If no business plan works out as planned, why do investors insist on a business plan of a startup?

A business plan is nothing but a plan for your business. It is an articulation of your vision on how the future will play out. A business plan also articulates how the startup proposes to go from point A to point B, and by when. It also outlines the milestones and other dynamics (costs, resources, …

The Importance of Business Metrics for Startups…

In the context of startups, metrics are parameters used for quantitative assessment of performance and progress of a venture. If goals are about where to go and strategy is about how to go there, metrics are about tracking progress of your journey. Startup phase is about discovering what works and what does not. Scale up …

7 simple steps for writing a business plan of your startup…

Start with a ‘story’ – ‘See the film in your mind’ about your venture – what do you want to do, how large do you want it to be, what will make you happy, what are your aspirations, etc. Imagine it as a business a few years down. This gives you a good view of ‘what …

A good idea or a good plan? What do startup investors invest in?

Investors will be interested because you have a plan to address an opportunity well, and not just because you have identified an opportunity that is interesting. The success of an entrepreneurial venture depends entirely on the quality of execution. While ideas are important, just having a good idea is not good enough to start a …

For your startup, should there be a ‘Plan B’ for a B-Plan?

Plan B is already built into a good B Plan.  When you are thinking about your venture, you are going to think about multiple scenarios, including very pessimistic ones and what you would do to mitigate the risks and the challenges in the journey. This should include what matrices you would use to track progress, …

What is a business plan of a startup?

A business plan is a ‘Plan for your Business’. It is not a document that you make for the investors. It is a document that you should prepare for yourself. Writing down your business plan helps you think through the assumptions clearly, and often writing helps you identify impracticalities in the through process. Yes, for investor …

How is the valuation decided for a startup?

At the early-stage/concept stage, there is no formula or logical way to arrive at a valuation. Valuation for startups is a figure that is decided between the investor and the entrepreneur. Hence, you go by generally accepted benchmarks in your country, and eventually conclude a deal at what the entrepreneur and investor feel is a …

How to find the right angel investors for your startup?

Apart from individuals who invest in startups, many angel investors are part of an angel investor network. Angel networks help angel investor members co-invest in startups that have been shortlisted. Often, angel investors invest in sectors they are passionate about, and therefore bring invaluable experience to the startup through their participation as advisors and/or board …

How much money should you raise for starting up?

Obviously, this depends on the nature of the business, what is required to be done, your and your team’s capabilities, the competition, etc. There is no one ‘correct number’ on the investment required as that number would be different not just for different businesses but also would be different for different execution strategies for the …

How to write a powerful elevator pitch…

An elevator pitch is what you describe about your venture in a 1 – 2 minute window. The pitch could be to a potential investor, or even a potential client/ partner/ employee. The purpose of an elevator pitch to an investor is to excite him or her about THE CONCEPT AS WELL AS THE BUSINESS …