Business Financing: Obtain Investors & Business Loans Via Business Plans

We all like to talk noble about business plans, and act as if they are primarily used as a blueprint or solid track to operate everyday operations; however, if we are 100% honest, business plans are used to obtain financing. New business ventures need money, PERIOD. This is true around Atlanta, Marietta, and nationwide.

Numerous venture capitalists and bankers are upfront about the lack of faith they have in most business plan projections and financials; what these people want to see is the unique idea itself and the people set to put it in motion. It’s about ideas and respectability.

In other words, your business plan should spell out your idea with a degree of details and prove that your team can pull it off with the money they are provided. Secondly, show that you likely can repay the loan with interest or make some money at some point if investors jump on-board. SIMPLE. Right?

Sure, you need to spend a half day gathering some info to support your business idea, but the financial powers that be want to understand the gist of your idea and why it should succeed when your competition might not. 

What is different about it? Does it make sense? Why should it be backed by anyone?

What’s the mission? Vision? Slogan? Concept? Strong ideas from smart and practical people must be adhered to in the long-run. Stability, combined with the potential for adaptability to sudden macro and micro changes, is also a plus.

Management bios must be solid. Sell the leadership. Provide credentials and examples of creativity and success. Why should these people be trusted with someone else’s money?

Furthermore, what is the background of this potential venture’s origination? Where did the idea come from and how did it start? Are patents involved? Special processes? Anything location-specific?

What are these unique products and services and their prices? Will people purchase them in volume? Can the market expand and maybe even replace other items already available? What’s the competition?

Supposing the offerings are viable, how will they be marketed and advertised, and what is the target market for them? How should it be approached? Where?

Sure, we also do need to speculate about finances and sales and expense projections, for at least a few years, but in reality they mean very little. They are ballpark figure at best. Financers and investors hardly care; they can project better figures themselves from experience.

A good business plan writer or business plan developer will be persuasive yet honest in his or her work product. The truth always wins out over time. You will obtain more investors and business loans by presenting a simple and organized plan than you will through bells and whistles and trickery.

Jimmy Hall /Atlanta and nationwide (404-580-1501) carefully crafts solid business plans and other written material.