2. Tailoring Business Plans For Investors
• What is the Point of a Business Plan?
• The Information memorandum
• Structure
• Process
• The Financial business plan
• Top Down or Bottom up
• 5 Do’s and 5 Don’ts
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3. What is the Point of a Business Plan?
A Business Plan is a written document that describes a
business by
• Objectives,
• Strategies,
• Market and
• Financial forecasts
More specifically it needs to:
• Tell the story of the business and the vision
• Take the investor on your journey
• Translate your passion into excitement for the investor
• Demonstrate the strategic value you create in your market
• Speak for you when you cannot
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4. IM Structure
Business Plans for investors are like a tapestry…
… a standard structure that tells your story
• Executive summary
• Company description
• Market analysis
• Strategy and implementation
• Management team
• Financial plan
You can tell the story best when you can answer the
Why, What, When, Who and How
“Why This, Why Us & Why Now?”
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5. Pitch Architecture
Pitch Architecture that works for pitches, presentations
and Business Plans
• Fractal architecture that you can build out as required
• What do you do?
• How are you the same and how are you different?
• What is your credibility (experience, insight, technological)?
• What is the market problem?
• What is your solution?
• What are you known for?
• How do you leave people feeling?
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6. IM Process
Proposition,Vision & Mission Your product and service
What do you enable? What is the problem and solution?
How do you make a difference? Who is your specific client?
What is compelling you? What makes you credible?
Your market, competitors and ecosystem
What is the current fix?
Who else is doing this and how are you different?
How do you enable the ecosystem?
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7. IM Process
Personality of the business
What do you want to be known for?
What is the voice of the business?
What is the personality of your customer?
Go-to-market strategy You and your team
How do you grow the business? What makes your team unique?
What is your unfair advantage? Have you got a track record?
Are you changing user behaviour? How do your passions build success?
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8. Financial Business Plan
Financial plans tell their own story
• Is it aligned with the IM’s story?
• Do the numbers talk to your confidence in execution?
• Have you built scenarios?
• What are the assumptions based on (presumptions or grounded?)
• Are you expecting to change user behaviour?
Top Down versus Bottom Up
• Top Down is market driven, can you really drive a market?
• Bottom Up opens new opportunities and options
• Investors automatically discount, have you already discounted?
• The detail and the assumptions say a lot about you
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9. 5 Do’s and 5 Don’ts
Do’s
1. Map out the sections before writing them
2. Define your perfect user/customer/client & segmentation
3. Always ask yourself if each section answers the Why, What, When,
Who and How
4. Keep the plan to under 30 pages
5. Use external examples and data only where relevant
Don’ts
1. Start with the big market opportunity before the proposition
2. Make it bigger than it is just to please an investors 20x
3. Assume the investor knows your market
4. Say if we can get only a small percentage of a big market we can be huge
5. Say you have no competitors
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