This is the tale of two business plans with very different cover pages. They both contain a unique and exciting business opportunity with the potential for high investment returns. Arriving in the morning mail, each neatly bound plan lands on the desk of the same potential business investor. Both plans are competing with hundreds of other documents, worksheets, phone calls, and articles for the investor's attention. And, they compete in time, because each one, seen for a few seconds, is either heeded or passed up and seldom returned to by the investor.
The first plan is tightly bound. It has a cover page made from thick paper stock. The cover page resembles the cover page to a term paper. The company's name in the center of the page and the owner's contact information in the bottom left corner provide the first bits of information about the business to the investor. Not being familiar with the company name or the owner, the investor must now open the plan in order to learn anything meaningful about the business venture.
However, the stiff cover page complicates this simple task by preventing the document from easily flipping open and laying flat. Aggravating the investor who suddenly has to divert one hand from the uncooperative business plan to answer the phone as it rings for attention, leaving the remaining free hand to wrestle with the cover and hold the plan's pages flat.
After wrestling with the business plan, the quick-handed investor gets a glimpse of the first page of the plan: a standard confidentiality agreement. So the battle to find some meaningful information continues. This time, after some contorted efforts, the investor arrives at the next page, which is?the table of contents.
At this point, the investor is reminded of the caller on the phone. Not wanting to be rude, the investor apologizes to the caller and returns to the business plan challenge at hand. Eventually the investor reaches a page titled "Executive Summary." Anxiously the investor scans the page only to see an endless ocean of words and "information-less" headings like "The Company," "The Market and Industry," "Business Model/Strategy" and so on. Not wanting to be rude to the caller any longer, the investor decides its best to put this document aside...
The second business plan is also neatly bound. However, the binding on this plan allows the cover and pages to flip open and lay flat. In addition, the cover page is divided into two columns.
The left column is about five inches in width. It contains a brief headline at the top of the column that captures the essence of the business. The headline is followed by an outline of the business plan with concise single-paragraphs that summarize the company, its management team, its products/services, the funds being requested, available collateral, the use of proceeds, and a likely exit. The column ends with a small table of financial projections.
The right hand column, about two inches wide, begins by identifying the stage the business is in and its primary industry or market. This information is followed by the owners contact information and ends with a table of contents. The layout is not crowded and has plenty of white space to make it easy to read and easy on the eyes.
As the investor attempts to read this business plan, he receives another phone call. This time the investor doesn't have to wrestle with the business plan to read it. With one hand on the receiver, the other simply holds the plan or takes notes.
More importantly, the investor never has to actually open the business plan to find out basic information about the business venture. A quick scan of this business plan's cover page tells whether or not this business venture meets the investor's investment criteria in terms of market focus, business stage, and deal size. By simply highlighting a few key elements on the cover page of the business plan, the investor can pass along meaningful information to a colleague for further review and follow-up.
But let's say that this business plan doesn't fit this investor's investment criteria. What would happen then? Well, instead of just being passed up and never returned to, this investor, who was able to quickly glean some good insight into the business plan straight from the plan's cover page, is now in a position to forward the information to another investor who might be looking for this type of investment opportunity.
Remember, investors are typically very busy people; often juggling more than one major project or deal at a time. To separate your business plan from other plans and increase your chances for getting the funding you need, lay out and package your plan to fit their busy schedules and work styles. Start with an effective business plan cover page. click here for an example.
Mike Elia is a chief financial officer and an advisor to venture capitalists and leverage buyout specialists. His business plan ebook click here for an example. and click here for an example. help you make your business the most appealing investment choice to venture capitalist, bankers, and other business investors.
recurring maid service Wilmette ..No matter your age or station in life, we all... Read More
Some of the very qualities that attract people to the... Read More
According to the American Society for Aesthetic Plastic Surgery, since... Read More
Your on-line success is based on your efforts and yours... Read More
Here are some useful tips on how to select a... Read More
You only have so much time in a day right?So... Read More
THE PSYCHOLOGY OF PRICINGIn case you hadn't noticed, people can... Read More
Thankfully, most of us will never find out. That is... Read More
We are noticing an increase in the length of time... Read More
Thinking of starting a business on line? If so there... Read More
Last year, trillions of dollars transferred hands on the internet... Read More
While there are few career paths that some would call... Read More
Do you have a Business Plan? Congratulations, but you are... Read More
When you awoke this morning, you found yourself buzzing with... Read More
As a successful small business owner,you're accustomed to long hours;... Read More
Many smaller businesses choose niche markets for various reasons and... Read More
Debt collection letters--an overview"Debt collection letter" in the singular may... Read More
Canon City, Colorado is known for it's 6 Prisons; State... Read More
Where would a business be without a business plan? A... Read More
In general, all of us know how to accomplish the... Read More
You can't imagine how many people ask me how I... Read More
How a donation is different from a sponsorship and what... Read More
Boston itself covers 50 square miles of concrete and traffic,... Read More
Your grandfather probably told you to "learn something new everyday".... Read More
Some of the greatest words of wisdom for any man... Read More
last minute cleaning help Highland Park ..Business owners rarely go into business to deal with the... Read More
Why should you describe your business to others in 5... Read More
Would you rather have one good client paying you five... Read More
Purchasing a franchise has become one of the most popular... Read More
I love lists. I make them for everything. And I'm... Read More
Before you read any further in this article, I'd like... Read More
I am simply amazed at the problems some of my... Read More
At first glance, this topic may seem a little repetitive,... Read More
-- Building Credibility Through Success Stories --Successful solo entrepreneurs spend... Read More
1. Know Where You're Going ? Coach Herb Brooks had... Read More
There have been many great points raised on both sides... Read More
Looking for ways to boost your cash flow? As a... Read More
There is a Batting Cages Business for those people who... Read More
Many ventures are faced with the challenging task of raising... Read More
If you don't know what a Virtual Assistant (or VA)... Read More
Once you've decided to incorporate your small business the next... Read More
Do you operate your business as a series of projects,... Read More
Do you spend every waking minute in your business? Do... Read More
-- Beyond Cold Calling, "Warm" Calling and Sending E-mails --Many... Read More
Is your business making money? Would you know?Figuring out whether... Read More
In many industries, image is one of the last things... Read More
So it's time to invest some finances into advertising your... Read More
You've heard marketing and advertising gurus quip, "Sell the sizzle,... Read More
If you own a small business, then you know the... Read More
Do you have a Business Plan? Congratulations, but you are... Read More
Small Business |