Avoid Do-it-yourself Business Plans!

I have blogged previously about the built-in flaws with templates and software that consumers and business owners alike use when Googling “business plans.” These lead the writer to adding so much unnecessary information, yet fail to complete a true Executive Summary needed to get in the door with 95% of investors. I review at least 5-6 of these plans each week, and they are almost always missing the detailed competitive analysis, market analysis, and market penetration to support what are also incomplete forecasts to begin with. Again, these are common pitfalls using software and templates, let alone inexperienced professionals.

A second major related issue arises when those close at hand, namely principals or key employees, complete the business plan. The old saying that “you can’t see the forest for the trees” usually applies here. In addition, an insider typically writes with over confidence and a lack of needed transparency that is often a result of that overconfdence. Lastly, a professional team that interacts with investors, venture capital firms, angels and the SBA knows what the appropriate expectations are and prepares the plan accordingly.

Use extreme caution in using templates or software, let alone completing your own plan using other business plans as a guide. Custom business plans raise capital and accomplish your goals.