Business plan
A good business plan can mean the difference between funding and rejection. How should a business plan roughly look like:
- Keep it brief: if something can be said in 15 pages, why you would make 50?
- Core content: a business plan should tell what 'need' your product or service satisfies, why this is a growth market, why you'll be successful, who in the team will do what, who is the competition, why you win from competition, how much the company will earn and how much will it cost the company to get there.
- Needs: your product or service must satisfy a real need. This is essential, but is often forgotten. Why is your product or service purchased?
- Market: an existing market that is expected to grow rapidly (> 25% per year). It may be that the overall market is growing slowly, but your segment is growing rapidly.
- Success: how will you sell your product or service, what is the positioning, what will be the revenue model, is a further development of the product needed, etc.
- Team: curricula vitae of key team members are crucial. They must show that this is the team that will achieve the objectives and solve the problems the company may encounter in its path. If there are any gaps in the team, indicate this it too.
- Competition: be as honest and complete as possible. The more information you provide, the clearer it is that you understand the market.
- Winning: what are your technical, sales and other advantages over your competition. This applies to both your current and future products and services.
- Cost: this must cover all costs that have to be incurred to reach the objectives, including development, sales and marketing expenses, people, equipment, travel, etc. In addition, a profit and loss account, a balance sheet and a cash flow forecast for the next 12 months and the next three years need to be made.