Sawaram Suthar / 6 Mins Read
Updated: September 3, 2025
Creating a business plan that attracts investors is key to turning your entrepreneurial dreams into a reality.
Whether you’re looking for your first round of funding or expanding your business, a well-crafted plan can nudge investors in the right direction. This proved the case for a significant number of companies in 2024 despite the poor economy.
Industries like AI charged into success, securing billions in funding—in fact, 19% of all VC funding in 2024 went to billion-dollar rounds. Other startups and companies also enjoyed large investments (outside AI), including cloud cybersecurity, software testing, and green infrastructure.
Let’s take a closer look at how to create a business plan that grabs attention and secures the investment you need.
Start with a brief but powerful executive summary. This is your chance to quickly explain what your business is, why it matters, and what you want to achieve. Investors don’t want to wade through pages of content to figure out what you’re all about.
So tell them upfront.
What to include:
Example: If you’re launching a delivery service that focuses on sustainable packaging, your summary might look like this: “EcoDeliver is a delivery service that uses 100% recyclable packaging to reduce waste in urban areas. With growing concerns about environmental impact, EcoDeliver is positioned to capture the increasing demand for green solutions in logistics. Our goal is to be the top choice for businesses seeking sustainable delivery options.”
Your value proposition is the heart of your business plan. It explains how your product or service solves a problem — and what makes it stand out.
Entrepreneur and investor Naval Ravikant says, “Large companies don’t actually have a resource advantage over startups. Venture financing has become very efficient, and a startup that cracks distribution will attract all the talent and money that it needs.”
Investors want to know why customers will pick you over competitors and why that translates into profitability.
What to include:
Example: “EcoDeliver is the first to exclusively use biodegradable packaging and carbon-neutral transport methods. Unlike traditional delivery companies that rely on plastic, we’re committed to sustainability, making us the perfect partner for eco-conscious businesses.”
Investors want to see a market that’s big enough to support growth. (In fact, 90% of retail investors in the US reported that future growth potential heavily influences their investment decisions.)
Prove there’s demand for your business by sharing solid data and trends. Don’t just say the market is growing. Show them the numbers.
What to include:
Example: “The global market for eco-friendly packaging is expected to grow by 10% annually over the next five years. With increasing environmental awareness, businesses are actively seeking sustainable alternatives to traditional packaging. EcoDeliver is positioned to tap into this booming sector.”
Investors need to know how you plan to make money. Break down your revenue streams, pricing strategy, and plans for scaling. Show them your business has a clear path to profitability.
What to include:
Example: “EcoDeliver operates on a subscription-based pricing model, where businesses pay a monthly fee for delivery services. The more deliveries a business makes, the more cost-effective the service becomes. We plan to scale by expanding to new cities and partnering with larger logistics providers.”
This section is critical. Investors want to see that you have realistic expectations about your financial future. Provide a financial plan with projections for revenue, expenses, and profits over the next three to five years.
And remember, don’t just throw out numbers — back them up with research.
What to include:
Example: “We project $500,000 in revenue in year one, with a 30% increase in the following two years as we expand our service area. We’ll reach our break-even point in month 12. After which, we expect steady growth based on repeat business and customer referrals.”
Investors want to know that you’re thinking long-term. (In fact, a late 2023 survey revealed that 55% of private equity investors prioritize investing in managers with multiple growth strategies to mitigate risk.)
How will you continue to acquire potential customers and expand your business?
Highlight your sales and marketing strategy, and show how you’ll reach new customers and increase revenue.
What to include:
Example: “We’ll use a combination of social media advertising, SEO, and influencer partnerships to build brand awareness. We also plan to implement a referral program to encourage current customers to spread the word. In year two, we plan to expand to three additional cities.”
Masayoshi Son, one of the most famous investors in the world, has said, “I don’t look for companies. I look for Founders.”
Investors often bet on the team behind the business — not just the idea. They want to know your team can execute the business plan and drive growth. So, showcase your leadership team’s skills and experience.
What to include:
Example: “Our leadership team includes Laura Willis, a logistics expert with 10 years in the delivery industry. And Tanya Smith, an environmental advocate with experience in green business solutions. Together, they bring industry knowledge and passion for sustainability.”
Like Julian Robertson says, “Smart idea, grounded on exhaustive research, followed by a big bet.”
Investors want to know that you understand the risks your business faces and how you plan to manage them.
In this section of your business plan, perform a market analysis to identify potential risks and show how you’ll mitigate them.
What to include:
Example: “A potential risk is fluctuating fuel costs, which could affect our delivery costs. To mitigate this, we’ll lock in affordable long-term contracts with suppliers and explore alternative energy vehicles.”
Investors want to know how they’ll make money from your business. Luckily, investors’ expectations for annual portfolio returns have grown each year. In 2022, optimism peaked. Survey respondents expected an average return of about 11.4%.
An exit strategy outlines how they could see a generous return on their investment. For instance, via an acquisition. You don’t need to promise an acquisition — but you can position it as a logical option.
What to include:
Example: “We aim to position ourselves for a potential acquisition in five to seven years. We’re going to target larger logistics companies that have shown interest in eco-friendly solutions. We’ve modeled this approach after the acquisition of [Example Company] in 202X. Our operational efficiency, proprietary technology, and customer traction make us a valuable target.”
If you’ve already launched your business, include any traction you’ve gained.
This could be sales numbers, customer testimonials, or partnerships. Show potential investors that your business has momentum with your target market.
What to include:
Example: “In our first six months, we signed 50 customers, including three local restaurants, who rave about our service. (See our ratings and reviews below!) We’ve also partnered with Green Logistics, a key player in the eco-friendly shipping sector.”
This is one of the most important sections in your business plan.
Innovation shows that you’re not just solving a current problem — but you’re doing it in a new or unique way. Investors love businesses that are disruptive and forward-thinking.
What to include:
Example: “EcoDeliver is the first delivery service to use fully biodegradable packaging made from seaweed. This innovation gives us a competitive advantage, and we’re already exploring ways to expand this offering to new markets.”
While the major elements of your business plan are crucial, there are smaller details that can make a big difference.
Here’s a quick overview of some extra details you might include:
Vision statement and mission statement clarity
Pull back the curtain further to show investors what really drives your business.
Customer acquisition cost (CAC) and lifetime value (LTV)
Highlight how efficient your business is at acquiring and retaining customers. How much does a new client cost to onboard? How long do they typically stay with your company?
Proof of market validation
Demonstrate demand through metrics like customer feedback, pre-orders, or a market analysis breakdown.
Operational efficiency
Outline streamlined processes that improve productivity and cost-effectiveness. If you have a winning tech stack and automations that run behind the scenes, consider mentioning them here.
Company culture
Explain how your team’s environment supports growth and retention.
Legal structure and regulatory considerations
Show that you’re aware of compliance to avoid risks.
Realistic milestones and timelines
Build credibility by setting achievable business goals. (If you’ve hit previous ones, show your results off!)
Contingency plans for unexpected challenges
Prove that you’re prepared for uncertainties. Do you have backup procedures? Emergency business savings? A crisis response team?
Investors want to see that you understand the market, have a solid plan for scaling, and have a team that can execute.
A business plan is your blueprint for success. It’s how you show investors that you’ve thought about every aspect of your business idea — from market opportunity to risk management. Include the sections we covered in this article in your business plan to put yourself in the best position to attract funding and grow your business.
Here’s to your success!
PS: Need more resources to help grow your business? Head to The Next Scoop now.
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Sawaram Suthar (Sam) is a Founding Director at Middleware. He has extensive experience in marketing, team building and operations. He is often seen working on various GTM practices and implementing the best ones to generate more demand. He has also founded a digital marketing blog - TheNextScoop.
