By Gregory Daigle at February 16 2020 00:01:03
How Will The Audience Know That I have Used A Sample? This is a common question we get asked and while we cannot speak for the entire investment community we can refer to our own experience as investors and former bankers. Here is a list of the top ten reasons why it is obvious that a sample has been used: Executive Summary is dull and formulaic without communicating why we should invest. Market information doesn't align with the specific demographics relating to the proposal or is obsolete. Entrepreneur's knowledge of the market dynamics is sketchy under questioning and it is clear that what they have written in the proposal is the sum total of their knowledge on the subject.
What is The Solution? This might all seem a little bleak but there is an easy solution to this dilemma and it demands a little more of your time and effort in return for a deeper understanding of your business. You have to learn to write a business proposal rather than using a sample business proposal to take a short cut. Don't do the latter as it will make the experience of approaching investors and financiers unnecessarily painful and will dilute your experience of creating your vision from scratch and your strategic understanding of your own business. Plus, you will be found out!
Every entrepreneur has been there. You need to write a business plan to get your idea off the ground and have no idea how to approach it. The first thing most people do is Google, "Sample business proposal." Why? Well, it's quite simple really. They want to get a head start on the process by looking at what someone else has written. It is an understandable position to take if you are under pressure and need a boost. What people don't realise is that there are inherent dangers in using a sample business proposal.
There are many very good examples of sample business proposals on the Internet, but there are also some scarily bad examples being held up as first class efforts. Having spent the last 20 years as a professional banker and investor I can say this with some degree of confidence. The bottom line is that even if you do manage to stumble upon a great example it won't be relevant to your unique business or the market dynamics that pertain to your business idea. The parties who will assess your proposal and decide whether to invest are generally well trained and experienced. They read hundreds of these documents every month and can spot a copy and paste job a mile a way.