Executive Summary
From Entrepedia: The Entrepreneurship Wiki
For more detailed help: Writing a compelling Executive Summary by Garage Technology Ventures (pdf)
The executive summary should be able to act as a stand-alone document and provide an overall picture of your business proposition. You will find it very valuable in attracting the attention of potential investors. In fact, a good executive summary should encourage potential investors to continue reading the rest of your business plan.
Executive Summary Content
You will need to clearly and concisely identify certain information regarding your venture: what the market opportunityis, your competitive position, and your funding requirements.You should also be able to include a brief summary of the purpose for which the funds are being requested and the expected benefits to the company, as well as anything that your organisation need in addition to funding.
An executive summary should tell potential investors how much you are investing in the venture, and should make clear to them exactly what the business of the company is. Provide a one paragraph summary of each of the major sections contained within the business plan, and summarise your financial projections (yearly sales, gross profits, net profits, break-even, return on investment, and cash flows). Indicate major financial milestones (note when cash flow turns positive, when break-even is achieved, etc).
Helpful Tips
- Short is hard to do - it takes time to write a good executive summary
- Less than two pages, ideally ONE page
- Remember your purpose: to get a meeting with the investors
- You don't normally tweak the Executive Summary for different investors, only minor changes regarding the funding level
- Standard document format is pdf
- If you include graphics, surround them with text
- It is ok to "leave them hungry" - the executive summary should make the reader want to know more about your business
- "Bait the hook, don't feed the fish"
