The Necessity and Benefits of Financial Modeling in a Business Plan

 

A business plan is an extremely useful document that can serve a few purposes: as a detailed step-by-step road map to follow, a document to make business decisions and track progress, and a tool for gaining investments and loans. But no matter its intent, its components are universal, one of them being your business’s finances. And what better way to present your business’s finances than through Financial Modeling, a process in which all of a business's earnings and expenses are put through a mathematical equation, designed to test multiple different scenarios and predict future financial outcomes?

There are a few reasons why financial models are a necessity for any business plan.

Making financial projections

Financial models are used to cast predictions on a business’s future performance, in other words making Financial Projections. Making models is a long number crunching process but to put it simply, models are made by making various assumptions, based on which numerous scenarios can be made to calculate multiple possible outcomes.

Having several scenarios (or financial projections) for your business is very beneficial, as it will show you the full spectrum of possibilities for your business. Making the most realistic, the best and the worst scenarios will show you what to expect, what you can aim for, but also what to be on the lookout for. Seeing exactly where your business might be headed can help you make decisions early on, that can prevent disasters, or at the very least, help you make a plan b.

Gaining funds for your business

Furthermore, financial projections are one of the most important aspects of your business plan, since many investors or lenders will be interested to see if your business will be able to make a profit in the future. Investors are looking for an ROI, and lenders will want to make sure you can repay your debt. So if your goal is to get investments or lonas, doing financial modeling for your Business Plan, you will greatly increase your chances for success.

Making decisions

One of the biggest benefits of financial modeling is just how great of a decision making tool it is:

• It is a great way for planning projects and deciding on their budgets. For a successful project, good planning is needed from the start. Financial modeling can provide a perfect overview of the funds needed for the project and whether they can fit in your budget. But, it can also predict the losses in the event that the project fails. Having all of the possibilities displayed can help you make the best possible decision.

• Models can show whether there is excessive spending in certain areas of the company or if others are lacking resources, showing ideal opportunities for better allocation of funds, and making your business operate more smoothly and efficiently.

To make a long story short, Financial Modeling is necessary for any decision making process in a business, but also for gaining funds and investments. It is not only necessary for making the most optimal business plan, but it is of great benefit when aiming for success.

3 Tips for How to Present Financial Projection from Your Business Plan in a Pitch Deck

The act of showing your Financial Projections in a pitch deck is not merely a presentation. You will need to defend those numbers you are presenting to sell your business. Having the perfect financial projections in a pitch deck is not enough to make a deal with an investor. You have to know how to present them.

A pitch deck is a brief presentation of your business plan to a potential investor, business partner, or customer. Every Pitch Deck should include some version of your financial projection.

A financial projection is a prediction that uses existing or estimated financial data to forecast the future of your business. These predictions are done on a monthly or annual basis.

To have a successful pitch deck, you need an accurate financial projection. Here are 3 tips to successfully present your projections.

Be Conservative

Talking about the future, especially when it comes to your business, can be exciting! After all, you are using your imagination and creativity. When you represent your business with a pitch deck, you will present a set of three- or five-year financial projections, which is not easy at all.

Investors will, from their experience, cut your predictions in half, and they will not consider you as a serious investment opportunity if they are overinflated. This is why your financial projections need to be conservative. A conservative approach to a Business Plan is more realistic, logical with precise goals. It is a step-by-step approach that includes many details on revenues and costs.

Be Direct

When you want investors or loan providers to finance your idea or business, your storytelling has to be top-notch. No one will listen if your presentation is boring and not clear enough. When presenting your financial projection, make brief and comprehensible presentation slides. Do not talk about any irrelevant statements. Make it clear why your business model is viable and why it can be profitable. The basic financial projections will be successful if you always include a cash flow statement, sales forecast, balance sheet statement, and income statement.

Be Invested in Research

So, you are presenting your business with a Pitch Deck and expect the investors to finance it, to bet their reputation on you, and use their connections. For that to happen, they will expect you to do your research. There is no point in owning a business if you do not know the answer to these questions:

1. Who are your competitors?

2. Who are your customers?

3. What sets you apart from others?

If you want someone to invest in your business, they will need to invest in you, and they will never do that if they do not trust you. The effort you put into your market research will be shown through your financial projections in the business plan. As you present your business, the investors will likely be asking many questions about the numbers. You will have to defend those numbers if you want to make a deal with an investor.

If you have difficulties with composing Financial Projections or the business plan itself, consult an expert business plan writing firm or advisory experts like www.joorney.com.

Why Professional Business Plan Writers Refuse to Write Business Plans Without Conducting Market Research

Business plans are not compulsory, but they are surely useful when trying to get a loan or for helping you organize and structure your business operations. So what is exactly necessary for writing an outstanding business plan? Well, Professional Business Plan Writers can tell you that the first and most basic thing for writing a good business plan is collecting all the necessary data and information. It is usually gathered from your company's history in sales, its previous costs and expenses, but a lot of useful information can be obtained through market research.

There is just not much to go on without an in-depth knowledge about the market. That is why experts do not write business plans without understanding the market’s needs first. Some of them will expect their clients to do their own research, but others will conduct it themselves as part of their fee.

Either way, there is a good reason why professional business plan writers need Market Research before they begin to write business plans. It helps answer a few burning questions, such as:

Is there a market for your product?

It is ill-advised to go blindly into business without testing the market first. Doing market research beforehand will greatly help reduce risk for failure. For a company to succeed there needs to be a demand in the market for its products and services. Research conducted through surveys and product testing will determine the likelihood of your product’s success with the potential customers. Professional Business Plan Writers cannot write business plans without knowing a company's target audience and its size.

Is the price right?

It is not enough to know if the customers are willing to buy your product, but also how much they are willing to pay for it. Knowing the value of your product on the market will help you set the appropriate price for it. Overpricing can result in lower sales. Additionally, having a good understanding of the market means knowing your competition as well. Properly pricing your products will help you better compete on the market.

Additionally, Market Research can help professional business plan writers compose documents, like financial projections for example. Determining the price can be used to calculate future revenue and predict business’s profit margin.

Is there a need for improvement?

Keeping an eye on the most current market shifts and adjusting your products and pricing accordingly is crucial for writing successful business plans. Because the market is fast changing, you will need to keep up with those changes in order to stay in business. Regular market research is necessary for the most up-to-date information. professional business plan writers need to know the latest market changes to be able to modify and adapt your business plan to the latest industry trends. This helps the experts write a business plan that will help you outperform your competitors.

Without market research there is just not enough data for writing a well-structured and successful business plan. This is why many Professional Business Plan Writers hesitate to write business plans without researching the market first. By doing so, they can collect all the crucial data that is fundamental for most sections included in a business plan.

8 Tips that Apply to a Pitch Deck or Information Memorandum

Writing any business documents can be a daunting task. The sheer amount of work that goes into writing them may seem distressing, but it doesn't have to be that way. There are a few helpful tips that will make your Pitch Deck or Information Memorandum a bit easier to prepare.

1. What is it their purpose? Who are they for?

First things first, why do you need these documents? The purpose of your documents determines who will be reading them and what exactly will be included in them, or at the very least, what kind of information you should prioritize. Your business documents will be shaped by your reader's interests, whether they are an investor or loan officer.

2. Do the market research

Market Research is an integral part of any business plan, but they are very important for information memorandums and pitch decks too. They show the potential success a product or service may have with customers, and can demonstrate to buyers or investors just how valuable your business is in the market.

3. Support your claims with numbers

Your readers will not appreciate bold, unsubstantiated claims. They are not interested in listening to fairy tales but want to hear facts and see results. And the best way to do that is by gathering your numbers from your financial history or research, as mentioned above.

4. Include financial projections

Financial projections predict future revenue through financial modeling. By gathering numbers from your business’s financial history, a forecast can be made to determine all of the potential financial trajectories a business can take. Your audience will want to know where your business is going and if it is going to be a success.

5. Honesty is the best policy

Pitch decks and Information Memorandums may seem like advertisements for your business, but they are most definitely not. Sure, they are used to promote your business, but many make the mistake of only showing the positive side of their company. Your investors or buyers will want to know the full story to be able to make an informed decision. So do not hide unfavorable or damning data. Instead, be sure to mention it and provide solutions.

6. Think about the format

Because pitch decks are short presentations of your business, averaging about 15 slides (or less), they should not be overwhelmed with details. That is a sure way to lose your audience's attention. Therefore, the information included in them needs to be carefully selected.

On the other hand, information memorandums are detailed descriptions of your business, and therefore can be lengthy documents. They can range from 30 to 50 pages, depending on the size of your company.

7. Layout and visual appeal.

It goes without saying that pitch decks need to be informative as well as aesthetically pleasing. Your slides should not be difficult to follow because they’re oversaturated with text. So make bullet points, get to the point, and include graphs. Similarly, your information memorandum should be clear and easy to read.

8. When in doubt, ask the professionals for help

It is no wonder business documents are difficult to write. But you don’t have to do it alone. There are plenty of Professional Business Plan Writers, who have plenty of experience in writing these types of documents. A good piece of advice is to turn to them for help.

If you consider all of these tips, or at least some of them, writing business documents will be a breeze. Knowing how to approach them is half the battle and can save you a lot of trouble. Therefore, keep these tips in mind, they will come in handy when writing your Pitch Deck or information memorandum.

3 Ways Your Bank Business Plan Isn’t an Ordinary Business Plan

Be careful when writing your Bank Business Plan, because not every business plan is the same, and there are many things to think about when writing them. To begin with, consider its intended purpose. Is it for internal business organisation, or is it to try to get fundings?

Even when looking to gain investment for your business, the difference between getting a bank loan or seed funding from investors will determine how your Business Plan will be written. If you are looking to get a bank loan there are a few things to keep in mind when writing your bank business plan, and it all boils down to what you need to get your loan approved.

• A steady revenue

When writing your business plan it is important to consider your audience and what they are interested in. Unlike venture capitalists or angel investors who are looking for an increase in revenue for a higher ROI, loan officers are wanting to see if your business is able to maintain a steady revenue. Having steady revenue from your company's history in sales, or predicting one in your financial projections, will give enough reassurance that your business is financially stable and fit for repaying a loan.

• A good credit score

Just like investors, banks avoid taking risks and lending money to unsuitable borrowers. That is why a credit score is used to calculate if you are the right candidate for a loan. Your credit score is a number between 300 and 850 that determines how reliable you are as a potential borrower. It is calculated using the numbers from your financial history, where many factors are taken into account, such as:

• payment history,

• amounts owed,

• length of credit history,

• new credit,

• credit mix.

The higher your score is, the higher your chances are for receiving a loan and lower interest rates. Because a credit score determines your reliability as a borrower, having positive credit and a strong financial history included in your Bank Business Plan will greatly increase your chances of getting a loan for your business. Or, if your credit score is in the mid to low range, your business plan is a chance to explain that and give reassurance that you can repay the loan.

• Adequate collateral

Even if you have a good credit score, loan officers will want to see what assets you are willing to forfeit in the event that the debt is not repaid. Things that can be used as collateral for a business loan can include vehicles, equipment, buildings and inventory. Your credit score and the amount of the loan will determine the collateral’s value. If the borrowed amount exceeds a certain point, you may be required to pledge collateral that covers 100% of the loan, which may not be the case for smaller loan amounts.

There is no other business plan, quite like a bank business plan. They have a very specific objective which determines how they are formulated and what is needed to compose them. All the information included in them revolves around your business's and your own financial stability.

Having a good credit score, reliable financial history and suitable collateral is what sets them apart from other types of business plans. So keep in mind these 3 key differences when writing your bank Business Plan.

4 Ways a Bank Business Plan Differs from Other Types of Business Plans

If your business is in need of finances and you have already made a decision to apply for a bank loan, there are a few things to keep in mind when writing your Bank Business Plan. Getting a bank's approval for a loan is a different process than getting funding from investors. Each business plan can vary, depending on its purpose, and its contents should be written accordingly. 

Prepare for your audience

First thing's first, know your audience. This is the most basic difference between many types of business plans, whether they are a bank business plan, investor or immigration. Depending on who will be reading it changes how it will be formulated.

• Banks want to see if your debt will be repaid, they are only interested in your numbers, facts and hard data, no matter the business type.

• But when pitching to investors, try to show your company's potential. You also might want to check the investor's background first. They may only invest in certain types of business.

• Immigration plans are intended for immigration officers who check if the business meets the visa application standards. They are looking to see if your business will have taxable profit and possible job creations. 
  

Cash flow - stability vs growth

 

Financial projections are an integral part of any business plan, but pay close attention to how you’re presenting your numbers. While investors are interested in a return on their investment (ROI) and company's potential and predictions for future growth, banks want to see if you are operating a steady business. You need to prove you can maintain a high enough revenue to be able to repay your debt.

That is why a Bank Business Plan requires your company's financial statements, further back and in greater detail than in other types of business plans. Therefore, you can have more modest numbers when applying for a bank loan compared to looking for fundings from investors. For this reason, it is difficult for early-stage startups to get bank loans. 

Exit plan vs. Collateral

No matter the type of Business Plan, no one wants to take on unnecessary risk. That is why they need to include a guaranteed ROI or loan, just in case things go south. Investors are looking for exit strategy, oftentimes in a form of liquidation or sales of their share in the company.

On the other hand, if the borrower is not able to repay their debt, the bank will proceed to take collateral, usually an asset like real estate, vehicles, equipment, etc. Including this in your bank business plan proves you are a low risk applicant for a loan. 

Ownership and freedom

The upside of bank loans, compared to fundings from investors, is that they do not require equity. Upon acquiring the loan you are able to continue doing business as you please. The bank has no saying in choices made in your company.

However, investors are funding business in exchange for equity, or shares in a company. This way you will lose partial ownership, and may have somewhat limited decision making. All of this has to be well formulated in an investor business plan, unlike in a bank business plan.

Experts Can Help

If you’re unsure how to write a business plan in general, let alone how to write it for the correct audience, consider hiring a professional. Professional Business Plan Writers tackle these challenges every day and can create a plan for you that will help you reach your goals, whether that’s acquiring a bank loan, investor funding, or being approved for a business visa for immigration purposes.

When to Draft Your Franchise Business Plan

Franchising opportunities provide tremendous potential benefits for both franchisors and franchisees. On the franchisor side, you have an opportunity to expand your business without being required to supply all the capital and manpower. On the franchisee side, you get a ready-made business model, fully developed brand, and ongoing operational and marketing support. When executed well, franchising creates an advantageous opportunity for both parties. There are multiple ways to compose a Franchise Business Plan. It will all depend on your specific stake in the business and what your goals are. 

 

 

Read More When to Draft Your Franchise Business Plan

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Answering the Question: Would You Ever Need a Pitch Deck and an Information Memorandum?

When seeking an investor or a buyer for your business, you’ll need to have your business documents in order. What documents you need will depend on who you’re appealing to and what you’re trying to do. Two of the most popular when dealing with investors or buyers are a Pitch Deck and an Information Memorandum.

Understanding these documents begins with understanding their purpose and intention. Only then can you determine if you will ever be in need of both.

The Pitch Deck Defined

A pitch deck is a brief presentation, typically in a slide format like PowerPoint or similar software, meant to overview a business investment or purchase opportunity. These come in all lengths, and some are more creative than others but, they tend to be very visual as well.

The Information Memorandum

According to Corporate Finance Institute, “A Confidential Information Memorandum (CIM) is a document used in mergers and acquisitions to convey important information about a business that’s for sale including its operations, financial statements, management team, and other data to a prospective buyer.” Unlike a pitch deck, this document tends to more closely resemble a business plan in terms of its depth but, it can appear in either a more visual or more text-based format.

The Pitch Deck and Information Memorandum in Context of the Business Lifecycle

Both the pitch deck and information memorandum are used in what is a commonly referred to as a pre-transaction stage of a business. Now, businesses may undergo many transactions throughout their lifecycle. For example, start-ups who go through several rounds of investments, are conducting a “transaction” every time. Another common transaction is the sale of a business.

So, the information memorandum and Pitch Deck are meant to solicit those interested in making a transaction. It makes no different if that is an investment or a sale, those are both transactions that typically begin with a pre-transaction document.

How Might Both Documents Be Used & Are They Used Together?

Knowing which document is best and when, or if you should have both can be pretty confusing. It depends on a variety of factors. These include the size of your business, what you’re aiming to do, and your potential audience to name a few. To make it even more confusing, some people ever refer to an information memorandum as a pitch book.

Don’t Go It Alone – The Power of Professionals

The good news is you don’t have to figure this out on your own. In fact, in order to maximize a potential investment or purchase of your business, you shouldn’t. This is why the savviest of entrepreneurs and businesspeople rely on professionals.

These professionals tend to come in two forms. First, business advisors. Advisors can help you determine who you should approach, how much you should be asking for, and how you should be asking (i.e. what type of documents are best. It will also come in the form of Professional Business Plan Writers.

Often, these will be two different companies/professionals but, every now and again you find a great, highly knowledgeable, and well respected company that can handle both aspects, like . Let them be your one stop shop to determining the best course of action for your transaction and your pitch deck or information memorandum.

2 Similarities and 2 Differences Between the Bank Business Plan and Information Memorandum

 

There are many times throughout the lifecycle of your business you will need to create specialized business documents. Two of the most popular and common are the Bank Business Plan and Information Memorandum. These are completely distinct documents, yet they are more similar than you may realize.

Understanding the differences and similarities can help round out your understanding of business documents. It may even give you some insight if you are considering writing your document yourself.

Similarities

Key Sections – When you first look at these documents you will see that they at first glance they really do look similar. This is because you will see several of the same sections. The sections that almost always appear in both include an Executive Summary, Industry Analysis, Sales & Marketing Plan, and the Financials to name a few.

It’s important to note that even though the same sections may appear in both documents, the contents and focus may be quite different. We’ll touch more on this in the next section.

Overall Layout – Not only are many of the sections the same but in general they will follow a similar order. Both documents will open with an Executive Summary and end with the Detailed Financials. The order of the other sections may be a bit more diverse. Though, this is true from business plan to business plan or Information Memorandum to information memorandum as well.

The reason for these variations themselves may vary. It can be anything from the business model to the intended audience and may have little to do with the type of document. The important point here, is that at first glance, these documents are quite similar.

Differences

The Purpose – What really sets a bank business plan and information memorandum apart are their intended purpose. In the case of a bank business plan, you are attempting to get someone to loan you money. In contrast the purpose of the information memorandum is to entice investors or buyers to buy a share of or outright purchase your entire business.

The Audience – Getting into more detail, you’re writing these documents to appeal to two very distinct audiences. On one hand, for the Bank Business Plan, your audience is a bank representative or loan officer. In this case, their biggest concern is whether or not you will be able to pay back your loan. They will primarily review your document from a stability and cash flow perspective.

Meanwhile, investors or buyers are mainly interested in growth potential to ensure a good return on investment. That is why, although you’ll have the same general information in the financial section, what you focus on and how it is presented will differ. Here, your audience is likely less risk-averse with the trade off of the chance for more return.

Professionals See This Clearly

It can be anxiety-inducing trying to decide what to do for your specific document. You need to consider so many factors. Given the importance a bank business plan or information memorandum can have on the overall success of your business, many people choose to hire Professional Business Plan Writers. Fees for the most experienced may feel steep but, it is an important investment in your future success, regardless of what the end goal is for you.

The Basics of Financial Modeling and Financial Projections in the Business Plan

 

It is well known that financials are one of the most important aspects of the Business Plan. If you don’t have a background in finance or experience creating or reviewing financials or writing business plans, you may have wondered how the financial projections in the business plan get created. The answer: Financial Modeling.

There is a Big Difference Between Financial Modeling and Financial Projections

What often makes financial modeling and financial projections in the business plan tricky to understand is that people often confuse the two. They are intimately connected but, also quite distinct. Understanding the basics begins with defining these two concepts.

Financial Projections – These are static and once set do not change. They are the combined representation of how you expect the finances to change in both the short and long term. Financial Projections in the business plan typically take the shape of the standard financial statements.

Financial Modeling – The projections are the set numbers but, the way at which you arrive at those numbers is financial modeling. Financial modeling is the process of creating a financial model that will allow you to input numbers to see their output. These are typically produced in a spreadsheet format – such as Excel or Google Docs – or special software.

How Financial Modeling Becomes the Financial Projections in the Business Plan

In the sense of the financial projections in the Business Plan Writer, financial modeling is the process of creating them.

There is more than one way to approach a financial model and we’ll give you one example. You will setup a spreadsheet to look the way you want your end report to look. You will then begin setting up formulas to add, subtract, and otherwise calculate the way they need to. Where and how you setup these formulas and structure will depend on the information you’re going to work with and, to some degree, personal preference.

You may setup underlying information in other sheets, or even other workbooks, and have the results link/pull from those sheets. You may use the grouping function to setup all your input areas on the same page as the outputs and then easily hide them.

Regardless how you set it up, this model is what will create the final financial projections for the business plan. The mechanism, the tool by which you setup your formulas and input your assumptions is financial modeling. The end result is the projections.

Creating Either One Will Require Some Expertise

Financial modeling requires at least basic spreadsheet skills. Financial modeling requires good math ability to know how to setup your formulas required. You will also need to have solid assumptions. The assumptions are what allow you to predict what will happen in the future. Those predictions will come from solid market research and industry knowledge.

It’s clear to see that there are a lot of skills which are needed to do financial modeling well. That is why many people choose to hire advisors to help them with financial modeling or Professional Business Plan Writers who will also tackle the financial projections in the business plan. The financials are really important so, whether an its advisor or writer, make sure someone helps to construct them in a purposeful and meaningful way.

How Adequate Market Research Can Make or Break Your Bank Business Plan

 

Have you ever tried to complete a puzzle without knowing what the final picture is supposed to look like? In business planning, market research is one of the ways you are able to view the full picture of the business puzzle. It is for this reason that Market Research can have a significant impact on your business plan, especially a bank business plan.

When creating a bank business plan, the most important thing to keep in mind is your audience. A bank loan officer’s primary objective is to determine if you are going to be able to pay back your loan. Your market research will help them make this determination in a variety of ways.

Market Research Shows You Are Prepared

One thing that allows great business plans to stand out from good business plans is your market research. Market research is arguably one of the most difficult parts of the business plan to complete.

When you have thorough market research, with information from trusted and reliable sources, it shows you have truly done your due diligence. By association, this will help to legitimize and validate the rest of the Bank Business Plan as well.

Market Research Creates Cohesion in Your Business Plan

Reflecting back on the opening paragraph here, market research is what helps paint the picture for the entire bank business plan. It helps shape the potential for the full plan. It also helps pinpoint the micro aspects.

When your market research is done thoroughly, it helps inform all aspects of the business plan. It will – or at least should – be mentioned in nearly every section of the plan whether directly or indirectly. It becomes an underpinning aspect of your plan that helps tie all the decisions you make together.

Determining the size of the total market and reviewing your competitors give you a sense of your overall market potential. It allows you to pinpoint your niche markets. It helps you plan for how many people you will need to hire. It informs if you hire them locally or outsources. It tells you how much expenses are likely to cost. The list goes on.

Validates Your Financial Assumptions

Last but certainly not least is the impact of market research on the financials. The Financial Projections are undoubtedly one of the most important aspects to the loan officer. This is where they get the chance to determine if you are likely to have the cash flow to meet your loan repayment terms.

Your market research will give them an indication if your financial assumptions are reasonable and achievable. This then gives validity to the rest of the numbers. While other factors like your personal credit or prior business success will weigh in heavily, good market research can help tip the decision in your favor.

There are few parts of the business planning process that are as vital as the Market Research. If you’re unsure about how to conduct this research, don’t be afraid to look to professionals for assistance. Knowing the impact it can have, it is well worth the investment.

 

Creating a Pitch Deck? Don’t Reinvent the Financial Projections from Your Business Plan!

Are you creating a pitch deck? Have you already created your full business plan? If so, you’re already well ahead of the game! If you’re creating a Pitch Deck it’s likely to approach investors. One of the most important aspects to them will be the financials. The good news is, you won’t have to reinvent the financial projections from your business plan to suit the pitch deck.

You Should Always Have Consistency in the Numbers

It’s possible when you first put together the Financial Projections Business Plan it may be for a different reason than approaching an investor. So, you may be inclined to present something different when putting together your pitch deck.

This may be warranted but, you first need to ask yourself if there is reason to change them. When first putting together the financial projections for the business plan, what was the purpose? Internal planning? To apply for a bank loan or a commercial lease?

There are instances when you may be bullish and sometimes when you may be more conservative. That is often the nature of projections. But, they should all be in the same general ballpark unless something has significantly changed. Potential investors will be able to identify unsubstantiated financial projections presented in your pitch deck pretty quickly. It’s imperative that you keep the numbers consistent whether for internal planning or pursuing investment.

The Art is In How You Consolidate the Financial Projections from your Business Plan

Now, when you are ready to consolidate your financials for your pitch deck you need to keep your audience in mind. Ask yourself what the investors are going to care most about. Beyond that, you also need to make sure you present them in a way that is legible and understandable on a slide.

As an incredibly basic example, you may sum up the income statement Financials Projections from your business plan like this for the pitch deck:

1. Revenue

2. Expenses

3. Net Profit

Now, based on your business, within each category you are going to break out key numbers. These are going to be the ones that make up the largest portion of each category. They also may be ones that are most important or questioned in your business. Maybe even the numbers most likely to be called into question so you can proactively address them.

Although this was an incredibly basic example, the key is to keep in mind what will be of most interest to the investor. You also need to ensure your numbers are realistic and supported. Combine that with making sure what you put on your slide is readable and you are well on your way to a winning pitch deck.

Taking Your Pitch Deck to Another Level

When it comes to your pitch deck, you usually only have one shot at making an impression on the chosen investors. Unless you happen to be a financial wizard, excellent business writer, and a graphic designer, you should consider hiring a professional to create your business plan. You need to make a strong impression from the cover to the last slide to stand a chance at gaining funding. Professional firms can cover all the bases and ensure you are in the best position to get your Pitch Deck noticed.

3 Reasons the Savviest Entrepreneurs Trust Professional Business Plan Writers

Do you need to write a business plan? Are you looking for information to guide you in writing your own? Have you considered hiring Professional Business Plan Writers instead?

Professional business plan writers bring a great deal of advantages to your business plan endeavors. Hiring someone to do something so close and personal to your business can be nerve wracking. Yet, the savviest entrepreneurs will often seek one out for several key reasons.

1. Save Time – As an entrepreneur or executive, you’re busy. Really busy. Even though you may be more than quilifed to write a great business plan, you still have to find the time to do it. This is where professional business plan writers come in.

So, saving time is super important but so is writing a great business plan. Therefore, saavy entrepreneurs will go right to proven professional Business Plan Writers. They don’t waste time trying to find the cheapest person, they just want to find the best. They also realize that a professionally produced business plan is an investment worth making.

2. Value Expertise – There seems to be a few common traits among really successful entrepreneurs. Among these traits is the ability to recognize you’re not the best person to do everything. There are some – sometimes many – things that are better done by others. Being able to identify when to trust someone more skilled or qualified is a vital asset.

One such case where entrepreneurs regularly reach out to other experts if when it is time to write a business plan. It doesn’t matter if it is for a bank loan or an immigration case. In either instance, trusting someone who writes business plans day in and day out and knows how to perfectly tailor a business plan to any audience, is a smart move.

3. Objective View – As an entrepreneur, it becomes difficult to “see the forest for the trees”. Often you are so caught up in the details and the overall planning, that you may miss obvious risks or opportunities. Professional Business Plan Writers are just what their name implies, business professionals.

They have seen the best of the best and the worst of the worst. They will quickly spot weak points or tremendous strengths in your plan. Most professional business plan writers do more than just write your plan. They also act as consultants and a second set of eyes on your entire plan, ultimately helping you strengthen your business overall.

When it comes to writing your own business plan, sure, you can do it. But, have you considered that maybe someone else can do it better? Not only do it better but, bring other incredible perks with writing your plan? This is why savvy entrepreneurs hire professional business plan writers.

These reasons above are a few of the main reasons why sophisticated entrepreneurs bring in outside experts. They are far from the only reason though. There is nothing wrong with writing your own Business Plan but, consider the advantages you could gain from hiring someone else. Turning over the writing of your business plan may feel difficult but, it could be one of the best things you ever do for your business.

What Professional Business Plan Writers Want You to Know About Market Research

 

A good business plan starts with a solid foundation.  Professional Business Plan Writers will tell you exactly what should make up that foundation.  Among other things, that includes thorough market research.  The one thing professionals know is that this research can make or break your business plan.  Whether they get your business plan writing business or not, there is a few things they want you to know.

Market research informs more than the market analysis section of the business plan – Common knowledge tends to associate market research with the market and industry analysis section of the business plan.  While this is true, it’s not the only section that market research will inform.  Throughout your plan you should support decisions and points with relevant research.

This is perhaps most evident in the financials.  Everything from the price you charge for your product or service, to the price of rent/lease for your office, to the likely volume you can expect is informed or answer by Market Research.  Professional business plan writers understand the importance of analyzing this information and apply it throughout the plan.

Market research is not one size fits all – Each business will have its own specific questions it needs to ask.  There is also a lot of advice out there on market research.  Professional business plan writers have seen it all and know that some forms of research work better than others depending on the business.

If you consider hiring a firm to do your research, or you are currently researching how to do your own research, you need to know what you need to know.  You need to be clear on exactly what information is most important for you to know.

Market research is best done by experts – It may be clear by now that market research can be more involved than a lot of people initially realize.  Each business is different.  Each market research methodology is different.  It can be time consuming and costly, especially if you don’t know how to begin or set things up or ask the right questions from the beginning.

All these reasons and more are why professional Business Plan Writers recommend market research be done by a professional.  It is simply too important for the entire business plan and the success of your business in general to be done wrong or not be done at all.

Professional market researchers will be able to guide you through the process.  They will start at the beginning by understanding your current business.  Then, they will help identify the most important question you should be asking.  Next, they will devise a custom-tailored approach to the research.  Once the research is complete, they will compile the research, analyze it, and provide you with a meaningful market research report.

This is the best way to approach Market Research but, not every “professional” will approach it the same way.  Make sure they are including all the steps above.  If not, make sure you know how to cover what they don’t or considering hiring someone who will own the full process and dive deep into the insights you need.