| Every year literally billions of dollars are put towards | | | | They want to see market research to back up your |
| different projects by venture capital investors. | | | | claims of a viable market. |
| Have you ever wondered what makes some | | | | 6. Structure. I spoke with an accountant recently |
| investment opportunities successful whilst others | | | | who told me he was facing a nightmare trying to get |
| barely get off the ground? | | | | a company ready for investment that was a mash |
| Believe it or not is isn't necessarily the business idea, | | | | of about seven different trusts - each owning a |
| produce or service. | | | | different division of the core business. His exact |
| Often the vital difference between companies that | | | | words were that it was a 'Structural nightmare from |
| attract venture capital and those that don't is | | | | an investors perspective' It always pays to get your |
| preparation. | | | | business structured correctly. |
| Here Are 9 Areas Your Business Plan Should Cover If | | | | 7. The Offer Itself. So you want to attract venture |
| You Want to Attract Venture Capital | | | | capital... ok but what will the investor receive in |
| 1. Your Business Plan Itself. You would be amazed at | | | | return? |
| how many business owners try to attract venture | | | | An equity share in your business? If so what |
| capital without having a business plan in place. | | | | percentage? |
| Ask yourself: If YOU were a potential investor, what | | | | Are you looking for a passive investor or do you |
| effect would it have on you if the business owner | | | | want someone who can provide any special skills? |
| seeking YOUR venture capital didn't have a decent | | | | 8. Financial's. Investors want to see up-to-date |
| business plan in place? | | | | financial's - profit/loss, balance sheet and cash flow |
| NOTE: Make sure that your business plan has a | | | | statement. Note: This is where a business with |
| professional presentation. You can get a complete | | | | financial control systems in place can gain a strong |
| corporate look and feel created for it at sites like or | | | | advantage over a competitor as they are working |
| buy one 'off the shelf' at 2. KPI's (Key Performance | | | | off recent financial and current MYOB files rather |
| Indicators For All Management and Staff. According | | | | than figures that are 12 months old. |
| to Harvard Business School a staggering 40% of | | | | 9. An Internet Marketing Plan. Being able to show a |
| business failure is due to poor hiring decisions. | | | | potential investor a detailed web marketing plan can |
| Investors like tio see a business that has its bases | | | | go a long way towards attracting the venture capital |
| covered in this area. | | | | you are seeking. |
| Your business will function much better when each | | | | Some of the Points That Your Internet Marketing |
| key department and player has specific job | | | | Plan Should Cover Are |
| descriptions in place. | | | | 1. Traffic Strategies. How you plan to get traffic to |
| 3. A Detailed Strategy For Lead Generation and Lead | | | | your website. |
| Conversion. You may well have an awesome product | | | | 2. List Building. What will you do to build your online |
| or service but what an potential investor wants to | | | | database? |
| see is how you plan to market it. | | | | 3. Content? If you plan on creating an authority site |
| 4. Business Strategy. The stronger and more laid out | | | | (and you should) then you'll need to give serious |
| your business strategy is the better your chances of | | | | thought to content. Will your website feature |
| attracting venture capital. This is one area where | | | | Articles? Testimonials? Podcasts? |
| hiring the right business coach or consultant can be a | | | | These eight points, when addressed can help give |
| great benefit. | | | | you a serious advantage in your quest to attract |
| 5. Research. Venture capital investors are not | | | | venture capital! |
| interested in 'We think so' or 'Our educated guess is...' | | | | |