if you’re looking to get funding for your business today I’m going to share
your business today I’m going to share
your business today I’m going to share the most important three things that
the most important three things that
the most important three things that investors look for in a winning business
investors look for in a winning business
investors look for in a winning business plan so I got a question for one of my
plan so I got a question for one of my
plan so I got a question for one of my YouTube viewers Jaz love you guys who
YouTube viewers Jaz love you guys who
YouTube viewers Jaz love you guys who wrote in to say yes I would like to say
wrote in to say yes I would like to say
wrote in to say yes I would like to say thank you so much for sharing your idea
thank you so much for sharing your idea
thank you so much for sharing your idea I’m glad I could help I just want to ask
I’m glad I could help I just want to ask
I’m glad I could help I just want to ask you how to make a business plan for my
you how to make a business plan for my
you how to make a business plan for my investor a plan that is clear to them to
investor a plan that is clear to them to
investor a plan that is clear to them to show them how they will make money your
show them how they will make money your
show them how they will make money your reply is highly appreciated thank you
reply is highly appreciated thank you
reply is highly appreciated thank you so Jaz this is a great question and I
so Jaz this is a great question and I
so Jaz this is a great question and I used to work as a venture capitalist and
used to work as a venture capitalist and
used to work as a venture capitalist and my role in that business was to screen
my role in that business was to screen
my role in that business was to screen the business plans I was a guy who was
the business plans I was a guy who was
the business plans I was a guy who was getting all the business plans coming in
getting all the business plans coming in
getting all the business plans coming in and had to make a decision whether I
and had to make a decision whether I
and had to make a decision whether I would accept a meeting or politely say
would accept a meeting or politely say
would accept a meeting or politely say no and you have to understand that 99%
no and you have to understand that 99%
no and you have to understand that 99% of the plans the venture capitalists see
of the plans the venture capitalists see
of the plans the venture capitalists see get rejected so I’m going to tell you
get rejected so I’m going to tell you
get rejected so I’m going to tell you how to get your foot in the door and
how to get your foot in the door and
how to get your foot in the door and have it get a yes out of an investor
have it get a yes out of an investor
have it get a yes out of an investor here are the three most important things
here are the three most important things
here are the three most important things that we looked at when evaluating a new
that we looked at when evaluating a new
that we looked at when evaluating a new business plan number one was your
business plan number one was your
business plan number one was your executive summary the first thing that
executive summary the first thing that
executive summary the first thing that an investor looks at is the executive
an investor looks at is the executive
an investor looks at is the executive summary of your business plan they don’t
summary of your business plan they don’t
summary of your business plan they don’t have time to read a 30 40 50 page
have time to read a 30 40 50 page
have time to read a 30 40 50 page document they want to see that one to
document they want to see that one to
document they want to see that one to three pages at the start that quickly
three pages at the start that quickly
three pages at the start that quickly explains what it is that you do if they
explains what it is that you do if they
explains what it is that you do if they don’t like it if they don’t see the
don’t like it if they don’t see the
don’t like it if they don’t see the opportunity if they don’t understand it
opportunity if they don’t understand it
opportunity if they don’t understand it then your business plan is going
then your business plan is going
then your business plan is going straight to the garbage pile there’s a
straight to the garbage pile there’s a
straight to the garbage pile there’s a term in the industry called the
term in the industry called the
term in the industry called the grandmother test where you want to make
grandmother test where you want to make
grandmother test where you want to make your business plan so easy to understand
your business plan so easy to understand
your business plan so easy to understand that your grandmother can understand it
that your grandmother can understand it
that your grandmother can understand it remember that investors don’t know your
remember that investors don’t know your
remember that investors don’t know your business as well as you know your
business as well as you know your
business as well as you know your business and never will so you have to
business and never will so you have to
business and never will so you have to make your business plan and especially
make your business plan and especially
make your business plan and especially the executive summary easy enough for
the executive summary easy enough for
the executive summary easy enough for anybody to understand make it simple
anybody to understand make it simple
anybody to understand make it simple dumb down the language take out any
dumb down the language take out any
dumb down the language take out any industry terminology or acronyms or
industry terminology or acronyms or
industry terminology or acronyms or short forms so that anybody can
short forms so that anybody can
short forms so that anybody can understand what you’re talking about and
understand what you’re talking about and
understand what you’re talking about and before you give your executive summary
before you give your executive summary
before you give your executive summary your business plan to an investor make
your business plan to an investor make
your business plan to an investor make sure you run it by your friends and
sure you run it by your friends and
sure you run it by your friends and family first to again see if they
family first to again see if they
family first to again see if they actually understand what the opportunity
actually understand what the opportunity
actually understand what the opportunity is when you past a grandmother test then
is when you past a grandmother test then
is when you past a grandmother test then you’re ready to give it to investors
you’re ready to give it to investors
you’re ready to give it to investors number two is your management team so if
number two is your management team so if
number two is your management team so if an investor
an investor
an investor your executive summary the next thing
your executive summary the next thing
your executive summary the next thing gonna look at is your management team
gonna look at is your management team
gonna look at is your management team because in investors eyes the idea is
because in investors eyes the idea is
because in investors eyes the idea is important but much more important than
important but much more important than
important but much more important than the idea is the team that’s going to
the idea is the team that’s going to
the idea is the team that’s going to execute it as a venture capitalist I saw
execute it as a venture capitalist I saw
execute it as a venture capitalist I saw dozens of companies pitch me variations
dozens of companies pitch me variations
dozens of companies pitch me variations of the same idea the real question for
of the same idea the real question for
of the same idea the real question for us became which management team is going
us became which management team is going
us became which management team is going to be the company that can actually
to be the company that can actually
to be the company that can actually execute it and deliver results so on
execute it and deliver results so on
execute it and deliver results so on your management team you want to show
your management team you want to show
your management team you want to show that you have experience and that you
that you have experience and that you
that you have experience and that you know what you’re talking about the
know what you’re talking about the
know what you’re talking about the biggest factor here that held a lot of
biggest factor here that held a lot of
biggest factor here that held a lot of plans back from getting a yes was a lack
plans back from getting a yes was a lack
plans back from getting a yes was a lack of start-up experience on the management
of start-up experience on the management
of start-up experience on the management team so when you’re managing BIOS you
team so when you’re managing BIOS you
team so when you’re managing BIOS you want to make yourself look as good as
want to make yourself look as good as
want to make yourself look as good as possible show off all the work that
possible show off all the work that
possible show off all the work that you’ve done show up all the wins that
you’ve done show up all the wins that
you’ve done show up all the wins that you’ve have and show up all the momentum
you’ve have and show up all the momentum
you’ve have and show up all the momentum that you’ve built so far into your
that you’ve built so far into your
that you’ve built so far into your business and if you don’t have a lot of
business and if you don’t have a lot of
business and if you don’t have a lot of practical business experience yet
practical business experience yet
practical business experience yet consider building a Board of Advisors
consider building a Board of Advisors
consider building a Board of Advisors and bringing on people into your
and bringing on people into your
and bringing on people into your business to help advise you to grow even
business to help advise you to grow even
business to help advise you to grow even something as simple as adding your
something as simple as adding your
something as simple as adding your business lawyer or your accountant to
business lawyer or your accountant to
business lawyer or your accountant to your Board of Advisors can give you a
your Board of Advisors can give you a
your Board of Advisors can give you a lot more credibility and Trust in an
lot more credibility and Trust in an
lot more credibility and Trust in an investor’s eyes it’s important to
investor’s eyes it’s important to
investor’s eyes it’s important to understand your strengths and what your
understand your strengths and what your
understand your strengths and what your skills are that you are the best in the
skills are that you are the best in the
skills are that you are the best in the world at and then surround yourself with
world at and then surround yourself with
world at and then surround yourself with people who can complement your
people who can complement your
people who can complement your weaknesses and put that in your business
weaknesses and put that in your business
weaknesses and put that in your business plan so that the investor see you’ve
plan so that the investor see you’ve
plan so that the investor see you’ve thought this thing through and number
thought this thing through and number
thought this thing through and number three is a financials so if an investor
three is a financials so if an investor
three is a financials so if an investor likes your executive summary they like
likes your executive summary they like
likes your executive summary they like your management team the next thing you
your management team the next thing you
your management team the next thing you know flip through is the back of the
know flip through is the back of the
know flip through is the back of the document which is typically where all
document which is typically where all
document which is typically where all your financials are they want to see
your financials are they want to see
your financials are they want to see that the numbers make sense they want to
that the numbers make sense they want to
that the numbers make sense they want to see that there’s an opportunity for them
see that there’s an opportunity for them
see that there’s an opportunity for them to make money some of the common
to make money some of the common
to make money some of the common pitfalls that a lot of entrepreneurs
pitfalls that a lot of entrepreneurs
pitfalls that a lot of entrepreneurs make in their business plan in specific
make in their business plan in specific
make in their business plan in specific to the financial section is one they
to the financial section is one they
to the financial section is one they have projections that are astronomical
have projections that are astronomical
have projections that are astronomical like we’re going to be the next
like we’re going to be the next
like we’re going to be the next Microsoft and we’re going to get there
Microsoft and we’re going to get there
Microsoft and we’re going to get there in three years well you might want to
in three years well you might want to
in three years well you might want to taper that down a little bit too they
taper that down a little bit too they
taper that down a little bit too they pay themselves huge salaries right
pay themselves huge salaries right
pay themselves huge salaries right they’re asking for $500,000 for their
they’re asking for $500,000 for their
they’re asking for $500,000 for their business and there’s four partners and
business and there’s four partners and
business and there’s four partners and I’m going to give each other
I’m going to give each other
I’m going to give each other $100,000 each for the year and only have
$100,000 each for the year and only have
$100,000 each for the year and only have $100,000 in working capital for the
$100,000 in working capital for the
$100,000 in working capital for the business that actually happened that was
business that actually happened that was
business that actually happened that was a business plan that somebody submitted
a business plan that somebody submitted
a business plan that somebody submitted to me so the use of
to me so the use of
to me so the use of seeds has to make sense use of proceeds
seeds has to make sense use of proceeds
seeds has to make sense use of proceeds means how are you going to use that
means how are you going to use that
means how are you going to use that money you’re asking for X amount of
money you’re asking for X amount of
money you’re asking for X amount of money where is that going to go in your
money where is that going to go in your
money where is that going to go in your business and does that make sense or not
business and does that make sense or not
business and does that make sense or not and then the third is how am I going to
and then the third is how am I going to
and then the third is how am I going to get a return out of this if you’re
get a return out of this if you’re
get a return out of this if you’re talking to angel investors they
talking to angel investors they
talking to angel investors they typically want to see 30% return every
typically want to see 30% return every
typically want to see 30% return every year on average and be out of your
year on average and be out of your
year on average and be out of your business in five to eight years so they
business in five to eight years so they
business in five to eight years so they have to see first of all that one there
have to see first of all that one there
have to see first of all that one there is some kind of exit that somebody is
is some kind of exit that somebody is
is some kind of exit that somebody is going to buy you out or that you can go
going to buy you out or that you can go
going to buy you out or that you can go public with your business and two that
public with your business and two that
public with your business and two that you can generate returns in excess of
you can generate returns in excess of
you can generate returns in excess of 30% average per year to be able to give
30% average per year to be able to give
30% average per year to be able to give them that’s when you get an investor
them that’s when you get an investor
them that’s when you get an investor excited so work on having a really clear
excited so work on having a really clear
excited so work on having a really clear executive summary build out that
executive summary build out that
executive summary build out that management team expertise and have solid
management team expertise and have solid
management team expertise and have solid financials that you can explain every
financials that you can explain every
financials that you can explain every single line on it and tell them how you
single line on it and tell them how you
single line on it and tell them how you arrived at those numbers those are the
arrived at those numbers those are the
arrived at those numbers those are the first three things that any investor is
first three things that any investor is
first three things that any investor is going to look at from there they’ll flip
going to look at from there they’ll flip
going to look at from there they’ll flip through the rest of your business pining
through the rest of your business pining
through the rest of your business pining that they like it have you come in for
that they like it have you come in for
that they like it have you come in for meeting I hope that helps Jaz good luck
meeting I hope that helps Jaz good luck
meeting I hope that helps Jaz good luck on getting that investor for your
on getting that investor for your
on getting that investor for your business and for those who are watching
business and for those who are watching
business and for those who are watching you have a question or comment leave it
you have a question or comment leave it
you have a question or comment leave it below I’d love to engage with you
below I’d love to engage with you
below I’d love to engage with you remember to believe and if you like this
remember to believe and if you like this
remember to believe and if you like this video you want to see more don’t forget
video you want to see more don’t forget
video you want to see more don’t forget to subscribe to the channel thank you
to subscribe to the channel thank you
to subscribe to the channel thank you guys so much for watching
guys so much for watching
guys so much for watching I’ll see you soon self-improvement books
I’ll see you soon self-improvement books
I’ll see you soon self-improvement books are like Fitness books they never work
are like Fitness books they never work
are like Fitness books they never work on their own what you need is a trainer
on their own what you need is a trainer
on their own what you need is a trainer that’s Evan gap the newsletter
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