Do’s
- Select a business name which is self explanatory. When looking to name your business you need to chose a name which will let the consumer know what you are all about.
- Write a mission statement. This will describe what you do and how you will stand out from the competition.
- Make your business plan organized. Be clear in what you want and what your objectives are. A clear and understandable business plan will make is all the easier to put it into action.
- Change your plan for your audience. If you want to appeal to a specific investor, then add something to your business plan which will get their attention.
- Describe how you will reach your objectives, what strategies and tactics you will be using.
- Discuss the businesses risks. By being upfront and honest about it, it will add to your businesses credibility.
- Highlight the strengths and weaknesses of your management team.
- Consider how you will advertise.
- Include how you will finance your budding company. Banks are more likely to offer you a loan if you are the main financier of your business.
- Include a projected cash flow estimation. How much you think you will make, and lose, in the first year of business.
Don’ts
- Being over confident is seen as a weakness. You can be confident, but don’t come on too strong. Outline your business plan and let them come to their own decisions.
- Don’t be pessimistic. This will just make potential investors chose a different business to invest in.
- Don’t be vague. Don’t say things like, sales will double in the next year, you need to be precise.
- Never guess when it comes to projecting figures in your business plan.
- Using technical terms never helped anyone. Being simple and understandable is the best way to go.
- Don’t skip the details. Having a well finished, editing and well designed business plan will always help.