Intro:
Before you begin
Step 1:
Understand your audience
Step 2:
Prepare to research and write
Step 3:
Outline the essentials
Step 4:
Detail the investment opportunity
Step 5:
Analyze the company and industry
Step 6:
Address the market
Step 7:
Explain how your business will run
Step 8:
Introduce the management team
Step 9:
Prepare a financial plan
Step 10:
Provide source materials
Step 11:
Avoid common pitfalls
Step 12:
Proofread your work

2torial #0603 - Step 4:
Learn2 Write a Business Plan (Continued)

Detail the investment opportunity

Now it's time to spell out exactly what you need from your investors, and what you can give them in return. You can use highlights from your financial plan to back up your claims. The essentials include:

• The total amount of funding you need

• How the money will be spent

• What collateral you can offer, if any

• The proposed terms of repayment (for banks), or equity-sharing (for venture capital or individual investors)

• A projected return on investment (for investors)

• An exit plan for private investors and venture capitalists