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 > South Carolina

Years of history in the real estate business in multiple capacities. Investment and legal background for family, personal and client interests. Experienced in both private and group investment portfolios. Mainly interested in Multi family Housing, medium to large complexes.

$75,000 to $1,000,000

Singapore > Singapore

I'm a young Digital Marketing Expert looking to invest money in consumer facing projects. I have a degree in Business Management and Marketing and 5 years + of experience in the working environment. I have worked for a start-up and am currently working in a start-up business unit within a large company. I work in branding and communications and have experience in all things digital i.e. search, display, ad-serving etc. I also have contacts in clothing and alcohol distribution and import/export. I'm absolutely willing to get hands on with a business if it is a good opportunity and want to work with ambitious people similar to myself.

$1,000 to $10,000

United States > Connecticut

My investments have been in the traditional outlets of privately held companies and real estate. Have been in advertising for 27 years as a senior manager in large companies and a start-up. My partner and I are new angel investors who would like to participate in the development of a new or established business.

$10,000 to $250,000

United States > New York

I am 32. Live in NYC. I am married, i have children. I have been a member of the New York Angels for 3 years. I have invested in over 50 start-ups through the NYA. I have an investment in a private funds which operate in the CIS. The fund invests in agriculture in Russia and Ukraine. I play an active role in the management of said fund and its business activities. I also invest family capital in real estate within the 50 states.

$5,000 to $25,000

United States > New York

I am an experienced business owner and investor. I am available and able to discuss potential issues but am happy to assist and help when able.

$1,000 to $500,000

United States > Georgia

Earned an MBA from the Kellogg School of Management at Northwestern University and a BA in Economics and American Studies at the University of Richmond in Virginia. brings over 10 years of experience in healthcare operations and private equity investing. Our background includes oversight of Strategic Planning, Corporate Development and Sales & Marketing as the company grew. Our principal investment experience includes more than 50 completed transactions representing over $1.3 billion of equity capital.

$10,000 to $10,000,000

United States > New York

15 years in investing in real estate development. 15 years owning Mortgage companies 15 years owning and operating, consulting,advisement of real estate Own and operate real estate funding company Teach, consult, mentor real estate entrepreneurs

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

United States > California

I am looking for any viable investment that offers a good return on investment funds.

$10,000 to $200,000