When it comes to writing a business plan executive summary, you have to be very specific and clear about your business plan.
Your executive summary will be the first impression that your investors will get regarding your business. So, you have to be very clear about what needs to be written and the tone in which you need to write it.
Let's find out how to write a business plan executive summary that will help you impress your investors and get the money you need for your business.
What is a business plan executive summary anyway?
Before we jump into the writing process, let's revise a little bit about what an executive summary is.
An executive summary is a concise explanation of the entire business plan, in which you have to mention your main points regarding your business.
Investors usually read them just before reading the full-fledged business plan and if they like the idea behind it, only then will they will go ahead and read the rest of the plan.
How to write a compelling executive summary?
Before writing an executive summary make sure not to make it too long. Or else, the investors might lose interest in reading the rest. Keeping your executive summary short and sweet is the key.
Don't make it any longer than two pages. It has to be precise and provide all the information regarding your business. Here's the rest:
1. Talk about your business model
Before writing your business model, make sure that you know the basics of it.
What is your business idea?
What do you want to sell?
Where will you be selling them?
These are some questions that you should answer before starting with the executive summary.
2. Be specific about your target audience
The second most important part is to focus on your target audience. Who will be using the product or service you are offering? How do they feel about it? What makes them buy your product?
These are all questions that need clear answers because investors will want to know who their end customers are and how many of them there are.
3. Financial overview
This part is basically where you must talk about the money. How much will your product be sold for? What is your profit margin? All of these need to be stated clearly in this section.
The more accurate information you provide the better it is because it shows that you know what you are talking about and that your business plan has financial viability.
4. Talk about your team
It is a good idea to introduce your team members in this section. It shows that you are dependable and serious about your business.
You can also talk briefly about their past experiences if they have any related to the industry you are targeting.
5. Financial needs
Last but not the least, investors will be interested in knowing how much money they will make when they invest in your company.
So, as I said earlier, you need to state the amount that you are planning to raise and why exactly you need it.
Depending on your business model and niche, you can talk about these points in your executive summary as well:
Future goals and plans
Previous experiences
Exit strategies
Competition
Sales strategies
You can incorporate all of these points but don't go into too much detail. Try keeping it as short and sweet as possible to keep your investors interested in reading more about your business.
Before publishing
Besides the above-mentioned points, do not forget to check for grammar errors before publishing it online or showing it in person.
The last thing you want is a typo-ridden executive summary that could make potential investors turn away before even reading your plan.
How to write a business plan executive summary - Conclusion:
So, now that you know how to write a great summary, go ahead and create a compelling document that helps you land a new business partner.
Always remember that your executive summary is the first thing that any potential investor sees, so make sure to make it count.