September 28, 2012
You will have to work hard in order to impress an investor and to get the funding for your new project. Drafting a highly professional, punctual and realistic business plan is the best way to demonstrate your idea’s potential. Business plan creation is easier said than done, especially if you are a newbie in a specific niche. Making it tight, coming up with revenue predictions and convincing someone that the idea is worth spending on takes much more than diligent preparation.
The following tips will help you put together a business plan that will present your project in the best possible light.
A business plan that is full of ambiguities and ‘what ifs’ will certainly deny you the opportunity to get the much needed funding. You need to provide specific information. This is the only way to convince an investor that you know what you are doing.
Describe the products and services in full details. Having a prototype to go with the business plan is a great idea. Come up with a long-term strategy. List the time you will need in order to establish yourself inside a niche and the period that will be necessary to start making some money. Try to include some revenue predictions, as well. Talking about numbers and setting some goals for the future speaks of your seriousness and commitment to the idea.
Good business plans show that you are familiar with the niche that you plan to enter. Always start with competition analysis. Find out who the other big players are, how they attract customers and what makes them unique. Once you know who you will be competing against, you can present a business plan that sets you apart. Nobody will invest in a project that resembles something already established and popular on the market.
Investors will be willing to listen to you if you know the audience you will be targeting and trying to turn into loyal clientele. Being highly specific and realistic about business dynamics is always better than excessive enthusiasm that lacks a practical dimension. It would be great to try selling the product to everyone but chances are
that only a specific group of people will be interested in what you have to offer. Come up with an audience profile. Who are the people that you want to sell your products and services to? Having a very precise idea about it will show how much of a business sense and accurate instinct you have. Angel investors and other people willing to spend money on your project will praise such knowledge and intuition.
Details matter, especially when you are trying to receive funding. Be as precise and specific as possible. Take your time to research the niche and to lay your ideas out in a concise, professional and attractive manner. This is your only chance to interest an investor and to receive support for your business.