The document discusses the importance of business plans and pitches for startups. It provides guidance on the key elements that should be included in a business plan, such as the executive summary, management team, product/service description, market analysis, financial plan, and growth plan. The document also outlines the four parts of an effective pitch: context, solution, business model, and ask. It recommends identifying the problem being solved, the solution, how the solution will reach the market and make money, and what is needed to succeed. The document aims to help startups develop compelling business plans and pitches to attract financing.

1. Business Plan & Pitches the Fundamentals Marc Diaz & Eric Mathews Mercury Technology Labs www.mercurytechlabs.com

2. purpose: to discuss the importance of business plans & pitches, what they should include and how to deliver them with the greatest impact

3. Upcoming Events March 5-7 48Hour launch (LaunchMemphis.com) March 18 FastTrac (TECWorks.org) April 3 Business Plan Bootcamp - the Bootstrapping Version (LaunchMemphis.com) April 8 Baker Donelson Boot Camp In Depth Legal, HR, Accounting

4. Why Bother? "Business plans don't get funded, investors fund visionary entrepreneurs" "Investors don't even read business plans" "Our product is too great - we don't need to write a business plan - just show it to them"

5. Use of Business Plan It's the Planning, not the Plan Operating tool - roadmap It lives and breathes - revisit and update every six months Communicate your opportunity to others Hire the management team Secure financing for the business Cannot outsource!!!

6. Business Plan Elements Executive summary Management and organization Product and service plan Marketing plan Financial plan Growth plan Appendix

7. Executive Summary Description of venture Market Money needs Financing History/Background

8. Executive Summary Pitfalls Failure to identify different or unique features Providing too much superficial data Using long sentences and phrases Failure to specify management goals Failure to identify money needs, how funds will be obtained & spent Trick !!

9. Management and Organization Management Team Who will be the "business" gal? Who will be the sales guy? Board of Directors/Advisors Infrastructure Organizational Chart

10. Management and Organization Pitfalls: Not making a case for the Management Team Leaving out the Board of Directors Forgetting about your infrastructure: Lawyers, accountants, bankers Marketing consultants Advertising/public relations agencies Governmental agencies Business consultants

11. Product / Service What does it do? Unique features Stages of development Future research and development Patents, trademarks, copyrights, licenses, royalties

12. Product / Service Pitfalls: Failure to do your research "Oh isn't that what xyz does? How are you different?" Failure to find your niche Forgetting to protect your work Trick: Pitch to someone and have them repeat back to you

13. Market Analysis Industry Overview Trends Competition Profile Target Market Customer Profile Who in the company will buy from you? Marketing Strategy What is a sales call like?

14. Market Analysis Pitfalls Failure to do your research Assuming you know your customer Assuming you know your competition Thinking everyone is a potential customer No competition Approaching marketing haphazardly Don't underestimate marketing!!

15. Market Research Sources Library Government agencies Trade associations Trade conventions Magazines Computer searches Competitors Competitor's customers Suppliers

16. Target Marketing Identify potential target markets Size of target markets: customers and dollar volume Prioritize target markets Cost of penetration THINK LIKE THE CUSTOMER!

17. Pricing and Profitability Analysis It's true - it's always MORE Pricing Start-up Costs Income Projections Break-Even Analysis

18. Pricing and Profitability Analysis Pitfalls Not understanding your costs Undervaluing your time Being unrealistic with your sales projections Ignoring sales cycles Starting the business with insufficient cash reserve

19. Growth Plan New offerings to market Capital requirements Personnel requirements Scaling metrics Exit strategy

20. Format and Writing tips 35-65 pages Cover page Table of contents Use subtitles Use page numbers Use charts, graphs, and bullets Check math Check spelling Support documents in appendix

21. Appendix Detailed descriptions of high-tech products Resumes of management team Patent, trademark, and copyright documents Business agreements, employee contracts, stock option plans Product and service brochures and advertising samples

22. Appendix Company logos Reference letters, recommendations, endorsements or testimonials Research documentation Product and location photos Operating and control systems Customers’ letters of intent

24. Pitching Time for Making a Pitch Full versus Complete Living Artifact Compelling and Clear MercuryTechLabs.com/blog has detailed notes.

25. 4 Parts of the Pitch 1) Context 2) Soluton 3) Business Model 4) Ask

26. Part 1: Context Point 1: What is the Company and its Core Value? Point 2: What is the Pain/Problem that you seek to solve? Point 3: How Big is the Pain/Problem?

27. Part 2: Solution Point 4: What is Your Solution? Point 5: What is the Benefit(s) or Value that your Solution provides? Point 6: Who else provides a solution and why is yours better?

28. Part 3: Business Model Point 7: How will you get your solution to the Market? Point 8: If you can get your solution to market, how will you make money? Point 9: Assuming you can get it to market & make money, how much will you make?

29. Part 4: Ask Point 10: What will be needed to succeed and how will you and others measure progress? Point 11: Why you? Why now?

30. Building Toward the Ask Slide 1: (Title Slide) What is your company and its core value? Slide 2: What is the Pain/Problem that you seek to solve? Slide 3: How big is the pain/problem? Slide 4: What is your solution? Slide 5: What are the benefits that your solution provides? Slide 6: Who else provides a solution ad why is yours better? Slide 7: How will you get to market? Slide 8: How will you make money? Slide 9: How much money will you make? Slide 10: What do you need to succeed? How will it be measured? Slide 11: Why you? Why now?