Online Campaigns, Online Advertisement and Common Sense

Errors In Development Of The Business Plan For The Venture Investor

Errors in development of the business plan for the venture investor

Too often company wants to show itself as something unique, with total absence of a competition in the market. It has a negative shade. If it isn’t present or there is only few companies on the given segment of the market, it means, that there is no enough clients. Availability healthy (as it will sound banal) a competition is positive aspect as determines the big size of the market. And it gives confidence to the investor in liquidity of the company.

And what about excessive underlining of partner relations with the world famous companies. It certainly sounds remarkably to have Nokia in partners, but details of these relations are also important. The business plan should explain not availability of a loud name of the partner, but value of these partner relations. For example, delivery for Nokia of paper clips for 10 dollars a month isn’t valuable.

Development of financial strategy and company value assessment on the future results should coincide with its history. Planned results, they only are planned, and one of the best indicators in the future are indicators of last periods. It should be shown that the company has achieved that what they received when the basic events have occurred. The history gives to the investor confidence that the company at least will repeat it and in the future.

Too superficial review of key figures of the company can be also a problem: Besides working careers of team members, it is necessary to show their growth (professional and career) it is commensurable with the company. Even if they have appeared in the company recently, all of them equally somewhere grew and were improved. Business is done by people.

The requirement to confidentiality: The majority of investors, as a rule, are the open companies. They will refuse to sign the confidentiality agreement of the received data. If you insist on closeness of the business plan it means that at opening of your developments, there will be a loss of advantages; such business isn’t steady and attractive.

It doesn’t concern the patented technologies. In the business plan it is not necessary to discuss confidential aspects of technologies, it is necessary to consider technology pluses comprehensively. In the way beginning on investment attraction the complete information about technologies isn’t required to the serious investor. Everything is good in its season. At the subsequent stages it is possible to consider signing of the confidential agreement, but in any way at a business plan stage.

At each investor the requirements to the business plan, familiarize with them because what is pleasant to one can irritate others. Show an individual approach to the investor.

The times when governments have been flooding people with all sorts of grants are over. At least for some time. But that does not imply that you must forget the idea of getting small business grants.

Everything is doable with smart attitude; small business grants including.

Read this blog for more practical tips about grants, how to apply for grants, grant samples, ups and downs of the grants. This information will help you to get small business grants or any other grants in a more convenient way.

Tags: , ,

Leave a Reply