Assume that your reader knows nothing.
Even if you know they are experts, remember that the Lenders or
Investors want to see that you know more about the industry and
your market than they do.
General industry definition
Current size and demand
Potential target market
Potential market growth
Market share of competitors
Technical evaluation of industry
Direction of industry
Current condition of industry
Initial plan to obtain a market
Resources available or allocated
to market penetration
Clearly defined long range market
Support assumptions on ability
to hold market share
Who are the customers?
Percentage of Business:
We will target customers by:
Product lines or services
Analyzed how successful your product
or service can be?
What is the total potential market?
Is there really a market for you
Does your company have the strength
to get the job done?
Let outsiders know why this will
work and be able to support what you believe in!
What measures have you taken or will you take to insure the proprietary
nature of your product? Patents, Trademarks, Copyrights, Trade Secrets,
Proprietary Contracts, etc.
Product or Service Analysis
If your product or service is of a proprietary nature, take steps
to protect it. Have a non-disclosure/non-circumvent agreement for
partners or investors to sign. Keep it simple. If it is too long
or contains too many legal words, no one will sign it.
What is your product/service and
what does it do?
What advantages does our product/service
have over those of the competition?
What are the unique features,
patents, expertise, etc.?
What disadvantages does your product
or service have?
Where will you get your materials
List the important economic factors that will affect your product
or service. Consider things such as country growth, industry health,
economic trends, rising prices, etc.:
What are the legal factors that
will affect your market?
What are the government factors?
What factors, that you cannot
control, will affect your market?
Commercial Viability Look for outside opinions on the commercial prospects of
your product or service. There are numerous low cost or no cost
organizations, such as retired executives or small business network
groups to run your ideas by.