Deprecated: mysql_connect(): The mysql extension is deprecated and will be removed in the future: use mysqli or PDO instead in /home/a26f9f83/public_html/articles/includes/config.php on line 159
10 Critical Facts to Put On the Cover of Your Business Plan... > NetSparsh - Viral Content you Love & Share

10 Critical Facts to Put On the Cover of Your Business Plan...

In most business plans, no matter how striking the idea, the covers are critically important. The majority of investors may flip to the executive summary, if they get past the cover, when deciding whether or not they are interested. Exactly like the front page of a daily newspaper, a business plan cover puts the important highlights of the proposal upfront for potential investors to read.

The success of an entire business plan campaign may stand or fall on what is said on the cover of the business plan. In his book, the Venture Capital Handbook, David Gladstone wrote that of the one-hundred proposals a week an investor receives, maybe ten are read.

So, providing critical information on your cover is about the most important thing for sparking the interest of prospective investors. In fact, your cover page competes with hundreds of other documents, worksheets, phone calls, articles, and other information for the attention of prospective investors. And, based on Gladstone's figures, it competes in time, because, seen for a few seconds, it is heeded, or passed up, and seldom returned to by readers.

Here are the ten critical pieces of information to include on the cover page of your business plan.

  • Headline: Start your cover page with an appropriate headline that will interrupt and engage your prospective investors. Use the headline to tell them something news worthy about your venture.
  • Company: Be sure the name of your company is on the cover, but the name of your company is not the headline or the most important trigger to an investor. If your company is a start-up company, your name will likely have no meaning to investors.
  • Contact: Indicate the name of the person you want prospective investors to contact about the proposal. Be sure to include a phone number and email address at which they can be reached. One thing about the email address, make sure it is professional; avoid cute addresses.
  • Type of business: In ten words or less state the industry you are in and the stage of your business, such as 'start-up" or first round financing, development stage or second round financing, and so on.
  • Business summary: A brief paragraph describing what your business does or proposes to do. Summarize the material events in the development of your business (including any material mergers or acquisitions) during the past five years, or for whatever lesser period you've been in existence. Describe the industry in which you sell or expect to sell your products or services and any related trends within that industry. Describe that part of the industry and the geographic area in which your business competes or will compete.
  • Management: Simply list the top two or three key people with a two-sentence description of their backgrounds, what they will be doing for the company and unique skills and experiences each adds to the company.
  • Product/service and competition: Very briefly describe your products or services and how you'll produce or render them. If you plan to offer a new product(s), tell its present stage of development, including whether or not you have a working prototype(s). Indicate what it will take in terms of money, resources, and approvals to completely develop the product. Disclose if you are dependent upon one or a limited number of suppliers for essential raw materials, energy or other items. Describe any major existing supply contracts.
  • Funds requested and collateral: State exactly how much money you are raising and a description of the form you are requesting it in (debt or equity). Also tell what you are offering as security to investors, if anything.
  • Financial data
    • Provide a summary schedule outlining how you'll use the proceeds you raise. Keep it at a high level; you'll have the details in the plan itself.
    • A columnar summary of key historical financial figures like sales, net income, assets, liabilities and net worth. What you ultimately list here will also depend on the type of financing you are seeking (debt or equity).
    • A columnar schedule of key projected financial figures for three or five years out similar to those listed in your history.

  • Exit: Briefly tell how investors will get a return on their investment. For example, you might plan to go public in five years, buy back their initial investment at four times in four years, or perhaps sell the business to a financial or a strategic buyer.
  • If you're struggling with how to fit all this information onto your cover page, go here to see an example of a cover page layout: http://www.business-plan-secrets-revealed.com/business-plan-cover-page.html

    Mike Elia is a chief financial officer and an advisor to venture capitalists and leverage buyout specialists. For more information about business plans and raising capital for your business or to review his business plan manual or free business plan guide, visit Business Plan Secrets Revealed.

    In The News:

    This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news

    Automotive Buy Sell Report (blog)

    Prepare for the future with strategic planning
    Automotive Buy Sell Report (blog)
    The one thing with change is that it is constant. Knowing this, are you prepared for the future and what change is going to occur? A rhetorical question, but one that begs us to consider the importance of strategic planning, as it can prepare you for ...


    EastCountyToday (press release) (blog)

    Thursday: East Contra Costa Fire to Host Strategic Planning Session
    EastCountyToday (press release) (blog)
    After a hosting a series of Town Hall Meetings, the East Contra Costa Fire Protection District will host a strategic planning session on Thursday, July 9 from 6:00 pm to 8:00 pm. While the Town Halls focused on education to residents about the District ...

    and more »

    Communique

    UCCS kicks off 2030 strategic planning process
    Communique
    UCCS will utilize the experience and services of JERA Partnerships in facilitating and developing the 2030 strategic plan in collaboration with the many university stakeholders. Diane Zile, JERA CEO and founder, and her team engaged the Chancellor's ...


    Forbes

    Legacy Planning: Getting Started
    Forbes
    Strategic planning aligns your values and goals with your overall investment strategy and wealth plan. Sometimes starting with a simplified picture of your wealth—in other words, understanding what's already in place—can help identify what changes ...

    and more »

    Task Force Runs Through Strategic Plan
    PrimePublishers.com
    SOUTHBURY — From time to time over the past 20 years, or perhaps even longer, there has been talk around the Town Hall about creating a Strategic Plan for Southbury. The concept was not adopted until the 2009 edition of the Town Charter came out ...


    Forbes

    The Impact Of Talent On Strategic Planning
    Forbes
    Is your organization planning its current and future talent needs with the same level of energy devoted to its strategic plan? Your human capital plan must fit hand-in-glove with your strategic plan. A disciplined approach to your talent planning is a ...


    ATD

    Strategic Workforce Planning for Government's Reorg
    ATD
    The report explains that “strategic workforce planning should precede any staff realignments or downsizing, so that changed staff levels do not inadvertently produce skills gaps or other adverse effects that could result in increased use of overtime ...


    Forbes

    The Case For Establishing A Winning Strategic Framework
    Forbes
    Focus on doing a few things well, and it will lead to higher growth. 4. Your traditional strategic planning is not strategic at all. This results in a less innovative organization and competing priorities. Organizations get caught up in identifying ...


    Southernminn.com

    Manufacturers talk strategic planning
    Southernminn.com
    The basic process should involve identifying a particular process to use and gathering information in pre-planning. The planning should be done off-site, include key internal and external leaders, use a facilitator who doesn't need to contribute and ...


    TAPinto.net

    Downtown Red Bank - 2nd Strategic Planning Initiative Tonight
    TAPinto.net
    Red Bank RiverCenter will hold its second Strategic Planning Initiative meeting at the Oyster Point Hotel for residents and business owners to participate in the development of a strategic plan for a unified vision and voice for the borough's downtown.

    Google News

    Invalid Excuses for Poor Business Results - The Economy

    Note to Rite Aid and CVS: It's not about the... Read More

    10 Ways To Make Your Business Unique

    1. Largest Selection -One way that you can make your... Read More

    Strategy Without Tactics is Futile

    From time to time there seems to be a flurry... Read More

    Becoming Wise - Wild & Free - Writing A Successful Business Plan - Part 2 - Do It In Steps

    So you've decided to write your own business plan because... Read More

    Completing the Annual Planning Process

    Imagine an office without a desk, or lights, a computer,... Read More

    Titanic Precautions

    Many movies have been made about the tragic story of... Read More

    Insurance Requirements in Franchised Companies

    Franchised companies often require what some believe to be excessive... Read More

    Resilience

    I. INTRODUCTIONThe term resilience, which is of frequent use in... Read More

    Business Plan Descriptions of Computer System

    Entrepreneurs often give little if any consideration to their computer... Read More

    Dotcom Business Plans Archive Project

    One of the most important initiatives in the domain of... Read More

    5 Strategies That Will Boost Your Business Productivity Today! - Part 1

    Building a dynamic small business is a constantly evolving, increasingly... Read More

    Break-Even Analysis

    A significant advantage of some business ideas is that the... Read More

    Home Improvement Construction Project Planning

    The first task before hiring a contractor for home remodeling... Read More

    How To Get More Business During The Winter Months

    Business seems to drop, slow or even stop during the... Read More

    Turning On The Lights

    Fun From The StartFor those with the will to start... Read More

    Business Ideas: 3 Smart Ways To Generate Profitable Business Ideas Anytime

    Creativity is one of the greatest tools for success in... Read More

    Three Easy Ways To Know Thy Competitor

    "Did you hear what your competitor is doing?" This question... Read More

    Mobile Franchise Business Expansion Strategy

    If you own a mobile franchise business and wish to... Read More

    The Power of Strategic Thinking: Creating Meaningful Success

    Too much goal setting and strategic planning can leave you... Read More

    Rules to Setting Business Goals and Objectives: Why and How to be SMART

    We all know that nothing runs without a plan, and... Read More

    GOT MEME? How to Attract Your Clients and Customers Attention

    No "meme" isn't a typo and Got Milk, the more... Read More

    Laying It Out On Paper

    You might be thinking to yourself, "Why should I waste... Read More

    Attributes of Companies You Dont Want to Buy!

    There are no "rules of thumb" in the pursuit of... Read More

    Business Plan 101 How to Write a Table of Contents

    No matter what business you plan to start in your... Read More

    Are You Aware of Planning in Business?

    Human beings are rational agents. Rationality endorses one to take... Read More