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 > Pennsylvania

Investment firm with 6+ year of experience. 6 MBAs with experience in multiple industries came together to form investment firm.

$50,000 to $250,000

United States > Virginia

Our pool of Private, Non-Bank, and Non-Traditional lenders consists of a flexible bridge and equity providers who are eager to provide lending solutions for financially sound investment projects. Our private lenders are our valuable asset and have taken years to collaborate. We presently have over 260 thousand private lenders in various sectors/industries. Each private lender in our database has its own unique lending parameters, based on the market, time, project, etc. Simple 3-Step Process -- (1) Complete our intake form as per your funding level(s). That's it, your job is done! (2) We take it from here. We push your initial project to specific private lenders in your space. Our goal is to gain "interest" from private lenders in your project. (3) When a private lender shows interest, the private lender will contact you directly so you can conduct direct communication.

$1,000 to $9,999,999,999

United States > Texas

Real estate investor specializing in student housing and college towns. Maintain real estate license in state of TX Private investor with current portfolio of approx 200 units. Specialize in Austin and College Station, TX markets Excellent track record and many industry connections.

$5,000 to $50,000

United States > New York

I am a married man that works in a family business owned by my wife's side of the family. My growth here is limited and I am looking to invest in something that may be a good opportunity for me to make additional money or possible even become a partner in.

$0 to $200,000

United States > California

Movie Producer,real estate ivestor

$25,000 to $75,000

United States > Florida

I have been investing in real estate for appox 10 years. If the project makes sense and if the project is legal count us in.

$10,000,000 to $50,000,000

United States > New York

I am an individual investor looking for opportunities especially in Emerging Markets but am also keenly looking at new products/services for the developed markets. I have a background in corporate finance and strategy.

$1 to $50,000

United States > New York

New York lawyer in late 20s specializing in litigation. Looking to invest in a Manhattan nightclub or bar opening or remodeling by summer 2011. Ideally, the venue will be small-scale (300 capacity or less) and have an original or emerging concept. Willing to invest up to $100k in exchange for a percentage of ownership in venue.

$10,000 to $100,000