It is hard to get a funding from a business plan, even a very good business plan. You can give yourself a much better chance of raising capital if you avoid eight common business plan mistakes.

Your business plan may be the first thing investors see, and it is important that your business plan be written professionally and excellently. Investors see thousands of business plans each year, and the ones that get funded are less than 1%. You will greatly improve your chance of getting funded if you avoid these mistakes.

1. Mistakes in Overall Content

A well written business plan finds the solutions to problems that customers are looking for and will pay money to solve. The plan dos not need superlatives to say that it is great. If it is great, the readers will come to that conclusion. Also, be sure your plan presents a focused strategy to solve only one problem in the target market.

2. Stating There is no competition

Every business has competition, either direct or indirect. A competitor is everybody else that is trying to sell to the same target market. Your plan should show how you differentiate yourself from competitors and show that you are stronger in the market.

3. Too Long and Technical

Your plan must convey your business idea concisely. Any detail that you believe is important can be included in an addendum. Also, your plan should not be too technical or scientific. Keep it simple.

4. Poor Organization

There is a logical way that business plans should be put together, and each section should logically flow into the next section. You can finds hundreds of resources that tell you what the basic sections of a business plan should be, and you or any professional you hire should follow this advice.

5. Incomplete or Inaccurate Financial Statements

You must use the right terminology in describing the financial condition of your business. The financials should contain enough detail to fully support your important assumptions.

6. Unreasonable Financial Projections

All the numbers in your financial projections should be reasonable and similar to financial projections of other companies in your industry. Your financials must include Income Statements, Balance Sheets, and Cash Flow Statement, and they all must be prepared in compliance with GAAP.

7. Writing Errors

You must use proper spelling and grammar and cannot be redundant. Be sure your plan is attractive, interesting, easy to read, and professional looking.

8. Timing Mistakes

Have your plan in final form long before your presentation to investors. You may not have the 500+ hours required to write a business plan. Then you must hire a business consultant to write your plan. Be sure to have another objective person read the plan thoroughly and give you some feedback on its effectiveness before you show it to investors.

Jo Ann Joy

Jo Ann Joy is the CEO and owner of Indigo Business Solutions. She has a law degree, an MBA, and a degree in Economics. Her legal background includes commercial, corporate, bankruptcy and real estate law. She has expertise in accounting, financial planning, mortgages, marketing, product development, and business strategies.

Jo Ann ran a successful business for 10 years, and she has written and given presentations on many different legal and business subjects. Jo Ann started Indigo Business Solutions, and she strives to help small businesses make decisive improvements in their start-up, direction, growth, and performance. Jo Ann is passionate about helping businesses succeed.

Indigo Business Solutions is a ?one stop shop? for small businesses. We differ from other business consulting firms, because we offer comprehensive legal and business counseling. We work with our clients to develop strategies that create value and competitive advantage. Jo Ann is not a traditional attorney. Rather, she is a strategic business attorney who works closely with clients to create and implement strategies that will greatly improve their performance and success.

Jo Ann will her talents, expertise, and education to inspire enterprising and imaginative people to make their goals a reality and enjoy professional and personal growth. She promises to consistently deliver quality and reliable service to earn your trust and create lasting relationships. She promises that she will make a positive difference in your business.

If you are not getting what you want from your business or if you want to reach higher goals, Indigo Business Solutions delivers the strategic planning that will provide you with the right tools and methods to grow and gain market share. Please look at our website and found out how we can help you expand and achieve your goals.

We offer straight talk, sound advice, and practical solutions. Your small business deserves to be a success, and