PART 4 - THE REQUEST

This is an easy section of your Executive Summary. It's pretty simple...here you'll state how much money your project needs to execute the strategy and tactics you've outlined in the remainder of your business plan. This is a great section to help you build credibility. If written correctly, this section will show the investor that you have at least given some thought to where you intend to deploy the $5m you just asked for. It should clearly state, in rough estimates, how much you need for marketing, website, equipment, office furniture, and other assets, as well as how much you need for working capital to keep the business liquid until it reaches a level of fitness. You should also state here what type of capital you are looking for...is it debt or equity financing?

Again, as in the other sections of your Summary, don't be overly wordy or detailed. Give them enough info to generate interest and leave the boring and made-up details for the next start-up that is pitching to them.

SHORT, BUT SWEET!

As most of you know, I am a big believer in keeping your business plan and presentation to investors brief and focused. Here is a snippit from a blog post by David Hornik on VentureBlog. David is blogging about an article he recently read in Wired about securing venture capital funding.

"ONCE INVITED" to present your plan (to VC), remember that brevity is a virtue: Use no more than 30 PowerPoint slides, and keep your presentation under 45 minutes." (Wired article)

(David's response) Yikes. 30 slides. Unless you are Lawrence Lessig, I don't think the words "30 slides" and "brevity" can possibly be used in the same sentence. I completely agree that you should aim to keep your presentation to about 45 minutes. If a VC gets excited about what you're working on, they'll spend more time with you in future meetings. But, as with entertainment, you are way better off leaving them begging for more. Get in. Pitch. Get out. There is no way that should take anywhere near 30 slides. I've blogged here before about the 6 -- yes, 6 -- slides you need to pitch your business. Even if you feel that 6 slides is too spartan, don't confuse quantity for quality. The fewer the slides and the more discussion the better.

(My response) Folks...I can't stress this enough. Resist the urge to take a presentation with a pile of slides. Simply put...don't do it. The goal of the presentation is to get their attention. Once you have their attention THEN you go into the details. Most Angels and VCs have their own process for going into the "details" of your idea.

2 KOOL 4 SKOOL!

In my last post I briefly discussed the importance of evangelizing your start-up. There's a great web tool that may come in handy and help you create some buzz. It's called Zentation. It's essentially a free (for the basic service) service that allows you to upload a Power Point presentation and easily sync it with video of you talking about it.

Here's some suggested uses:

• Create a marketing message
• Explain the features and benefits of your product idea
• Pitch your business to investors
• Create a message about your company that's geared toward recruiting
• Train your customers on how to use your product or service
• Etc....

Don't underestimate the power of your pitch!

EVANGELIZE!

When starting your business one of the most important things you can do is to create buzz. Creating buzz starts the minute you decide to start the business. Don't wait until your product is ready or your business plan is written. Start evengelizing NOW!!

My mantra when starting a new business is this: "TALK TO A LOT OF PEOPLE...EVERYDAY."

Here's a good article about creating a pitch for investors: Guy Kawasaki

Here's a great video reference for presenting: Steve Jobs

Here's a useful tool for pitching your business online: VisualCV