Two-Phased Approaches...

Business Plans of substance take time, commitment and can be costly to complete, yet most investors and potential partners prefer to see a concise Executive Summary before a full-blown Business Plan is forwarded for their review। Therefore, unlike many other business plan consultants, we often suggest a two-phased approach to developing a Business Plan। Phase I consists of an Executive Summary, or a shorter Business Plan of 7-15 pages depending on the business, a five-year annual summary Forecast, preliminary market analysis, and miscellaneous appendices. Phase II is the complete plan after investor interest and feedback.

Phasing takes on a different perspective when many businesses, particularly relatively new start-ups which need to phase their capital requirements from investors until they have established a proof of the concept or generated increased sales among other target parameters।

Keep in mind a Business Plan, like any other worthy endeavor, needs to be approached as a process.

Investors' Perspective

It is critically important to put yourself in an investor's shoes, particularly in an economy that is struggling in many sectors। During these times, private and institutional investors are even more selective. The principles of business plan writing and development remain the same. Executive summaries must provoke interest for concise business plans, detailed and summary market studies and forecasts, with a great existing and or expanding management team, remain core components of business plans.

Don't panic in a weaker economy; investors may be more selective but they all continue to look for quality investments that are conveyed through winning business प्लंस.

Executive Summary is as Important as Business Plan

Without an Executive Summary that conveys all of the key items from the Business Plan, including goals, objectives, mission, leadership, operations, forecasts and uses of funds, investors will never look at your Business Plan. Usually, it is best to complete the ES first and get that tight and in final form, and then use it as a partial guide to complete the Business Plan. We like using headings in the ES that coincide with the Sections of your Business Plan. Remember, the Executive Summary can convey the entire story of your business, and it needs to quickly grab the reader's attention in this attention-deficit, techno-distraction world we live in.

Investor Expectations and Business Plan Synergies

From a local dining establishment to a start-up tech company of substance and (almost) all in between, unless you have bundles of cash and/or collateral as a principal, your Plan needs to convey why you are blazing new paths concurrently with tried and true paths to success. Unless you are a part of a nonprofit organization with grant potential or the rare for profit like an energy alternative, expect to offer equity of up to 50% to "partners" and provide realistic forecasts based on in-depth market and competitive analyses that support various exit strategy options. Be sure your Plan somehow balances concise and detailed, know when each is appropriate for key components of your Plan, and do not use some samples you got online.

Forecasts we receive from so many smart people are usually missing financial presentation in detailed and supported assumptions, with support in the Business Plan including a sufficient competitive analysis, market penetration assessment, let alone a staffing plan that can deliver marketing, sales, operational support and more. All these Plan components have synergies that must be expressed, and in the right place(s). All great Plans need several sets of eyes, and we can provide a couple that are not too close to see the forest for the trees!