Other documentation that could appear in the Appendix includes technical drawings, partnership and/or customer letters, expanded competitor reviews and/or customer lists.
Expertly and comprehensively discussing these components in their business plan helps entrepreneurs to better understand their business opportunity and assists them in convincing investors that the opportunity may be right for them too.
Having a viable business plan to give to potential investors is vital to getting funding and even to being taken seriously by investors and your peers.
A good business plan must include certain components and certain information.
(Note: This is the 2nd article in a two-part series.
Read Article #1)The first five components of a professional business plan provide an overview of the business opportunity and market research to support it. The marketing plan details your strategy for penetrating the target markets.
Today, however, it is often costly and complicated to build the foundation a good business needs to compete, and potential business owners frequently have to seek funding from outside sources.
Venture capitalists and banks will want to have a good idea of what your business is about and what you think it will be able to do.
Most importantly, the executive summary overviews how the principal business employees or founders, known as the management team, are equipped to run the business and what experience or industry knowledge they bring to the table.
An executive summary is in essence a synopsis of the plan.