The quality of the business plan for project development often directly affects whether the founders can find partners, obtain funds and other policy support. How should we write a business plan? Here's what I've compiled for you: How to write a business plan, please refer to it. More information is in the planning book column! Ideas and main points of writing a business plan
First, clearly explain in a few sentences what gaps or problems you have found in the current market, and how serious this problem is. A few words are enough. Many people wrote 3 pieces of paper and copied some reports. Investors watch this every day. Do you still need to educate him? For example, there is a serious problem of number theft in the online game market now. You have a product that can solve this problem, just make it clear in one sentence.
second, what kind of solutions or products do you have to solve this problem? What is your solution or product, and what functions do you provide?
third, who are the user groups your product will face? There must be a division of user groups.
fourth, explain your competitiveness. Why can you do this while others can't? Do you have more free bandwidth, or can storage be free? This is just an analogy. Otherwise, anyone can do it. Why should I invest in you? What are your special core competencies? What's different? Therefore, the key is not the size of what you do, but that you can do better than others and do differently from others.
Fifthly, demonstrate how big this market is. What do you think is the future of this market?
sixth, explain how you will make money? If you really don't know how to make money, you don't have to say it. You can honestly say that I don't know how to make money, but 1 million users in China will use it. If 1 million people use it, I think it will definitely have its value. It doesn't matter if you can't figure out how to make money. The investor is more experienced than you. Just tell him how valuable your product is.
Seventh, tell investors in a few simple sentences whether there is anyone else working in this market and what the specific situation is. Don't say, "I have never had this idea before." When investors hear this, they will put a question mark. It is not terrible to have other people doing the same thing. What is important is whether you can have a basic understanding and objective understanding of this industry. To tell the truth and do practical things, we can make some simple advantages and disadvantages analysis.
eighth, highlight your own bright spots. As long as it is a little brighter than the other party. There must be a lot of problems with the new product, which shows where your advantages are.
ninth, the penultimate piece of paper can be simpler for financial analysis. Don't budget how much money you will earn in the next three years, no one will believe you. Tell me how much money you need in the next year or six months, and what will you do with it?
Tenth, finally, if others are still willing to listen, introduce your team, the excellence of team members and what you have done. How to write a business plan? (Overview)
In fact, the business plan itself has no formula. The most concise version I have seen is only five pages. An entrepreneur in Silicon Valley has successfully integrated and founded a number of companies with those five pages of PPT. But I think the key to his success is that he has successfully done many companies. People can do it with 5 pages of PPT. In fact, its length is not important. The key is what we need to pay attention to.
why write a business plan? Raise your dream reserve? But I think it's more than that. It's also a tool to promote your dreams. It is very, very important to sort out your thoughts. When we think about it in our heads, it's probably like this, but when we put pen to paper, you will find it much more difficult. The most typical thing is where our own core competitiveness lies. I think it is difficult to write clearly if we really write about it. When you force yourself to write clearly with a few simple points, you are already forcing yourself to sort out your thoughts.
I think the most important core issue of the business plan is not that we should tell the investor how to make profits from this thing, but how I will control risks. The so-called venture capitalist doesn't take risks at all. He wants to take risks-free projects, so you should tell him how this project is risk-free.
There are three keys below:
First, we must attach importance to the business plan and ask the founder to write it himself. Anyway, I have never seen a business plan written by someone else succeed.
Second, this thing must be an iterative process. I have been writing, communicating, being criticized by people, being criticized by my friends, and then changing when I come back. This process is actually a particularly good process of sorting out ideas.
Third, be honest and never tell lies. Of course, if you say something selectively, I think it is also a strategy that can be adopted. I think you must not tell lies.
The first page first explains clearly what we want to do
Understand our products or services, what we want to do and what problems we want to help users solve in the simplest terms, preferably the unmet needs in the market at present.
you have to have a foundation to talk to him about the whole thing, and he has to know what you are probably doing. But I don't think we should go deep into this place. It's best to talk about elevator sales. Can you explain this problem simply and to the point in 1 minute, and then get into the following topic quickly? Because, as soon as this place starts, there are many things we hope we can't do.
in investment negotiation, I think the most important strategy is to defeat the enemy without fighting. What does it mean to defeat the enemy without fighting?
you know what questions he wants to ask you, so tell him the answer first. If you wait until he asks you, you will have to start a discussion. As you know, investors are always awesome, and he still has a lot of data. He tells you something to challenge you, and some things are hard to refute. Therefore, it is best to say that the whole strategy should first think about what questions he will ask and what problems he is most concerned about. It may be the fastest way to eliminate a problem by raising this question.
The second page says who we are.
Introduce the team. I think it must be in the front, as far as possible. Sometimes give me a PPT page, and turn it from beginning to end just to find the page of the team, because Xu Xiaoping is a typical investor-oriented. All investment institutions attach great importance to the team. The more early projects attach importance to the team, why do you keep him waiting? While he was waiting, he couldn't concentrate on what you said.
I am actively answering a question here. Why are you guys doing this? What we told him was how awesome our team was, and what we wanted to do was to answer his question. Why us? It is necessary to clarify what kind of experience we have and the accumulation is unique, which is very useful for doing this.
in terms of the number of people, this is a statistical data anyway, and the success rate of two people is the highest. Founder, I feel that investors still prefer the combination of marketing and technology, because technology entrepreneurship is the mainstream in this era, but without marketing, they are also very clear in their hearts that a technomaniac alone can't make a good company, so it's such a combination.
I emphasize that I think it is necessary to talk about foresight. Investors especially like to speak the English word Vision. Let's not think that they are fake foreign devils, and they are particularly valued for their foresight. It is the following sentence that entrepreneurs who don't want to be a billion-dollar company are not good entrepreneurs. What he wants is several times, even dozens of times, which is definitely not something that an entrepreneur without foresight can do. Only a few entrepreneurs can make opportunities that are dozens of times like this, or they wait for thousands of times of returns once in their lives. Although we all know that the chances of success are low, we must give him such a dream. Since we are showing our dreams and feelings, we must tell him that we are the next one, no matter who Jobs is, but we just want to be the best company and a visionary.
Page 3 Market Analysis
Market analysis is a must. Let's talk about a few details. One is to quote authoritative market size analysis. It is good that every figure we talk about has a source and a basis. If we are an emerging market, and there is no authoritative report that can directly lead to the results, then you must quote very authoritative basic data and use a very conservative calculation method. Your conservatism actually shows how safe you are.
the speed of market growth is very important. For example, the security market I made is quite small. When I made it, it was only 1 billion yuan, just reaching the bottom line of their psychological threshold. But I told him that this curve might go vertically, and everyone would be more excited.
is the market mature? This is why we answered him in our hearts, why are we doing this now? Because everyone has heard this sentence, everyone who is one step ahead of the market is dead, and everyone who is half a step ahead of the market is very good.
what kind of core competitiveness do we have on page four?
The core competitiveness is actually very critical, but I think it is very difficult to solve. I think the so-called core competitiveness is how we are different from others. There is also a saying among investment managers of all investment companies that creativity is worthless. I have come into contact with many young entrepreneurs, especially young small entrepreneurs. When he tells you an idea, he refuses to say it, or he has to keep half of it. This is a self-security protection, but in fact, investment companies see countless statements every day. In fact, they believe that your idea is not the key at all. Just now, I said that the team is the key. What is the final implementation of the team?
what kind of core competitiveness do we have? In the early days, what you have to convince investors is that we are different from others, whether it is technology, market or what kind of characteristics, so that we can quickly grab the market.
then how to find your own core competitiveness? I think it's really difficult. It's true that every entrepreneur has to question himself very strictly, why our team can do this, and whether we have a lot of accumulation in our own field.
Even if you can't come up with a complete statement in the end, you have at least carefully considered all the possibilities, and investors will certainly keep challenging you on this issue. If you have thought about everything carefully, at least you feel that this matter is serious and deeply thought.
Page 5 Business Model
In fact, the core of the whole thing is the core competitiveness of the previous page. Business model, the simpler the model, the better. A complex model, every step, there will be one more point of failure in the middle. If these failure factors are combined, the probability of failure will be much greater, so investors must not invest in a complex business model.
if I do security, I will tell him what the business model is. Charge, this model is simple enough, our user base is large enough, and everyone can collect less.
of course, it's a little weak, and you have to give him imagination. I have a business model syllogism: how to survive in the immediate future and how to make money in the medium term. The third paragraph is very simple, but there must be a third paragraph, that is, how to get to a billion-dollar company in the future. We have both immediate reality, medium-term efforts and long-term prospects.
page 6 income
income, we should make a very detailed calculation table. Income investors actually know it in their hearts. But if you are sure what kind of income and points you can really achieve in one month, two months and three months in the future, then this is another topic, and these figures are completely inaccurate for inexperienced people.
I think it is very important to figure out what we spend and where we spend it. The money you want to spend is very reasonable, and this thing is a foreshadowing, because how much is the early startup estimated? It doesn't make much sense, so first look at how much the company spends and how much you can ask for.
tell him about the current progress, company situation, team, products, revenue and road map. I think this is a necessary page, but in fact, all the important things have been mentioned just now.
page 7 competition analysis
competition analysis, I think this is still an important thing. People who have not carefully considered competition are definitely not mature entrepreneurs. If someone follows, what are our barriers? If you have just made it clear in the moat, this thing is not necessary.
several big bosses of bat have said that our company is only a few months away from bankruptcy, which is a bit exaggerated. Although it is not going to close in a few months, it may close in two or three years.
Therefore, Ma Huateng said that if there is no WeChat, you can't board this wave of mobile Internet. You can think about it. If there is no WeChat, Tencent will be very, very dangerous. We should have this sense of risk and vigilance ourselves. We are doing a very awesome business, and whether we will cease to exist tomorrow.
Most of the time, we beg investors to give us money, so we have to make a plan that investors can accept more easily. In the seed stage and angel stage, it is generally diluted by about 1% in exchange for a sum of money. Every investment institution has its own design that is the easiest for him to give money. You have to talk to him about the upper limit of his design, and it is difficult for the investment manager to deal with this matter when he goes back.
My observation about financing is on the one hand my own financing ability. The very important thing is that the situation is better than others. At that time, what kind of financing environment you were in was absolutely better than your own project and your own ability. To put it another way, this is also an ability to grasp the ups and downs of the financing industry.
also, at this stage, it is important to take the money as soon as possible.
Q& A
Q: at present, I am doing BP, and I am in the angel wheel. For example, two sets of figures, the first one is 5 million, making it 15%, and the second one is 3 million, making it 1%. Such a figure, my strategy is to let him in first, or not to ask too little, I don't even care about it.
M: in my own opinion, first of all, let's see if 3 million is enough.
Q: not enough.
M: if you don't have enough, you won't have this option. I think you must have enough.
Q: I mean, let him in first, and don't ask too much, and no one will pay attention to you.
M: don't care too much about the price, and get the money quickly. This is my most basic point. But my
judgment is different from yours, but I think if this money doesn't have real meaning to you, then why do you want it? I think it's faster, don't mind how much, it's on the premise of enough.
Of course, if this investor is very good at financing and knows well what you are doing, he is willing to help you get into the next round, which may be another factor that can be considered. Such a person can be introduced, if he can help you get it right.