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Business Plan

Summary

It is the most important chapter of the business plan. It may summarize in maximum 500 words all the information explained in detail in the following chapters. It is the first page that potential investors read and, whoever reads it, the summary is the part that decides them whether or not to continue reading.

Most financiers get more petitions that they can undertake and for this reason they do not give a lot of time to an offer if they think it is unclear. Sometimes, the summary does not fulfil its aim because, normally, it is the last chapter to be written. It can seem easy to write one or two pages, but it is not only that, you have to formulate them after a long and tiring process and the desire for finishing can be reflected in the text. Moreover, authors can think, after solving all the main problems, that all the necessary information is somewhere in the document, although it is not very clear. 

YOU MAY NOT TAKE FOR GRANTED THAT THE POTENTIAL INVESTOR WILL TAKE THE TROUBLE TO FIND THE DECISIVE INFORMATION THROUGH PAGES FULL OF INFORMATION. 

It may be taken into account that the summary may contain the most persuasive and firmest message of the entire document. It is well worth the additional effort and it is also important that all authors check the summary in order to obtain a clear and comprehensive document. It will be greater that neutral third parties, reliable by the entrepreneurs, could read the plan. 

The document may have a good presentation; it may be well typed and easy to read. You may only use the most important figures, in order to reinforce the presentation to the maximum. A bungled composition may be avoided, as well as an unclear language and typing errors; these factors can generate a very negative effect, and they reduce truthfulness to the content. 

Control list  

  • What is the company name? And the activity sector?
  • Which are the key contacts?
  • Which is the business field and the potential market for products?
  • Which are the human and financial resources needed for the new company?
  • When will be profits made from business?
  • What are the backgrounds that guarantee the capacity of the team to undertake the new company?
  • Which are the aims of the new company?            

Updated 9/5/2005

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