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Business Plan Tips

What Investors Are Looking For In A Plan

Investors - whether angels or VCs - 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 you explain in your plan that of your team members knows has expertise in this area. 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 read a lot of 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 use a 15 slide Power Point 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 worded differently, can get really tiring. If you try and be as precise and to the point as possible, people are more likely to want to read it.

Write In Plain English

If you can't explain your idea in clear and simple 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, try and 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.

Don't give more away than you want to

Be aware of who is reading your information, and never give away more information than you feel comfortable with. Do due diligence on anyone who you are dealing with. If you do need to reveal sensitive information, ask for a Non Disclosure Agreement (NDA) to be signed.


Latest Investors

United Kingdom > Berkshire

£25,000 to £250,000

March 9, 2010

Chartered Accountant and part of a team offering financial and marketing support.

United Kingdom > London

£500 to £15,000

March 7, 2010

Experience in number of sectors, looking to invest in serious businesses with a good potential. Looking to be hands on or at the very least in an advisory role. Education: MSc, ACA. Individual investor, good PE & consultancy contacts.

United Kingdom > Hampshire

£50,000 to £500,000

March 7, 2010

Professional investor interested in hydro electric micro generation opportunities. Willing to both invest and advise using considerable business experience.

United Kingdom > Berkshire

£0 to £100,000

March 6, 2010

Age 48 /married/Live & work in London area. BSc , MBA , Harvard & Wharton management trained , individual investor, currently work in global executive strategic planning & marketing role in major consumer goods multinational. Main experience in food & drinks - also worked in leading European commercial and international mergers and acquisitions roles. No direct in company investment however experienced stocks and extensive property investor with very high level of financial literacy Degree of involvement can vary depending on personal interest in the opportunity

United Kingdom > London

£5,000 to £100,000

March 6, 2010

I am a single 30 year old finance professional based in London. I have a BEng in Electrical Engineering from McGill University in Canada and an MSc in Risk Management from LSE in the UK. I have no previous investment experience. My anticipated involved will depend on how much I feel I can bring to the table in each specific case. I am an individual investor.

United Kingdom > Somerset

£5,000 to £20,000

March 6, 2010

Living in the south west I am married with one daughter, background in manufacture and construction, currently employee 60 persons over 3 sites, academic qualifications, worldly wise, self taught and highly motivated, can be advisory or hands on when required looking for something different investment based on opportunity’s.

United Kingdom > Surrey

£10,000 to £50,000

March 5, 2010

We are two 46 year old guys living in the South East of England (Berkshire & Surrey) One of is married with family the other one is divorced with grown up children. We both have extensive knowledge of the direct mail business as well as internet marketing. We have both had or have very successful businesses in the direct marketing,conference/seminar hosting environment. Funds available to invest are substantial, and would be placed with one or both of us being involved in a advisory capacity.

United Kingdom > Hampshire

£50,000 to £100,000

March 4, 2010

I am retired, married, a university graduate, and live on the south coast of England. My my last business was sold n 2005. That business was the third that I established, built up and sold during the last 25 years. Although two of my previous businesses were in the field of travel and the other was in retail, I have acted as a consultant to several other businesses in such diverse fields as training, purchasing and IT . My hands-on experience in all aspects of running and managing very successful businesses sometimes employing 200 people, I hope would be attractive to entrepreneurs who would value the benefit of my experience and advice but who would not want the interference of a hands-on , day-to-day investor. I am an individual investor who would like to help both fledgeling and established companies become more successful, which I am confident would be to the mutual financial benefit of both parties.

United Kingdom > Buckinghamshire

£1,000 to £200,000

March 4, 2010

Personal information Age: 36 Location: Milton Keynes Professional experience Director: Trading Business Director: Recruitment and Staffing Business Professional qualifications: MBA with specialisation in Marketing and Finance. Education: MBA Other value-adds: Experienced with expertise in Trading, New Product Development, and tremendous contacts in wide ranging industries. Anticipated involvement: Hands-on, Advisory and silent.

United Kingdom > Yorkshire

£5,000 to £40,000

March 2, 2010

I'm interested in small to medium size business preferably all ready established but I will consider new start ups.

United Kingdom > Berkshire

£10,000 to £30,000

March 2, 2010

I'm a 46 year old company director, married with 3 children. I currently run 2 successful business, one on my own and another with a partner. MY CAD business I have run for around 20 years. My background is in building construction/refurb/CAD/IT I'm open to considering anything that peaks my interest either by myself or with my business partner. Happy to be hands on or silent depending on the opportunity but the potential must be there to stimulate me as I'm currently exceedingly bored.

United Kingdom > Midlothian

£20,000 to £30,000

March 1, 2010

I'm 36, married and based in both Guildford, Surrey, and Edinburgh, Scotland. With an initial investment of approx £10k, I founded my own company, over 3 and a half years ago, and, utilising my extensive knowledge of corporate strategy and marketing, have sustained growth in 2 diverse industries: SAP Consultancy and Employee Relations Research and Consultancy. I'm a fully qualified teacher having previously taught Business Management, Finance, Marketing and HRM for 4 years; prior to this I worked for seven years in line management roles in the insurance industry. I'm educated to Post-Graduate Business Level with an MA Honours degree in Business Management and an MSc in Business Management Research. I'm currently working on extensive Employee Relations research with the Business Management Dept at Glasgow University. My status is as an individual investor and my anticipated involvement would be preferably hands-on or advisory.

United States > New York

£1,000,000 to £100,000,000

February 28, 2010

Partner at a New York based alternative investment advisory firm. We have advised in the development of and allocated capital to some of the world's most sophisticated, technologically-driven hedge funds and highly quantitative proprietary trading firms actively managing multiple billions of dollars in assets globally. Interested in investing and allocating to top-performing systematic trading strategies across asset classes and geographies. Excellent professional and academic pedigree are essential. We are open to seed arrangements involving working and investment capital as well as strictly trading capital allocations to pre-existing entities looking to scale. We typically act as a silent partner though our involvement and appropriate terms are considered on a case-by-case basis.

United Kingdom > Hertfordshire

£10,000 to £50,000

February 26, 2010

Married, 52 years old. 25 years investment management experience in the City (CIO of Russell Investments until March 2009). 7 years practical experience in Environmental Sciences. Currently freelance management consultant and founder of private equity partnership. Extensive board-level experience. PhD, M.Sc in River engineering. Would be an individual investor, fairly hands-on on-Exec type role.

United Kingdom > London

£10,000 to £300,000

February 25, 2010

Married with 2 kids. Currently investing in property and property investments for the last 8 years. Within that time I have acquired many contacts throughout Europe. I prefer to act as a sole investor but I will consider investing alongside investment groups.

United Kingdom > Yorkshire

£10,000 to £150,000

February 25, 2010

My wife and I are semi retired business people with over 30 years experience in buying, sales and marketing for Blue Chip Companies with £multimillion budgets in successful new product/concept launches. We also have experience in franchising and logistics/strategy. Having recently sold our own successful business and after taking a year out are looking for a fresh challenge. We are willing to invest in any sector, but looking to get involved in a secure and/or established/proven business or product using our own funds.

United Kingdom > Yorkshire

£1,000 to £100,000

February 25, 2010

28 year old Yorkshire based businessman with large amount of experience in the UK renewable energy sector. Currently I head up New Business Development for a large renewable utility and have money to invest in suitable businesses. I also have experience in property development and complex planning/environmental permissions and waste management/recycling operations. I have a 2:1 degree in Business Management. I have made several investments in local businesses in the past 12 months and depending on the type of investment and/or business, am prepared to take on a hands-on, advisory or silent position. I am an individual investor representing a large family estate.

United Kingdom > Somerset

£1,000 to £50,000

February 24, 2010

1. Married and living in the S.West of the UK 2. Current positions include: Managing Director, Senior Business Manager Consultant, Board Member. Degree educated and hold 4 A levels and 12 GCSE's 3. Experience in new start up companies. I have strong sales background coupled with many years of experience within financial services including commercial and retail. I have excellent high level qualifications and experience 4. Ability to offer hands on of consultancy approach, I am a motivator, driver and excellent in helping any business start,grow or change direction or over come financial or business level issues 5. Individual investor I offer passion and experience, along with innovative and dynamic approaches. I will work with you and your business - I can be hands on or a silent partner. Honestly, I like to get involved and understand your business and give advice and guidance. I am currently active in 4 businesses.

United Kingdom > London

£0 to £10,000

February 24, 2010

Commercial Director of a marketing agency Start-up agency experience Qualified Accountant Partner has a start up business that i also invest in Top level startegic involvement in your business Looking to help grow a business

Spain > Piles

£20,000,000 to £100,000,000

February 23, 2010

Project financing in the field of renewable energy in Europe - looking for investments in Solar, Wind or Waste To Diesel.



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