Page 130 - Business Plans that Work A Guide for Small Business

Team: The Key to Success • 121

young and have limited business experience, it is usually more productive to
state that the company will seek a qualified CEO as it grows. In these cases,
the lead entrepreneur may assume a chief technology officer (CTO) role (if
this person develops the technology), vice resident of business development,
or even founder. However, don’t let these options confine you. The key is to
convince investors that you have assembled the best team possible and that
your team can execute on the brilliant concept you are proposing.
Once responsibilities and titles have been defined, names and a short
bio should be filled in. The bios should demonstrate records of success.
If you have previously started a business (even if it failed), highlight the
company’s accomplishments. If you have no previous entrepreneurial ex-
perience, discuss your achievements within your last job. For example,
bios often contain a description of the number of people the entrepreneur
previously managed and, more importantly, a measure of economic suc-
cess, such as growing division sales by 20-plus percent. Developing a top
line, managing to a bottom line, and creating stakeholder value are the
components of experience you want to highlight. The bio should also
demonstrate your leadership capabilities. To complement this description,
résumés are often included as an appendix.

Advisory Boards, Board of Directors, Strategic Partners,

External Members

To enhance the team’s credentials, many entrepreneurs find that they are
more attractive to investors if they have strong advisory boards. In build-
ing an advisory board, identify individuals with relevant experience within
your industry who can help you achieve important milestones, and also
think about whether these people will invest. For example, Lazybones has
achieved several milestones (opening two more company stores to comple-
ment the two original ones) and has targeted other milestones in the future
(opening four additional company stores and then franchising). While Dan
and Reg have proven the concept, franchising is a new strategy for the
team. Thus, they may seek advisers with franchising experience. Industry
experts provide legitimacy to your new business as well as strong techni-
cal advice. Other advisory board members may bring other skills, such as
financial, legal, or management expertise. Thus, it is common to see law-
yers, professors, and accountants, among others, who can assist the ven-
ture’s growth on advisory boards. Moreover, if your firm has a strategic