{"id":4422,"date":"2020-12-10T10:00:39","date_gmt":"2020-12-10T18:00:39","guid":{"rendered":"https:\/\/berkonomics.com\/?p=4422"},"modified":"2020-12-15T10:12:14","modified_gmt":"2020-12-15T18:12:14","slug":"three-important-issues-for-your-business-plan","status":"publish","type":"post","link":"https:\/\/berkonomics.com\/?p=4422","title":{"rendered":"Three Important Issues for Your Business Plan"},"content":{"rendered":"

Some professional advice\u00a0 \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/strong><\/p>\n

Here\u2019s more advice from professional investors for aspiring entrepreneurs.\u00a0 Each of us has \"\"a list of things we look for early on when identifying whether we want to go to the next step in analyzing a plan.\u00a0\u00a0 Come to think of it, these are good for challenging any business plan.<\/p>\n

Size of your total available market<\/strong><\/p>\n

First:\u00a0 You must address a big market,<\/em> large enough to allow you to have a shot at making a dent with a great product or service and growing to a size that will make the company valuable at the exit.<\/p>\n

We often draw the line at believing that a company can capture enough of the market to generate at least $20 million in revenues by the fifth year in the market.\u00a0 But many, many businesses will never be able to obtain this kind of market size or share.\u00a0 Your big market can come from having a dominant share or just by being in a very large space.\u00a0 Both work – with the dominant share preferred by most investors.<\/p>\n

Your message must be simple<\/strong><\/p>\n

Second, you must have and be able to tell an easy to understand story<\/em> to your prospective customers, suppliers and investors.\u00a0 If your product is too complex to describe in a few words, your opportunity to sell it will suffer, and investors will quickly lose interest or the ability to follow your explanation.<\/p>\n

Create a \u201cmantra\u201d for your business<\/strong><\/p>\n

[Email readers, continue here…]<\/em><\/span>\u00a0 I\u2019ve often repeated that entrepreneurs must construct a short, single sentence \u201cmantra\u201d that explains what you do in as few words as possible, sometimes using the name of a well-known company as a proxy for your activities.\u00a0 \u201cWe are the next Zoom of Internet one-to many interactive broadcasting.\u201d<\/p>\n

Your secret sauce <\/strong><\/p>\n

\"\"And third, you must have some \u201csecret sauce\u201d<\/em> that is unique and makes you and your offering stand out among the thousands of possible competitors. If up against a monster like Zoom, tell us your secret sauce early to avoid us tuning out before you begin. So what gives you a head start, a barrier to entry, an extra value that others cannot easily emulate?\u00a0 Secret sauce is important to investors and to you in competing against a company with more money, a brand name, or a head start.<\/p>\n

A big market. \u00a0An easy-to-understand story. \u00a0Secret sauce.\u00a0\u00a0 Why not spend a few minutes right now, and explain to yourself how you address each of these.<\/p>\n","protected":false},"excerpt":{"rendered":"

Some professional advice\u00a0 \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Here\u2019s more advice from professional investors for aspiring entrepreneurs.\u00a0 Each of us has a list of things we look for early on when identifying whether we want to go to the next step in analyzing a … Continue reading →<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"footnotes":""},"categories":[1,4,5],"tags":[],"class_list":["post-4422","post","type-post","status-publish","format-standard","hentry","category-general","category-ignition-starting-up","category-raising-money"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/berkonomics.com\/index.php?rest_route=\/wp\/v2\/posts\/4422","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/berkonomics.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/berkonomics.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/berkonomics.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/berkonomics.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=4422"}],"version-history":[{"count":0,"href":"https:\/\/berkonomics.com\/index.php?rest_route=\/wp\/v2\/posts\/4422\/revisions"}],"wp:attachment":[{"href":"https:\/\/berkonomics.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4422"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/berkonomics.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4422"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/berkonomics.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4422"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}