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 > New York

Thanks for reading this, and good luck in your search process. I currently work in private equity (lower middle market so I could be exposed to hundreds of smaller, everyday companies) and was a former McKinsey consultant. Prior to that, I studied economics at UChicago and was my own entrepreneur (although a business model reselling coffee beans was not a huge success admittedly!) I have extensive investing and operational experiences from analysis, strategic structuring, to just hands-down knocking on doors. Within my job I also handle legal, accounting, and debt-related contracts and topics. Passionate about partnering with strong entrepreneurs in many capacities: from advisory to full partner status, depending on what you need. Can additionally invest as part of a consortium if that is valuable for you. Looking forward to hearing more about your venture!

$100 to $50,000

United States > Texas

I am a Private Investor also affiliated with Corporate Investment Group. With several years of investment experience, in-depth knowledge of the lending business and my intense work ethic has served the firm well. Combining strong creative financing skills with a meticulous hands- on style I have turned in a long list of successful loans worldwide. A strong background as Exec Consultant for an International firm, Worked as M.D. Operations in a real estate brokerage firm where I participated in investment, repositioning, acquisition, disposition and financing of real estate assets. Prior to that I was Exec Manager in an investment group for a business and real estate firm. My Financing experience, marketing expertise gives me the creative ability to consummate major transactions that require out of the box solutions. As certified Mortgage Consultant I initiate all kinds of income producing loans, equity, debt, hard money, venture capital and financial instruments.

$2,000,000 to $500,000,000

United States > Arkansas

Investment Criteria While the merits of each investment will vary, we evaluate your venture according to the following criteria. Management Team We look for teams of high-quality entrepreneurs with a track record of leadership and performance, either in the company's specific industry or in prior entrepreneurial ventures. We also look at your team's passion for and commitment to the new business idea, and your ability to inspire confidence among future stakeholders, including employees, potential customers, and investors. As we will be working together as partners, your team's credibility is essential. In addition, your team must be open to and comfortable with receiving input provided by angel investors. Market Opportunity We invest in solutions that address major problems for significantly large target markets. Your company must demonstrate a strategy to claim significant share of this market.

$100,000 to $600,000,000

United States > New York

History: Active management of my own retirement accounts Background: Physician with extensive experience in biochem/biotech enrolled in EMBA program

$100 to $2,000

United States > New York

I am an entrepreneur I am a relationship and finance broker I have relations with VC's and Hedge Fund group

$250,000 to $15,000,000

United States > Tennessee

Mostly real estate. Self employed for 15 yrs. Now works for an Airline. Looking to invest for a better return.

$5,000 to $50,000

United States > Florida

I am investing for a private group.

$1 to $100,000

United States > New York

Self-driven leader with an exceptional track record over 19 years for surpassing ambitious goals in Fortune 500 companies and the United Nations; throughout the Americas, Europe and Australia. Industries cover a wide range, from industrial products to automotive components, high-high-end logistics, and both government and private sector fundraising for the UNICEF. Enjoy turning challenging situations around through strategic planning, drive for cost-effective results, total quality management, team-building, and excellent diplomacy, negotiation and sustainable partnering with multiple stakeholders. Innovator in harnessing IT to acquire and disseminate information for real-time customer relationship management. Masters in Business and Public Administration from Georgetown and Harvard universities. Extensive professional network in the US and throughout the world. Family man. Currently live in Manhattan.

$500,000 to $2,000,000