Whether you are looking to raise venture capital or loan finance you need an investable business plan
There is a myth that a good idea with a terrific team will attract investment. Well it won't without a well written business plan. True, good early stage investors can see through a badly written plan. However, often they are too busy to try and there is normally a line of better ones behind you ready to tempt the investor. So take care to make sure you dont do yourself an injustice and please produce a good plan that really communicates your business idea.
Why is a good business plan important? A good written business plan is a guide to your business for you, your team, shareholders and existing and potential investors. Without it, a business risks lacking focus and direction. It’s also likely to be the first thing an investor or bank asks to see when you look to finance your business.
Make sure you have a summary! A good summary of the plan becomes your calling card; the messages in the plan feed into your sales literature and the objectives drive the team and hopefully excite the investor; while the resources and financial sections tell them if you’re going to be able to make it happen.
Is there a standard plan? In short no; but there are a number of things all plans should address:
- What does the business do?
- What's unique about it, where is its niche?
- Who are your customers?
- How does the business make money?
- The Management team
- Where is the business going?
- The finances, costs, income and profit projections.
Everyone has a different style and it also depends who is the target audience, who will read it and why.
Why use us? Because we are entrepreneurs and owner managers of small businesses ourselves and use people who run their own business, have raised finance or are themselves investors. If you need help with a business plan, use experienced people not just consultants.
Who will pay? Well you might have to; it is an important investment in your business. However, Finance Tree also has a number of routes to help you find part and sometimes all of the cost of producing a business plan. So just contact us for a chat.
