Financial Statements Factual and Verifiable? Financial statements are considered to be the best indicator of how well a company is doing and will do financially.┬á You will have to present them to your investors.┬á This area is a wonderful place to confirm how realistic your business plan really is.┬á This is because, according to Growthink, "The figures used in these statements flow from the analyses in every other section of the business plan." The first two questions can be utilized as templates for when you are writing your business plan.┬á The third question should be posed after each finished draft.