hi I’m Evan Carmichael welcome to another edition of ask Evan today I’m
another edition of ask Evan today I’m
another edition of ask Evan today I’m going to answer a question from one of
going to answer a question from one of
going to answer a question from one of my youtube viewers a mirror who wrote it
my youtube viewers a mirror who wrote it
my youtube viewers a mirror who wrote it asking about business plans so he wrote
asking about business plans so he wrote
asking about business plans so he wrote saying hi Evan I absolutely love your
saying hi Evan I absolutely love your
saying hi Evan I absolutely love your videos when creating the business plan
videos when creating the business plan
videos when creating the business plan and I’m writing that does it have to be
and I’m writing that does it have to be
and I’m writing that does it have to be with all the confusing terms or can it
with all the confusing terms or can it
with all the confusing terms or can it be in plain English so thanks for the
be in plain English so thanks for the
be in plain English so thanks for the question Amir first of all of your
question Amir first of all of your
question Amir first of all of your business plan you never wanted to be
business plan you never wanted to be
business plan you never wanted to be confusing you don’t want to be confusing
confusing you don’t want to be confusing
confusing you don’t want to be confusing for you you aren’t be confusing for any
for you you aren’t be confusing for any
for you you aren’t be confusing for any of the readers so as much as you can put
of the readers so as much as you can put
of the readers so as much as you can put it in plain English plain language so
it in plain English plain language so
it in plain English plain language so that everybody can understand it
that everybody can understand it
that everybody can understand it depending what your plan is the for the
depending what your plan is the for the
depending what your plan is the for the business plan is it’s something that
business plan is it’s something that
business plan is it’s something that you’re just going to use internally to
you’re just going to use internally to
you’re just going to use internally to help you build your business or if
help you build your business or if
help you build your business or if you’re also going to use it to go and
you’re also going to use it to go and
you’re also going to use it to go and get investors or that you get a bank
get investors or that you get a bank
get investors or that you get a bank loan it’s gonna be read by other people
loan it’s gonna be read by other people
loan it’s gonna be read by other people then you really have to make sure it’s
then you really have to make sure it’s
then you really have to make sure it’s in plain English because they’re not
in plain English because they’re not
in plain English because they’re not going to know your business as well as
going to know your business as well as
going to know your business as well as you do so quick example when I was in
you do so quick example when I was in
you do so quick example when I was in the venture capital business I got so
the venture capital business I got so
the venture capital business I got so many business plans people wanting to
many business plans people wanting to
many business plans people wanting to get funding and a lot of it was not in
get funding and a lot of it was not in
get funding and a lot of it was not in plain English it was a very technical a
plain English it was a very technical a
plain English it was a very technical a lot of people with great new
lot of people with great new
lot of people with great new technologies and I’m sure to them when
technologies and I’m sure to them when
technologies and I’m sure to them when they read over their business plan it
they read over their business plan it
they read over their business plan it made a lot of sense like this is what we
made a lot of sense like this is what we
made a lot of sense like this is what we do but for somebody who is looking at it
do but for somebody who is looking at it
do but for somebody who is looking at it doesn’t know your business it’s a lot of
doesn’t know your business it’s a lot of
doesn’t know your business it’s a lot of technical jargon so you want to make
technical jargon so you want to make
technical jargon so you want to make sure that you can you can really put it
sure that you can you can really put it
sure that you can you can really put it in simple terms easy to understand that
in simple terms easy to understand that
in simple terms easy to understand that anybody can understand a lot of these
anybody can understand a lot of these
anybody can understand a lot of these bankers investors they may be
bankers investors they may be
bankers investors they may be knowledgeable but you’re in the stream
knowledgeable but you’re in the stream
knowledgeable but you’re in the stream but they’re not going to know it as well
but they’re not going to know it as well
but they’re not going to know it as well as you will know it so it’s really
as you will know it so it’s really
as you will know it so it’s really important to put it in terms that
important to put it in terms that
important to put it in terms that everybody can understand so for those
everybody can understand so for those
everybody can understand so for those ones usually they got rejected sometimes
ones usually they got rejected sometimes
ones usually they got rejected sometimes if we saw something we might you know
if we saw something we might you know
if we saw something we might you know bring them in but for the most part it’s
bring them in but for the most part it’s
bring them in but for the most part it’s the ones who had the really clear no
the ones who had the really clear no
the ones who had the really clear no simple to understand business plans that
simple to understand business plans that
simple to understand business plans that we call them to be able to meet them
we call them to be able to meet them
we call them to be able to meet them because we understood what they do and
because we understood what they do and
because we understood what they do and they clearly explained their value
they clearly explained their value
they clearly explained their value proposition so hopefully that helps one
proposition so hopefully that helps one
proposition so hopefully that helps one last thing when we look that business
last thing when we look that business
last thing when we look that business plans there’s a term within the venture
plans there’s a term within the venture
plans there’s a term within the venture capital industry called the grandmother
capital industry called the grandmother
capital industry called the grandmother test and it basically means is your
test and it basically means is your
test and it basically means is your business plan written so that your
business plan written so that your
business plan written so that your grandmother can understand it and you
grandmother can understand it and you
grandmother can understand it and you know great task
know great task
know great task once you finish your business plan show
once you finish your business plan show
once you finish your business plan show it to your grandmother show it to your
it to your grandmother show it to your
it to your grandmother show it to your friends and family people kind of know
friends and family people kind of know
friends and family people kind of know what you do but they don’t know the
what you do but they don’t know the
what you do but they don’t know the specifics and not technical people show
specifics and not technical people show
specifics and not technical people show it to them and if they can understand
it to them and if they can understand
it to them and if they can understand what the opportunity is and how you
what the opportunity is and how you
what the opportunity is and how you solve a problem and are able to really
solve a problem and are able to really
solve a problem and are able to really help people but they can get that from
help people but they can get that from
help people but they can get that from your business plan then you’re ready to
your business plan then you’re ready to
your business plan then you’re ready to start giving it to investors and bankers
start giving it to investors and bankers
start giving it to investors and bankers if they read it and they have still no
if they read it and they have still no
if they read it and they have still no idea what you do then it’s time to go
idea what you do then it’s time to go
idea what you do then it’s time to go back to the drawing board and recreate
back to the drawing board and recreate
back to the drawing board and recreate it especially that executive summary
it especially that executive summary
it especially that executive summary that first part the executive summary is
that first part the executive summary is
that first part the executive summary is really important that’s the first thing
really important that’s the first thing
really important that’s the first thing that somebody’s going to read if they
that somebody’s going to read if they
that somebody’s going to read if they can’t understand the exec summary then
can’t understand the exec summary then
can’t understand the exec summary then forget it you’re gone usually look at
forget it you’re gone usually look at
forget it you’re gone usually look at the exec summary then we look at the
the exec summary then we look at the
the exec summary then we look at the management team and see who’s behind it
management team and see who’s behind it
management team and see who’s behind it and then we look at the financials and
and then we look at the financials and
and then we look at the financials and if all that made sense then we start
if all that made sense then we start
if all that made sense then we start reading the rest of the business plan so
reading the rest of the business plan so
reading the rest of the business plan so really make sure that your executive
really make sure that your executive
really make sure that your executive summary is especially written in plain
summary is especially written in plain
summary is especially written in plain English so that helps them here if you
English so that helps them here if you
English so that helps them here if you guys like the video for you who are
guys like the video for you who are
guys like the video for you who are watching please give it a thumbs up
watching please give it a thumbs up
watching please give it a thumbs up below it helps you know which readers
below it helps you know which readers
below it helps you know which readers you like and which ones you don’t like
you like and which ones you don’t like
you like and which ones you don’t like as much but I was like making these
as much but I was like making these
as much but I was like making these videos and appreciate seeing those
videos and appreciate seeing those
videos and appreciate seeing those thumbs up come in and if you have a
thumbs up come in and if you have a
thumbs up come in and if you have a thought about business plans you want to
thought about business plans you want to
thought about business plans you want to add something to this video to help a
add something to this video to help a
add something to this video to help a mere or you have another question for me
mere or you have another question for me
mere or you have another question for me feel free to leave it in the comment
feel free to leave it in the comment
feel free to leave it in the comment section below I always read those so
section below I always read those so
section below I always read those so thank you and we’ll see you on the next
thank you and we’ll see you on the next
thank you and we’ll see you on the next episode
”
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