A start-up synopsis is a short document that has a big impact. Sometimes known as one-pager, a start-up synopsis is a short version of a business plan that most investors like to consider before deciding to call you for a presentation meeting. With the stakes so high, it is essential to create a concise, yet comprehensive, exciting and well-written synopsis.
- The founder and CEOs know their companies like the back of their hands, and trying to gather so much relevant information in so little space is a challenge. The key is knowing what to prioritize. We’ve put together nine simple steps to help you create a persuasive and informative pager that will help you plan the big meeting.
- Understand what a start-up synopsis is for: before even typing a word, you need to understand the purpose and logic behind a synopsis and what investors look for when they read one. Famous venture capitalists and other investors are inundated with enthusiastic startup proposals hoping for a partnership. A synoptic document is the easiest way to know and evaluate the potential of your company. If they like your synopsis they might ask for your, presentation or schedule a meeting directly. If they don’t, they will likely throw it away and never think about you or your company again.
- Your synopsis must contain all of the information investors require to make this assessment. Normally, this comprise the following: Your value proposition, a description of the product or service, an explanation of the customer base and relevant market factors, your business model and future projects, financial projections, Your funding request, Any other special or impressive information about your company and its founders.
- Creating the synopsis of your start-up can be a clarification exercise to understand the strengths and weaknesses of your company, which you can then distil in points of sale.
- Engaged investors likely won’t read the entire summary unless you get their attention within the first few seconds. The quickest way to get them involved is to describe the need or problem your startup wants to solve or is already solving.
- After getting the reader’s attention, explain how your product aims to solve the problem. Do not go into product specifications or other details. Space is precious and if investors really want to know how your product works, they will call you to talk about it. Just give a very broad overview and quantify the difference you can make where possible.
- Smart business ideas are useless unless there is a proven and well-defined market. Show potential investors that you have a good understanding of the product market’s adequacy and that there is a (hopefully large) market of people who will happily purchase your product if given the opportunity.
Investors are checking to see if you understand the needs and concerns of your target customers. The more you understand your customers, the more you will be able to create a successful product or service that meets their needs. When writing, keep in mind that your user base may not be the same as your customers. For example, if your product is a textbook, the paying customer is actually the school board, not the students or even the teachers. Clarify who is making the purchasing decisions for your users and what their considerations are. Include customer specific people if you have space.
- If you’ve really come across a great solution to a common problem, chances are you’re not the only one out there. Investors want to know that you have done some competitive analysis, that you know how you compare to competitors and which outlets make you stand out.
Focus on the positives, including what your company offers, rather than the negatives, such as the shortcomings of your rivals. Collect this information by researching your competitors, reviewing your existing users, and testing competing products if possible. Writing a start-up synopsis is not an easy exercise. It can be frustrating to try to condense your business details into one page.
- Remember what’s at stake. This is the first interaction a potential investor will have with your company, so it’s a golden opportunity to win them over with your enthusiasm, organization and professionalism. Spend the time doing it right so you can start building relationships in person.
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