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 > Georgia

Investing in Real Estate SF. Wholesale Rehab.

$50,000 to $100,000

United States > North Carolina

I am looking for a company that I can reach the highest return on my investment.

$50,000 to $500,000

United States > Maryland

New to real estate investing but not new to other types of investing. Worked in sales for AT&T for 30 years. Private investor.

$5,000 to $150,000

United States > New York

I grew up in Guatemala and my wife in Honduras. We have lived and raised our family in Elmira Heights NY for about 30 years. I started an exterior remodeling company in 1991 and currently am specialized in seamless gutters and Gutter Helmet. We have also started a nonprofit for access to drinking water. I now travel the developing world working to help improve access to safe drinking water. We also are getting involved in helping to reduce human trafficking in Nepal by helping to support small business creation. We are in the process of selling our business to do this full time and are looking for profitable investments to support our work.

$10,000 to $250,000

United States > California

I am experienced in high tech venture business as private or group investor.

$100,000 to $3,000,000

United States > New York

I am an accredited Investor looking for investments

$100,000 to $200,000

United States > New York

Have profitably invested in start up companies from event ticket brokers to mobile phone distributors. Experience in money management, sales, purchasing, and managerial positions. Private investor.

$10,000 to $250,000

United States > Connecticut

I succeed if you succeed. My goal is to give you what you need to prosper whether that be hands- on or hands-off. I'm a married, MBA living in Connecticut with a very broad level experience in the consumer goods industry. My experience includes international retail markets but also includes some large corporate licensing deals with major global corporations. I plan to consider viable investment options while leveraging my education in marketing and general business. While also taking advantage of extensive experience at an entrepreneurial company in managing fast moving projects with a need to be profitable almost immediately.

$5,000 to $10,000