The following table offers an example proposed

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: er of investment sites that offer variations on posting a plan where investors will look at it. Several of these sites offer services such as posting summaries of your plan, or matching your plan to potential investors. This sounds attractive, and we don’t know for a fact that it doesn’t work, but our experience is that the deals chase the money, the money doesn’t chase the deals. Go slowly and carefully, and look for indications of successful previous deals. You don’t want your plan to be put off as “shopped.”Among mainstream venture capitalists, they don’t generally want a deal that has been turned down by others. Be very selective. HURDLE: THE BOOK 22.8 ON BUSINESS PLANNING Use a Business Plan Website You could make use of technology by putting your business plan onto a website. That doesn’t mean it has to be public; it can easily be a private, password-protected website. Business Plan Pro®, www.paloalto.com/ps/bp/, for example, includes the facility to post a plan onto a secure website with a customizable cover page, password protection, and complete financial tables and charts. But don’t depend on a website as your main medium. Have hard-copy physical plan and electronic (Adobe PDF or similar file format) copies readily available. You never want to depend on a Web connection for an important meeting. Joe Tanous, mainstream venture capitalist and partner in eFund Group, www.efundllc.com, told us recently that his company,“won’t accept a business plan submitted in paper.” He explained that the website option was more practical and easier to deal with than tracking physical plans on paper. For investors, bankers, potential partners, and management team members, a plan posted on a secure website can be an ideal vehicle for delivering the plan information. The website is always up to date, easily modified, and available to read whenever and wherever a reader has Internet access. Investors Expect Additional Calculations You Should Estimate Investor’s Net Present Value (NPV) The Net Present Value (N...
View Full Document

Ask a homework question - tutors are online