California 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.

Registered Investors

United States > Texas

I have been in the industry for more than 15 years. I have managed several start ups with millions of dollars in net worth.

$500,000 to $5,000,000

United States > California

I am currently working as an analyst for a top management consultancy, with international experience spanning industries and functions. My recent focus involves the retail, alternative energy, and telecom/ mobile industries advising clients on areas such as corporate strategy, sales/marketing effectiveness, cash cycle management, and operations. Prior work experiences include: private wealth management, residential solar energy startup, and launching a new automotive brand in North America. I am currently acting as an individual investor. My investment experience has thus far been limited to publicly traded equity instruments. I graduated with a B.S. from the University of California, Berkeley Haas School of Business with concentrations in finance and entrepreneurship.

$500 to $15,000

United States > California

Background in wholesaling and fix and flip SFR properties In California. I now work with a group of lenders that lends to Corporations, General Partnerships, Limited Partnerships, Limited Liability Companies, and Revocable Trusts. We offer flexible bridge loans combined with gap funding with a simple and transparent application process, reliable funding, and predictable pricing to achieve 100% financing for your fix and flip real estate investment project. The bridge loan, referred to as PRIME loan, is a short-term mortgage for real estate investors, who prefer to finance the purchase and/or rehabilitation of their investment property rather than buy fully in cash. The PRIME loan is the cornerstone delivering up to 90% of the cost for your fix and flip project. GAP funding, or gap financing, is used in combination with the PRIME loan as an interim, unsecured loan to finance the additional 10%, or more, to cover down payments, closing costs and reserve requirement.

$75,000 to $4,000,000

United States > California

Our firm works directly with multiple funding sources as consultants and qualified referral agents bringing capital to developers worldwide at 4% interest. We work in close association with multiple funding sources, private Investors to review business projects seeking funding from $3 M USD to 10 Billion USD and liaison between project principals and funders. Which is offered at 100% financing for your project needs at 4% interest. Plus we offer a Business Loan to Businesses at 4% interest.

$1,000,000 to $100,000,000

United States > Georgia

Private investor just starting out. Looking for opportunities within the film/enterntainment industries.

$0 to $50,000

United States > California

Investor with strong interest in tech and development using block chain and crypto, financing an residential and commercial real estate investments throughout the USA.

$10,000 to $500,000

United States > California

I'm an accomplished engineer with a strong background in technology and the automotive industry. I'm looking to begin investing in new & promising products/services. I'm extremely detail oriented and driven.

$1,000 to $50,000

United States > Pennsylvania

I have access to multiple funds for investors who are interested in film and television projects. I deal with all types of investors on each project.

$0 to $20,000,000