Listen to experts on business plans

It is time to talk about business plans. There are several cases of people losing their money by investing on projects with poor or no business plans. Before taking any risks, startups should listen to advice from experts in the field. 

Reid Hoffmann is one of the most impressive business people in the Silicon Valley. He is the co-founder of LinkedIn and many other important startups. Reid Hoffman was born in August 1967 in Stanford, California. Focused on Internet startups, Reid created its first social networking website called Social Net. Unfortunately, he didn’t have any success with this startup. Also, he was a former employee of PayPal, and finally in 2003 he founded LinkedIn with others business friends and investors. Hoffmann became a venture capitalist investing in companies such as Facebook and Airbnb.

According to Reid, technology and globalization are forcing everyone to be more entrepreneurial. One of the key components that Reid suggests when building a business plan is to find the intersection of your strengths, aspirations and market realities. These three components are key when writing a business plan. In the other hand, passion is a good ingredient to achieve success, but thinking about the reality around you is needed too. This awareness of the reality added with a strong network of rich relationships, will help your business to keep growing in its first stage.

David Skok is an expert in business plans, building four companies since the age of 22. Three of them have gone public. Since that moment, David has founded four more different companies.  David is also an entrepreneur and a venture capitalist. According to foreentrepreneurs.com, he is very passionate about helping startups to grow because he understands the dos and don’ts of creating a successful business plan. According to David, when writing a business plan, entrepreneurs have to be aware of specific risks and a strategy to overcome them. A better course of action would be to mitigate risks, by receiving expert advice for overcoming similar risks.  There are two ways to meet expectations on a business plan, raising enough money or adjusting your expectations with the cash available.  Matching the cash with the expectations brings calm to investors.

It is important not to rush plans when developing a business. Analyzing every single variable will help the startup to mitigate risks and project a clear picture for future investors, building trust. After the research is done and everything is planned (including how to overcome possible obstacles), it is time to show your next big idea to future investors.