Business Plan Writer for Companies Raising Capital

How to Write an Executive Summary That Investors Will Love

How to Write an Executive Summary That Investors Will Love

If you are the owner of a small business looking for capital to expand the business, you know how important Executive Summaries can be. The purpose of the Executive Summary is to excite the angel investor enough that he or she will meet with you. Many times, angel investors will only read your Executive Summary (and not your whole business plan); therefore, it’s essential for you to leave a favorable impact on their minds.

 

Here are a few things to note:

  1. The size of your Executive Summary is important. It should not be too long or too short. Keeping your keep this summary between 3 and 5 pages – depending upon the size, nature, and complexity of your business– is best.
  2. Use charts, graphs, and pictures. Even if your business is an app, beauty salon, or another simple entity, a five page Executive Summary shouldn’t simply contain text. Including charts, graphs, and graphics (think Canva) to explain the facts about the business can create a better presentation.
  3. Write a powerful and engaging first paragraph. Banks and angel investors read hundreds of Executive Summaries every year. Want to stand out from the crowd and move closer to receiving funds? Then start off strong. Tell the story of your business, how you discovered the problem, your 20 year business history, or something that engages the reader.
  4. Weave a story around your business to make it interesting and engaging for the reader. There’s a famous saying, “Facts tell, stories sell.” You’re selling an investment; therefore, the reader should feel excited and want to be a part of your business’ story and future success.
  5. Explain the business model and how the company makes money. It should be clear how revenues are made and services are provided and this information should be on the first page. Multiple streams of revenue are better than single streams. For example, an app that includes a freemium business model and the possibility of advertising space sold will be more attractive to those with money.
  6. Past performance is very important. Investors want to know if you’ve ever run a business or managed personnel before. Have any members of your management team ever run a startup? Have you grown a company from zero to $30 million? Discuss each management team members’ past success as well as the success of the group.
  7. Finally, make sure that your summary is free from all spelling and grammar mistakes.co reports that 59% of visitors are scared away from a website due to poor grammar. It’s also true for investors and banks. Before submitting your Executive Summary to a funder, hire an editor.

If you’re seeking a bank loan or angel investor and need a great business plan, contact Cheree at wewritebusinessplans.com.