The Essential Ingredient For A Killer Business Plan
Category: Business Planning
Tags: business plan, business planning, killer business plan
Has anybody ever told you the bed time story of the “Killer Business Plan“?
Probably not, as I just made it up. But it’s a great story, trust me.
Let’s for a moment imagine that we are starting a small business. We all know that the first step to starting a small business is to have an idea and to put that idea on paper. This paper, we relate to as your business plan.
Now let’s say that you have to send your business plan in to a government funding agency to get some money for your small business. You write it real nice, you include all the necessary components, you add a picture or two in there and it looks real smooth. There is no reason why it should’t get funded. Right?
Yes you are right…considering that your business plan gets picked up and looked at by the person who matters.
The reality however is that government funding agencies and even private investors look at hundreds if not thousands of business plans a month. Let me correct that actually. These government agencies and private investors look at hundreds/thousands of business plan cover pages and maybe 1 or 2 more pages past the cover page.
Just imagine, sending in your business plan in the mail, getting mixed in with all of the other business plans and documents and landing on the desk of the funding agency adviser who has to sort though them. Â Why would that person look at your plan?
Sure you have the nice cover page and very professionally bound plan that includes all of the below business plan sections. It answers every question that the funding agency might have. but will they get to the point to read it?
Just in case you aren’t familiar with the Business Plan Components, here they are:
- Executive summary – a snapshot of your business.
- Company description – describes what you do.
- Market analysis – research on your industry, market, and competitors.
- Organization and management – your business and management structure.
- Service or product – the products or services you’re offering.
- Marketing and sales – how you’ll market your business and your sales strategy.
- Funding request – how much money you’ll need for next 3 to 5 years.
- Financial projections – supply information like balance sheets.
- Appendix- an optional section that includes resumes and permits.
So what would you do to ensure that your business plan has that one special ingredient that other business plans might not. What would you do to get funded?
For this answer we turn to popular TV shows such as Shark Tank or Dragons Den.
Do you know what it is?
It seems that investors on TV, and private investors in real life situations as well as government agencies love to see, to feel and to experience what you are selling.
In other words, give them a sample, a trial, a demo. Show them who you are and what you are about by demonstrating versus having them read.
Yes it’s understandable that you won’t be in front of the investors or agencies to be able to present it, so how do you do it?
There are a few options:
- Don’t have a physical product/service show-off. With the ability to create powerful presentations, YouTube videos, try to create a demo show-off experience. Possibly try to engage the public. By attaching a USB or a CD along with your business plan cover page, you may get additional engagement from the investor that you wouldn’t get otherwise.
- Ship in the business plan and demo of your product with a courier. Sure this does cost a bit more, but now imagine the investors when all of the business plans are arriving in ugly yellow or white envelopes, and here comes a special delivery with your fancy business plan, and a nice present. It’s not a bribe, however it shows the investor or agency that you went out of your way to get noticed.
Remember the first step to getting your small business funded is to ensure that you have a business plan. The next critical step (even before they read the plan), is to ensure that your business plan stands out from the other business plans on the desk of the investor or the government funding agency adviser.
This is our killer business plan ingredient that could help you get funded. If you’ve experienced another way to attract the attention, share with us.
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