Executive Summary | Example | Template | PDF | Word
Sponsored Links
You’ve got a great business idea and plan, but you have to communicate this information in a persuasive way to convince investors to fund your business. Writing an effective executive summary (ES) is the most important step in communicating why an investor should buy into your business.
Sponsored Links
How to Write an Executive Summary
To create a successful business plan, you will need to include an ES at the beginning that highlights your most important selling points and describes you and your business to the reader. Here is what you should include in the summary:
- Your business’s name and location
- The products and services you offer
- The purpose of your business plan
- Selling points and strengths, such as growth highlights (unless you are a startup)
- Financial highlights such as projected sales and profits
- Future plans
- Any other critical information that the reader must have
Generally, the ES should be no longer than one page. Busy investors and other readers will appreciate a summary that is concise. Also, it’s wise to write the ES last, after you’ve carefully researched and developed the rest of your business plan, because then you’ll fully understand the points you need to highlight in the ES.
Opening Paragraph
Like other documents, the opening needs to engage readers to compel them to continue reading. To engage the reader, use very specific details that paint a vivid, attractive picture of your company. You can use your company’s origin story, or you can create an engaging narrative of the business problem you observed and how your company solves it. At the same time, the first paragraph needs to clearly state what your business does.
Cleary defining the business problem and describing how your product will solve it in just a few sentences is perhaps the most important part of the ES, as it demonstrates your business will be feasible, so spend extra time on this aspect.
Strengths
Elaborating on what your business does, you should briefly explain the strongest parts of your business. This should include the aspects of your business that will contribute most to its success and how these aspects relate to your customers and business plan. Consider your unique advantages, such as an established relationship with your customers or a fantastic marketing plan.
Finances
Here, you will explain where your revenue is generated, what your expenses are, and how much profit you expect to make. You will be able to take figures from your detailed financial section for this part of the ES.
You can also summarize some of the remaining portions of your business plan in the last parts of your ES, but only use the points that are necessary for the reader to know here. For example, if your management team is highly qualified and experienced in your field, this might be information potential investors would love to read in the ES. Also, include information about your marketing strategy if it really stands out against your competition.
Sources
Sponsored Links