New York Investment Network

Business Plan Tips

What Investors Are Looking For In A Plan

Investors, whether angels or VC's, are looking for the same things when reading a business plan. They want to know how big the opportunity is, whether this is the right team to exploit the opportunity, who the competition is, what the risks are, and why they can expect this team to implement successfully. Your job in writing the business plan is to address these questions convincingly and clearly.

Emphasize Your Real Strengths

Highlight what your team brings to the table. If your business hinges on a particular competency (for example, understanding the procurement process), your plan will be more persuasive if one of your team members knows something about it and that is brought out in your plan. Rather than including generic resumes of team members, tailor the resumes to draw out the experience each member has that will make him or her a valuable contributor.

Get To The Point And Make It Clear And Comprehensive

Investors see many business plans. A 20-page plan which clearly lays out your business is far more likely to be read than a 100 page plan. Today, some entrepreneurs are using a 15 slide Powerpoint presentation. If your text is short and punchy, you won't need to repeat yourself, because the reader won't be bogged down keeping ten chapters in their head. Reading the same thing over and over, even if it's in different words, can get really tiring. The more you use brevity and give each concept a single home in your document, the more people will want to read it.

Write In Plain English

If you can't explain your idea in English, either you don't understand what you're talking about (What is a transaction enabled atomic journaling database server, anyway?) or you haven't simplified the idea enough. Think, revise, and try again.

Get Rid Of The Hype

Yes, we know you will be the "premier insert product category here of the Internet, achieving 99% market penetration with 60% customer retention in 3 months". Your product will reach "new heights in customer experience through the use of personalization and one-to-one profiling and customization". It will be "user friendly" because you will be creating a truly "ecstatic customer experience". It is a "quantum leap forward" in the marketplace for product category here. Um, yeah. Believe me, we've read it before. About a dozen times today, in fact. (And by the way, the phrase "quantum leap" really doesn't mean anything.) Stick to a tight, simple explanation of your idea. Convince your reader you'll be the best because your idea is the best, not because you can string a dozen buzzwords together.

Use Quantifiable Information

In each section, back up your assertions with solid facts. Even if you are a new venture and cannot give specific figures on the performance of your business, quote figures for the industry or your competitors. These real figures carry more weight than your assumed projections and give more reality to your plan.

Choose A Huge Market

Especially in the internet world, investors are looking more at the market than at the detailed specifics of your financials. Choose a market that is big enough to be an obvious good opportunity. A business which targets teenage girls who listen to music and has a reasonable chance of capturing 90% of the girls that are online is a huge opportunity. A business which targets net-savvy SAAB mechanics who need prosthetic limbs is not.

Local Investors

United States > California

Recent: July 2006 – Present, Managing Director of a Capital Group We provide a select array of debt financing solutions critical to the growth of middle-market and emerging growth companies looking to leverage their cash and equity to acquire debt for equipment or growth capital. We understand the relation between your company's cash and equity, where the key to success is conserving both and having access to additional sources of capital for capital expenditures. The key to our success is having the resources, the insight and the talent to extract the highest value from your business assets and being able to leverage them to facilitate a loan to achieve maximum growth and profitability.

$5,000 to $10,000,000

Malta > St Pauls Bay

Over the past five or so years I have invested in and helped a number of IT software companies grow their business. These companies are globally spread (EU, US, Canada and Asia) and are typically NOT START UPS (even though I have worked with and helped start ups). They are companies in growth mode that are looking to IPO in the next few years but require additional capital /best practice marketing and selling to grow to their true potential. Hands on with an MBA majoring in marketing and accounting, I am well rounded and experienced at helping good software companies become GREAT software companies. As well as investing in these companies directly, I have and do also helped prepare and raise considerable funds (+$5M) FOR PRE IPO stage.

$100,000 to $5,000,000

United States > New York

Our Group is a private, international investment group, focusing primarily on health care, energy resources and technology.We look for large projects as well as for the small and medium size ones. Although we target existing companies in need of additional investment and/or financing, the businesses in the start-up or early stage are welcome.Thanks to our international network, we a able to help company,that does not want finance but just find the right partner in the other side of the world to start a new market.

$1,000 to $1,000,000,000

United States > Florida

I have 24 years in the Investment Banking Business. My objective is to build up and devote full time in the venture i get involved with. My specialty is M/A. I have clients all around the world that i have done many M/A transactions. I am a private investor that is willing to invest my own capital. I also have access to all my contacts all over the world. I have raised over 300 million for venture capital deals in the past. My goal is to invest my capital and raise the value of the company and sell it off to some of my groups that are looking to acquire profitable companies out of the country.

$25,000 to $400,000

United States > California

Private Equity and Debt Placement - Principal. We are a boutique private investment firm managing companies that raise money for select real estate, hotel, casino, business, technology, energy, marine, and entertainment projects, worldwide, exclusively through direct private placement with our investors. The fund raising process is straight-forward, transparent, very low cost, and essentially risk-free. We presently have over a billion dollars of registered investor capacity. Please contact us for further information.

$1,000,000 to $25,000,000

United States > California

Young investor with excess income. Looking to invest in interesting products/services. Military and civilian background.

$1 to $100,000

United States > New Jersey

Live in northern jersey 15 min from New York City, single, and no kids. I am a mature 31 years old all business and no nonsense kind of guy. Will listen to proposals and will invest if think it is a good idea. Need to be in the loop somehow even if i am a silent partner. Have a great deal of family in the molding industry and would make it really easy to get a great idea started if that is the type of investment I am involved in. Have lots of connection Brazil if needed. Am really ready to invest with no nonsense if someone is ready to pitch me a good idea.

$50,000 to $160,000

United States > New York

My investment objectives are to invest in environmental or green technology companies with brand management that focuses on sustainable development initiatives. My involvement level would be the SEO brand advisor creating and maintaining a web-presence that grows the business, increases market share, strengthens financial performance and improves business to business & customer relationships.

$360,000 to $1,300,000