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 > Minnesota

I spent 17 years in advertising helping companies grow their business. I have worked on many product launches for Fortune 500 companies as well as helping start-ups take a foothold in new markets. I am interested in investing financially in new companies as well as utilizing my skills as a Creative to create equity.

$1,000 to $20,000

Canada > Thornhill

Represent a business development firm, willing to help new clients in the media and technology space. Contact me for additional detail.

$500,000 to $10,000,000

United States > Massachusetts

PhD in Business Administration with global experience in senior corporate positions. Looking for investments that can deliver 50% in 3 years. Real Estate investments >$2,000,000 Start-ups >$500,000 Grow >$500,000

$50,000 to $1,000,000

United States > Texas

Private Investor Source has over 340 Private Investors in our group, we Introduce Entrepreneurs & Business Owners to Investors. We also have access to Commercial Lenders as well as 100 Million Programs.

$150,000 to $100,000,000

United States > New York

Fund I and Fund II invests in early stage broad based technologies and medical device companies utilizing its earned value milestone-based investment approach. As a lead or co-lead investor we aim to build strong financial discipline and operational execution to achieve sound business fundamentals through its earned value milestone investments to quantify enhanced valuations. In May 2012, the firm launched Fund II to make new investments in early stage companies with keen focus on Healthcare Technology, Medical Device, Wireless, Mobile, and Cloud Computing SaaS (Software as a Service) companies.

$1,000,000 to $5,000,000

United States > Colorado

I am an Entrepreneur turned equity investor. I have owned, ran, bought, sold and consulted companies for 25+ years. I now choose to work in finance, especially with cutting edge companies, nano and alternative technologies, highly profitable, high margin, and alternative and renewable energy companies. I have many deals under my belt and prefer to work with companies that display commitment, dedication, creativity, vision, and frugality. I prefer to work with people that are not afraid to roll up their sleeves and get deep into it. To do whatever it takes to make your project a success.

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

United States > New York

I have been in banking for 26 years project manager of lend america mortgage bank within these two months........ we have over 2 billion dollars in joint venure

$350,000 to $5,000,000

United States > New Jersey

I am located in New Jersey. I am currently a real estate agent in Middlesex county. I am looking to invest in a company or a product that will flourish and grow. I am willing to do the leg work and work hard to get where we want to be.

$10,000 to $80,000