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 > Arizona

1) Capital Secure-Bank Platform This excellent direct Bank Platform allows a client with $10 million dollars cash (minimum) to generate additional capital in a "principal secure" Bank Platform. After approval and screening, the "Client" is introduced to, deals direct with, meets with and signs Agreements directly with the Bank. 2) Bank Instrument Funding Excellent financing offer for clients that are the Owners/beneficiaries of Stand by Letters of Credit or other cash backed bank instruments. 3) Loan Guarantee-Bank Collateral Structure If a borrower has a lender interested in funding but requires additional collateral, this structure can provide Bank Collateral from a Top (25) World Bank. Also, my associate has direct access to a platform that takes leased instruments and cash. They also have a small platform, $25,000- $100,000 investment and it is backed by a bond for safekeeping through Bank of America.

$10,000,000 to $1,000,000,000

United States > California

I personally have 28 years of experience in commercial finance. Currently my flagship product is a funding strategy created by the SEC in 1982; the Reg D Private Placement. This strategy has been extremely successful over the years. It is estimated that over $40 million a day is raised for entrepreneurs using this structure. Many who seek funding make the mistake of believing a business plan is all that is needed. Wrong! Sophisticated investors expect that companies seeking financing are savvy enough to have a complete prospectus that respects state and federal securities laws, as well as a well-thought-out business plan. I will be happy to review your proposal free of obligation or cost.

$100,000 to $15,000,000

United States > Arizona

I launched 3 business start ups over the last 25 years that have netted me over $25 million.

$1 to $100,000,000

United States > Indiana

Hi my name is Debbie my husband is Gary and we live in Lafayette Indiana. For the last 27 years we have owned student rentals at Purdue University and other locations throughout Lafayette. My husband used to own a company called Progressive Pest Control but decided to join me in the rental business 16 years ago. I am a licensed real estate broker, my husband is an entomologist from Purdue University. We have management, building construction, pest control and good negotiating skills. We are open minded and not afraid to get involved in the right project. Currently we are looking to invest in something that is going to generate an income and increase our portfolio. We would like to be involved whether it be management, board of directors or silent as long as it was informative on a monthly basis. We are individual investors. Thank you Gary & Debbie

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

United States > New York

-Professional intermediary and venture investor seeking new opportunities. -Large firm and boutique firm experience. -20+ years of experience as an advisor and investor in the private sector working with entrepreneurs in small to mid sized companies. -Typically follow a "club approach" and co-invest with groups of individuals/firms. -Also provide M&A/capital advisory services

$100,000 to $1,000,000

United States > New York

In my currently role, I serve as Head of Strategic Business Development for a newly found middle-market private equity firm. Reporting directly to the firms Co-Managing Partners - I work to contact and vet strategic investors for our the fund as well as the funds various lines of business. Prior to joining Private Equity Firm, I spent a year working with a Multi-Family Office as it's Head of Strategic Business Development. From 2008-2016 I worked in executive search as a generalist working directly beneath the firm's Chairman & CEO.

$10,000 to $1,000,000

United States > California

Young investor with excess income. Looking to invest in interesting products/services. Military and civilian background.

$1 to $100,000

United States > New York

I am a private investor looking to diversify my personal holdings. I have invested in tech companies, real estate, pharmaceutical companies, and evaluated opportunities in other sectors. My professional background is in the private equity business.

$5,000 to $1,000,000