An entrepreneur
who is looking for startup capital for a new business should attend business plan
competitions in addition to doing the regular rounds of business investors.
These days more business plan competitions are being organized. These competitions
offer entrepreneurs the chance to earn fame and startup capital for their new businesses.
There are more than 50 business plan competitions in the United States, many of
which offer startup capital to the winner.
One of the first such competitions was opened to entrepreneurs in 1984. It was started
by two MBA students who wanted to offer an experience similar to those obtained
by lawyers in moor court.
Since then more organizations have come forward to organize such competitions. They
have grown in number and size. These days the average start-up capital that an entrepreneur
can earn through such a competition is around $ 100,000.
Another new competition that is being organized these days for entrepreneurs is
a “speed business plan” competition. This is much like speed dating. Entrepreneurs
are given around a minute to impress business investors with their ideas.
A growing number of competitions are open to entrepreneurs with any affiliation.
Industry-specific competitions exist for technology-based ventures, as well as businesses
focused on seniors and other niches. A great source for finding such competitions
is in the business listings.
Since entrepreneurs are given so little time in front of business investors during
these competitions they need to be prepared for their turn. Entrepreneurs should
rehearse before hand their business pitch.
Entrepreneurs entering into these competitions also need to prepare their new business
proposals very carefully. Since the business investors at these competitions have
very little time to go through the entire business plan, entrepreneurs should prepare
a mini-business plan. This plan should outline the objectives of the company as
well as its uniqueness.
At the same time, entrepreneurs should also have a full-length business plan ready
to submit to business investors who express interest in the project.
Business plan competitions are intense and very competitive. However, they do offer
entrepreneurs an additional opportunity to meet with business investors and pitch
their plan.