Executive Summary: Ideas are the centerfold of business establishments. However, an idea is just a thought that only exists in one’s mind. An idea is quite useless actually if you can’t do anything about it. You may have a million dollar idea, but until it isn’t converted into tangibles, it may as well be lost in time without aforethought.
“It’s not about ideas, it’s about making ideas happen.” – Scott Belsky
However, having an idea is still making progress. You may have an idea and you may even have a strategy on how to bring it about, but what if you don’t have the resources? What if the idea and execution strategy is perfect, but you do not have the necessary funds to convert it into the lucrative opportunity that you have imagined it to be in your mind?
One way to go about business is to get investors and sponsors. This is not an easy task and not every business monger has the ability to pitch their ideas. That is where a simple, yet holistic document comes into play; a business plan.
A business plan is a document that contains all your ideas, execution strategies, and research that will allow you to not only explore your business better but also to demonstrate its viability. A well-prepared and thought-out business plan is actually the perfect way to get investors interested in your idea. So when your idea becomes tangible (the business plan) it becomes sellable!
Creating a business plan is not a challenging task, although it may require a lot of extraneous work that business owners tend to overlook. Even though it requires work, it also helps you understand your business better. Furthermore, explaining your ideas and strategies on paper will definitely help you get your point across! This is the best way to make the perfect pitch!
A business plan should be clear, accurate and elaborative.
It should contain all the necessary details that made you believe in your idea. Investors are not only interested in how you plan to execute, but they also look at these documents with a pervasive eye that shows them you know what you are doing! This helps build investor confidence when they see a well-prepared, organized and detailed document that explains everything to them in the simplest terms! Your idea may have grabbed their attention from the get-go, but your business plan may be the one that attains their stamp of approval.
Clear, Accurate, Elaborative
There are several key components of a business plan that investors look at, and surprisingly, the most important element is a little introductory section called the executive summary! Indeed an executive summary may not seem like much, but preparing a catchy and convincing executive summary is key to getting them hooked. Often times, potential investors do not have the abundance of time to read through a 50-page document. They have busy schedules and a lot on their mind. They are doing you a favor just by taking your business plan! Even if you have a great idea and a properly prepared business plan, your executive summary may lose you your opportunity! Investors will only have time to read your executive summary. As the saying goes, the first impression is the lasting impression, so if your executive summary lacks that zing, you will lose the interest of the investor almost all the time!
The first impression is the lasting impression
n essence, the executive summary in your business plan is your sales pitch. Getting your executive summary right will validate the entire business plan. If an investor is impressed, he will read every word of your 50 page business plan!
Make a Captivating Executive Summary
Your executive summary needs to highlight the main points about your industry, your business idea and about you. Word choice, sentence structure and using persuasive language is vital. Address the main trends in your industry, showcase your business ideology and main selling points! Let your executive summary illuminate how you feel about your business! An investor will never be confident to invest in your idea if you can’t demonstrate how much you believe in your business! Furthermore, let the investors know who you are, your background and what you are bringing to the table. Finally, give them some facts and figures that will grab their attention. Conclude your executive summary with a nicely written paragraph, including the amount of investment you are seeking!
A word of advice, your executive summary should be the last section you write in your business plan! Do every other section first!
Get the investors’ attention, make that business plan and focus your energy on making that executive summary rock!
To learn more about making a perfect business plan, please read our article: Creating a Business Plan – The Essentials.
