Business Plan Followup

The professionals that I have researched while developing my business plan have all shared many great tips that are only going to make my plan that much better. Tim Berry shared that having a background and experience within the industry your plan falls in is very important. This is the number one this I am currently working on while developing my plan. Although it does not have to do with physically writing the plan it will help my management section become much stronger. Having a lengthy list of experience within the industry in my description in this section will help to prove to investors that I am qualified and knowledgeable regarding everything my business wishes to do.

Also shared by Tim is how important realistic financial projections are. This is a section of the plan that I am going to improve over the next month. With deeper research and speaking with companies similar to mine, I will be able to develop more accurate financial projections. This will in turn prove to investors that there is a opportunity to make a return on their investment and then some.

When it comes down to it I really think there are three sections that an investor really cares the most about. My bases for this comes from these questions: Who are you? What do you do? How much will it cost? Will I make money? I think as an investor reviewing a plan these are the main questions that I would be looking to answer while reading threw a business plan. So with these being the major points, I believe the key sections would be the executive summary, management section, and the finances. 

The executive summary is a great run down of what is included in the plan, and allows readers to really get an understanding about the company and what it is all about, which covers our what do you do question. Next the management section helps to show that they can trust you with their money and you have the skills needed to make it all happen, answering the question who are you. And lastly finances and projections answer the most important thing investors what to know is how much of my money do you want anyway? 

Experts Views on the Value of Business Plans

Tim Berry is the founder of bplans.com and author of the book ‘The Plan as You Go Business Plan.” With credentials like this Tim is more than qualified to give advice on the topic of putting together a business plan.

There are a few key things that investors will focus on when reviewing a business plan. First off investors are in you background and experience within your desired industry. This is important because you will be managing a business, so you must have a strong understanding and knowledge of whatever it is your business deals with.

Proving that the product of service that your offering has a large enough need in your market is vital to making a deal with any investor. This is because investors do not want to invest in something that is not going to go anywhere. They are looking for long-term investments with high profits. It is your job when planning your business to make it seem unique and really appeal to potential investors.

It is crucial that your business plan present in black in white that you have taken into account your competition and how you plan to compete. The use of realistic financial projections is another key element that investors will focus on. Investors are in it to see a return on their investment. With this being the case, you must clearly lay out how long until the business will break even and then show a profit.