What sort of information do I have to provide when I go looking for venture capital?

You will need to put together a business plan, and you must take advice on doing it. At the very least you will have to provide:

  • an explanation of who you are (including your age, qualifications, background, etc)
  • an explanation of what your business does and where you plan to take it
  • sales and profits figures as far back as you can go
  • a balance sheet showing assets and liabilities
  • a detailed three year sales and profits projection
  • a detailed cash flow projection over the same three year period
  • an idea of what you expect to do in the following two years
  • details of your management team (if any) 

Business plans, particularly those designed for investment institutions, are becoming sophisticated documents. Be prepared to spend time and detail on yours. This is your selling document, and you may only get one chance at presenting it. Venture capitalists are swamped with applications for money, most of them incomplete or inadequate, and it is very unlikely that they will be willing to look at yours a second time.

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