Michigan 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.

Michigan Investors

United States > Michigan

Former community bank president, 10 yrs experience as private investor/consultant. Now leads group of investors.

$10,000 to $200,000

United States > Michigan

Work in automotive industry. Looking to be an investor and partner.

$100,000 to $250,000

United States > Michigan

I am a 46 year old married man and I reside in Michigan. I have been in the finance business for 22 years and have funded everything from someone buying a Island to small inventions. I have many contacts all over the world and if my group does not have the taste for a project then I most likely can get it done with my contacts. I have a full staff that assists me and we will not waste your time. If we like your deal we will move forward.

$500,000 to $65,000,000

United States > Michigan

40 years old, currently VP of Sale at healthcare company. Responsibilities include multi-year growth strategy development and execution. Skilled in go-to-market strategy, company focus and goal setting, process improvement and sales strategy. Bachelors Degree. Experience investor. I have developed several playbooks including growth strategy, go-to-market, sales process and marketing staffing. Interest and advisory experience in Cannabis with several connections. Open to both silent but would prefer advisory and potentially hands on. Individual investor.

$500 to $50,000

United States > Michigan

Individual investor looking for advisory/silent opportunities in the Midwest region. I am a Doctor of Pharmacy with my own consulting practice specializing in Medication Management services for which I have a Masters degree. We have been in operation for about two years now and I have been a practicing Doctor of Pharmacy for 9 years now. I am a proud father to two young boys and blessed husband to my wife of 5 years, we reside in Metro Detroit and I am interested in making an investment back into the local community to help bring this once great city back. I have experience and education in the health sciences and have contacts with a proven executive in the Energy sector.

$10,000 to $250,000

United States > Michigan

My partner and I have long-term business liquidity partners and help companies with inventory financing, working capital financing, real estate acquisition, factoring, business acquisition, IP-backed funding, equipment financing, refinancing debt, and mergers. We work with middle market business owners, executives and their agents seeking debt solutions.

$200,000 to $100,000,000

United States > Michigan

We work with a broad range of real estate assets and debt instruments. Commercial property and notes secured by Office, Retail, Multi-Family, Mixed- Use, Industrial and Special Purpose are the main areas of focus.

$250,000 to $50,000,000

United States > Michigan

We are a professional investment firm with over $10M of capital, looking to invest in strong founders/management teams.

$1,000,000 to $7,000,000