CRITERIA FOR A SUCCESSFUL BUSINESS PLAN: PREFERENCES OF DIFFERENT FINANCING INSTITUTIONS

1996 ◽  
Vol 04 (02) ◽  
pp. 183-208
Author(s):  
TAN BENG KIM ◽  
JOANNE TAY
Keyword(s):  
Venture Capital ◽  
Commercial Banks ◽  
Business Plan ◽  
Study Data ◽  
Conservative Approach ◽  
Business Plans ◽  
Venture Capital Firms ◽  
Successful Business ◽  
The Government

A well-developed, well-written business plan is essential for entrepreneurs approaching banks or investors for funds. However, many entrepreneurs frequently underestimate the importance of a good business plan in increasing their chances of securing finance. This study aims to provide a better understanding of the criteria that different financing institutions in Singapore look for when assessing business plans. Such information can guide entrepreneurs in preparing their business plans and targetting different financing institutions. Fourteen institutions representing venture capital firms, commercial banks, finance companies and the government participated in this study. Data were collected through questionnaires and interviews. The results indicate general emphases on organisation and management, characteristics of the entrepreneur, and background and purpose of the proposed business. There is some indication that the criteria most highly emphasised will vary, depending on the type of financing institution, and the geographical and industry specialisation of the particular institution. In general, the participating institutions adopted a conservative approach which combined judgement and intuition.

scholarly journals Entrepreneurship and Innovation in the Digital Economy

2016 ◽  
Vol 21 (Special Edition) ◽  
pp. 273-312 ◽  
Author(s):  
Naved Hamid ◽  
Faizan Khalid
Keyword(s):  
Venture Capital ◽  
Digital Economy ◽  
Country Risk ◽  
Monitoring And Control ◽  
Venture Capital Firms ◽  
The Government ◽  
And Control ◽  
Immense Potential ◽  
Similar Growth ◽  
International Venture

It is believed that Pakistan’s digital economy will follow a similar growth trajectory to India, but with a lag of about five to six years. This implies that the digital economy in Pakistan carries immense potential and is likely to see very rapid growth in the next five years or so. This paper provides an overview of Pakistan’s digital economy in terms of international players, successful local businesses and rising stars in different segments of the industry. We also evaluate the role played by incubation centers. The industry’s emerging financial landscape appears to be attracting international venture capital firms, which is surprising, given the country risk and monitoring and control issues that are usually seen as binding constraints to investment. However, these investors use models tested in Silicon Valley and in countries such as India to estimate the potential for increase in the capital valuation of digital businesses in Pakistan. This development has also started to attract local investors. As a result, we are seeing the emergence of a venture capital industry in Pakistan. Finally, we examine the policy environment in the country and find that the existing tax policies, which were designed for traditional businesses, could be a major obstacle to the growth of the digital economy. We conclude by recommending that the government review its tax policy in view of the different nature of digital businesses and adapt it accordingly.

scholarly journals Business plans in bank decision-making when financing new ventures in South Africa

2004 ◽  
Vol 7 (2) ◽  
pp. 221-241 ◽  
Author(s):  
M Pretorius ◽  
G Shaw
Keyword(s):  
Decision Making ◽  
South African ◽  
Commercial Banks ◽  
New Ventures ◽  
Business Plan ◽  
Decision Making Process ◽  
Banking Services ◽  
Business Plans ◽  
New Business ◽  
Decision Making Processes

This article focuses on the position that South African commercial banks adopt when evaluating an application for finance of new business ventures. The role and importance of the business plan in the decision-making process is highlighted and investigated. This article begins to qualitatively describe the decision-making processes, criteria and processes instituted by the four major South African commercial banks that between them serve 96 per cent of the banking services for small business. It then questions the barriers placed on applicants applying for finance and recommends how these barriers can be removed. The article concludes that banks finance business ventures with poor potential for success if the applicant is creditworthy or has the necessary security rather than assist applicants with good plans and ventures with potential, but lacking sufficient security.

What Every Biotech Entrepreneur Needs to Know about VC Due Diligence

2012 ◽  
Vol 18 (2) ◽  
Author(s):  
Stephen M Sammut
Keyword(s):  
Venture Capital ◽  
Business Plan ◽  
Case Law ◽  
Venture Capitalist ◽  
Venture Capitalists ◽  
Due Diligence ◽  
Special Edition ◽  
Venture Capital Firm ◽  
Good Opportunity ◽  
Business Plans

Due diligence, as it applies to venture capital, is actually imprecise. Origins of the term are based in banking case law. Due diligence to the attorney is more of a precise concept. A better term is “homework.” Better indeed, because the burden of this homework weighs far more heavily on the entrepreneur than on the venture capitalist. The odds of getting funded by a venture capital firm are somewhere between 50: and 100: 1. In most instances, the funding goes to companies that already have some connection into the community of venture capital funds. Does this mean that all others need not apply? That is hardly the case. Good venture capitalists know a good opportunity when they see it, but sometimes it is not always obvious. Either the business plan is flawed in strategy, format or content, or the due diligence process reveals a team totally unprepared to fulfill their own vision. Elsewhere in this special edition of JCB is an article on the business plan and the pitch book. This article teaches, in a manner of speaking, how business plans get read and pitches gets heard.

scholarly journals What Are the Features of Successful Medical Device Start-Ups? Evidence from KOREA

2019 ◽  
Vol 11 (7) ◽  
pp. 1948 ◽  
Author(s):  
Munjae Lee ◽  
Sewon Park ◽  
Kyu-Sung Lee
Keyword(s):  
Venture Capital ◽  
Medical Device ◽  
Industrial Revolution ◽  
Technical Skills ◽  
Healthcare Sector ◽  
Starting Point ◽  
Venture Capital Firms ◽  
A Priority ◽  
The Government ◽  
Start Ups

This study analyzes the factors determining the success of medical device start-ups, focusing on the healthcare sector as the starting point of the Fourth Industrial Revolution. The government is also working to establish a business model to revitalize medical device start-ups as a new driving force for the economy. Accordingly, such start-ups based on innovative technologies have been actively developed, but it seems that there is a limit to growth. We employed an analytical hierarchy process to derive an activation strategy for medical device start-ups. A survey was administered to experts in such start-ups, including medical device companies and venture capital firms, prospective start-up entrepreneurs, medical device developers, and professors. A total of 18 responses were obtained for analysis. The results revealed the following priorities for the success of medical device start-ups: technical skills, marketability, entrepreneurial capacity, and funding. In addition, medical device and venture capital firms were divided into separate groups and compared and analyzed. Technical skills are considered a priority for those in the medical industry. However, entrepreneurial skills are a priority for venture capitalists. Based on these results, we suggest measures for the success of medical device start-ups.

Pelatihan Business Plan pada UMKM di Desa Koto Rendah Kecamatan Siulak Kabupaten Kerinci

2020 ◽  
Vol 2 (3) ◽  
pp. 129-132
Author(s):  
Musnaini Musnaini ◽  
Besse Wediawati ◽  
Zulfina Adriani ◽  
Rts Ratnawati ◽  
Dessy Elliyana
Keyword(s):  
Business Models ◽  
Joint Venture ◽  
Business Plan ◽  
Agricultural Products ◽  
Knowledge And Skills ◽  
Business Plans ◽  
Medium Enterprises

Usaha Mikro Kecil Menengah (UMKM) yang berada di Desa Koto rendah, Kecamatan Siulak, Kabupaten Kerinci adalah bentuk Kelompok Usaha Bersama (KUBE) dari ibu-ibu rumah tangga yang mempunyai usaha bisnis dalam kuliner, pembibitan, pengolahan hasil pertanian dan perkebunan sekitar yang mereka miliki maupun penduduk setempat. Kegiatan pengabdian ini adalah untuk meningkatkan pengetahuan dan keterampilan mengenai kemampuan untuk melakukan perencanaan bisnis (Business Plan). Selain itu, untuk memberikan peningkatan keterampilan dalam merencanakan bisnis menggunakan bisnis model. Metode yang akan digunakan untuk mencapai tujuan tersebut adalah dengan pelatihan dan pendampingan membuat rencana bisnis dalam lembar kerja bisnis model canvas.Kata Kunci : UMKM, KUBE Business PlanABSTRACTSmall and Medium Enterprises (MSMEs) located in Koto low Village, Siulak Sub-District, Kerinci Regency is a form of Joint Venture Group (KUBE) of housewives who have business ventures in culinary, nursery, processing of agricultural products and plantations. This devotional activity is to improve knowledge and skills regarding the ability to making a Business Plan. In addition, to provide improved skills in businesses plan using business models. The method that will be used to achieve that goal is by training and mentoring business plans in canvas model business worksheets.Kata Kunci : UMKM, KUBE Business Plan

How Starting Strategy and Network Structure Shape Problemistic Search: An Examination of Venture Capital Firms

2021 ◽  
pp. 104225872110335
Author(s):  
Jake Duke ◽  
Taha Havakhor ◽  
Rachel Mui ◽  
Owen Parker
Keyword(s):  
Venture Capital ◽  
Network Structure ◽  
Theory Of The Firm ◽  
Behavioral Theory ◽  
Organizational Strategy ◽  
Search Process ◽  
Strategy Research ◽  
Structural Holes ◽  
Starting Point ◽  
Venture Capital Firms

Building on the behavioral theory of the firm, we empirically examine how starting strategies and syndication networks can influence venture capital (VC) firms’ problemistic search. We propose that: (a) depending on a VC’s strategic starting point, that is, the VC’s extent of specialization, the directionality of problemistic search may change to either expanding or contracting search activities; and (b) depending on search direction, structural holes in syndication networks can either impede or facilitate the problemistic search process. In a sample of U.S. VC firms, we find results consistent with our predictions, which have important implications for entrepreneurship and organizational strategy research.

Business Plan Schritt für Schritt

2020 ◽  
Author(s):  
Serge Ragotzky ◽  
Frank-Andreas Schittenhelm ◽  
Süleyman Torasan
Keyword(s):  
Business Plan ◽  
Business Plans

Konkurrenzanalysen, Verkaufsprognosen, Finanzierungsformen – Einen Business Plan zu erstellen ist gar nicht so einfach. Dieses Buch stellt Schritt für Schritt die wichtigsten Punkte für die Erstellung eines Business Plans vor: von der Planung über das Marketing bis hin zur Finanzierung. Die praxisnahe Umsetzung des Business Plans wird durch Fallstudien und Excel-Sheets unterstützt. Diese Wechselwirkung von theoretischem Wissen und praktischer Anwendung macht die BWL als Ganzes so reizvoll. Dies gilt vor allem für die Erstellung von Business Plänen, da hier nahezu alle für unternehmerische Entscheidungen relevanten Aspekte berücksichtigt werden. Dieses Buch richtet sich sowohl an Studierende, die eine Hilfestellung im Rahmen einer entsprechenden Lehrveranstaltung benötigen, als auch an Praktiker, die einen Business Plan selbst erstellen müssen.

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