TRANSITION e-Mag #3 - Page 16

_13 _15 Tool #2: Top 5 tips for developing a Business Plan: is it investor ready? transition ireland west A Business Plan is a key document in scaling a business both in terms of giving thought as to how the business will grow, develop and scale as well as a tool to attract investment. See a Business Plan template here at http://www.enterprise-ireland.com/en/Start-a-Business-in-Ireland/Information-Store-for-Start-ups/#Busines s Plans (this can be easily adapted for a social enterprise). The Business Plan should be 30 pages max including financials. Other information can be added as appendices. The Business Plan is required so as to construct a project proposal which is investor ready. Subsequently, a one page summary of the plan is distributed to potential investors / angels. Until the Business Plan meets the required standard then it is not submitted to the angels. We decide on whether it is up to standard or not. It is a process that can take time and often promoters can ‘fall by the wayside’ if they do not have the answers to the questions posed or if they are not committed to the process. SOME KEY THINGS TO ADDRESS ARE: • Demonstrate any sales to date or if sales have not yet been achieved then note any good results from beta testing, testimonials, POs, etc. – this demonstrates a market ready product and investors take an interest in this! The pool of investors looking to invest in pre-commercial proposals is small and so sales, strong beta test results, testimonials, etc. are vital. Angel funding is not a great avenue for feasibility study / proof of concept funding. • As a small company, investors are concerned at how promoters will make an impact