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Business Plan Examples

Articles for "Angel Investors"

Tips for Writing a Business Plan to Draw Investors to Your Startup

A good business plan is your businesses’ blueprint and it’s essential to have one if you want to draw investors to your startup. To get your business off the ground, you need a good group of investors. While you may have a great idea, without a good business plan that looks attractive to investors, you’ll have a tougher time getting the investors that you need.

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Reasons You Need to Write a Business Plan

If you’re not sure you need a good business plan, here are just a few of the big reasons you need to write one.

  • Reason #1 – Increase Your Chance of Success – When you’re writing your business plan, you’ll be paying attention to the financial and operational objectives of the startup, not to mention all the details. When you work through the business plan, you’ll be able to ensure a smoother startup and you’ll have fewer problems to deal with as well.
  • Reason #2 – Secure Funding – Writing your business plan also helps you to secure funding for your business. A good business plan can help you when working to get bank loans and other types of funding.
  • Reason #3 – Attract Investors – Last, a good business plan helps you attract investors, one of the main reasons to write one. Most investors want a well-written plan that they can carefully study before deciding to invest in the startup.

Helpful Tips to Attract Investors

Now that you understand how important your business plan is, you may be wondering how to write a good one that will attract investors to your startup. Here are a few tips that can help you create a quality business plan.

  • Tip #1 – Include a Statement of Purpose – When writing your business plan, make sure you have a statement of purpose for the business. This should be one paragraph that concisely shows the goal of your business, which will help draw investors to your startup.
  • Tip #2 – Offer Biographical Information – Your business plan also needs to offer biographical information on members of the business ownership team. A unique team often helps attract investors that are drawn in by good company dynamics.
  • Tip #3 – Include Projected Inventory Needed – Your business will probably need some equipment to get started. Within the business plan, include the projected inventory, including a description for each piece of equipment, how it will be used and the price it costs.
  • Tip #4 – Calculate Available Funds – As you work to attract investors, ensure your business plan calculates the available funds you have, such as property, savings accounts and any other assets. This can help show investors that you do have the financial ability to get a business started.
  • Tip #5 – Estimate Projected Profits – Showing projected profits for the first year of your company should also be included in a good business plan. This helps to show investors a good look at the company scale and will also serve as a good goal for everyone in the business’ first year.

==> Download your business plan template now!

Writing a quality business plan is important for so many reasons, including attracting investors. Keep these helpful tips in mind and create a quality plan that will convince investors to investor their money in your startup.

Peter

The Elements the Comprise a Great Business Plan

You should always compile the 10 sections of a business not only with proper due diligence but also in a manner that creates an opportunity to completely hook an investor. Ultimately, every section of the business plan has a unique purpose.

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Executive Summary: This is the business plan’s main hook. The section will clearly detail your product, the scope and needs of your market, and the unique qualifications your company possesses to fill said needs. Solid executive summaries will be good enough they convince even the busiest investor to take time out to read the entire plan.
Company Analysis: This would be your chance to place all your business’ accomplishments at the forefront. A clear timeline of milestones shows that your business or management team succeed in its past performances and also maintains an “unfair advantage” an example of which would be proprietary technology.

Industry Analysis: This provides the clear proof you know the entire industry inside and out and that comprises the many other overlapping industries in which your business can be found. The analysis will also include full industry data from reputable sources and also info on niche trends. Just be sure to be specific.

Customer Analysis: Your customer relationships are presented in a clear map. On this map you must demonstrate that you understand you customer better than any other company around. You will demonstrate a working knowledge of niche markets, demographics, psychological profiles, and many other critically helpful bits of customer info. Continue Reading…

Five Steps for Composing a Business Plan

Below are 5 steps for composing a successful business plan.

1. Make an Outline

Start with a standard template for a business plan. There should be 10 parts to this plan in this exact order: A. Executive Summary, B. Company Analysis, C. Industry Analysis, D. Customer Analysis, E. Competitive Analysis, F. Marketing Plan, G. Operations Plan, H. Management Team, I. Financial Plan and J. Appendix. Take what you know about each category and write it in the appropriate area. Never veer from this standard template for a business plan. Investors that way will know exactly where to read to find out the information they need.

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2. Perform Research

The majority of research that you should do will include the Customer Analysis, Competitive Analysis and Industry Analysis parts of the plan. Continue Reading…

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