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How to Write a Business Plan Preface

9/27/2022

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Genae Valecia Hinesman reports:

"
To gain start-up capital for a new business, or to secure investment money for expanding an existing one, you need a strong business plan. To ensure that your plan will get read, you will need an equally strong preface, which is also called an executive summary...Write the first paragraph in an engaging manner. The sooner you can grab and hold the reader's attention, the better. Just as the preface is designed to get the plan read, the first few lines should convince the reader to read the plan. Describe what your business does, the niche it [fills and] the opportunity it offers. Illustrate what makes your approach unique and why it is needed in the marketplace...Stick to the main issues for the preface, and summarize them within one or two pages. Use concise language to emphasize key points that will be discussed in greater detail in the body of the rest of the proposal. Many lenders, venture capitalists and investors are natural multitaskers, but most don't have time to read a massive document in one sitting. One cursory glance at your preface might be the only opportunity you'll have to pique...interest and secure a face-to-face meeting to discuss your proposal. Ask yourself this question: If the only page that was read was the preface/executive summary, would it be enough to explain what your business does and entice the reader to learn more? If not, revise it so it does...Conclude your preface by giving your reader a sense of urgency. If the person reading your preface feels that he has all the time in the world to come to a decision about your business plan, then it might be forgotten. State briefly, but confidently, why now is the best time to fund your venture. Avoid cliches and common, overused terms that can't be clearly defined in the preface. Don't say your idea is 'revolutionary', 'on the cutting edge' or 'groundbreaking.' Instead, show the reader how and why it is all of those things, using specific examples to back up your points."
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