The first step in opening a new enterprise is deciding what kind of business it's going to be. After that, there's writing up a business plan. Banks and other investors will want to know you have a financial plan for you and your intended fledgeling company before they will be willing to partner with you, so what should you put into your first drafts in order to come up with a winning design?
Know the market
One of the first steps should always be identifying the industry in which your business will exist. Researching the market's performance will reveal if there is room for your business to succeed and grow, while financiers often view this practice as a strong indicator of sustainable business planning.
Entrepreneur Magazine also points out that inclusion of industry research and other documentation shows investors that you understand the market you're entering and that you use forethought before jumping into things, both reassuring qualities that make others more willing to fund your venture.
Find some customers
Different than just knowing how much money is spent on vacuum bags and costume jewelry in your target market, a bank wants to see a strategy to draw clientele somewhere in your financial plan. INC Magazine says it's also good to know what kind of advertising you want to pursue and add in notes or even concept ideas for these channels of marketing.
Social media is a big winner in current online ad campaigns, making it a cheap and easy solution for new owners without the best grasp of advertising techniques. Creating profiles on Facebook, Twitter, Tumblr and Pinterest that are regularly updated with quality, product-related posts is a good addition to any marketing strategy, and investors want to see that you know your target audience well enough to judge what they like and where they search for it.
A summary
Pages and pages of content can be daunting, and a potential investor wants to know that you have a strong understanding of your business. That has to be conveyed at the very beginning of the paperwork, hence why a strong summary should always be at the top of your financial plan. Not every potential investor is going to read through each page, no matter how carefully-crafted, so start out strong to pull them in.