| As the deadline for the 8th Start-Up@Singapore | | | | We want something that is innovated |
| business plan competition is looming near, it will be | | | | concurrently as our markets are moving. The |
| good to offer some tips for our readers on the | | | | business plan competition or an investment does |
| first round of the competition. As a former | | | | not fund ideas, but something concrete of a |
| participant, organizer of the Cambridge business | | | | product which can become a hit. The only places |
| plan competition and also a judge/educator now, I | | | | where such pipe dreams get funded are in your |
| have developed the science and art in writing | | | | imagination. |
| business plans for aspiring entrepreneurs who | | | | The REAL Thing we are looking for |
| want to take part in this type of competitions in | | | | There are three important traits we want to see |
| my own capacity. Some of these thoughts came | | | | in a good executive summary. Trust me, I do |
| about by my actual engagement with the | | | | google search on some good ideas to see |
| investors. By no means is my advice meant to be | | | | whether it is a "me-too" type. So, if you think |
| the be-all and end-all standard for the judges, but | | | | that the judges just read and do no due diligence, |
| most people could use it as a guideline in writing | | | | you are going to get a cultural shock. I call this |
| their summaries for the competition. | | | | three important traits: Innovative, Sustainable and |
| What kind of entries go into my rubbish bin? | | | | Scalable: |
| It's always intuitive to tell people what cannot | | | | Innovative: I have always told some students of |
| work in such competitions. The same advice can | | | | mine to be involved in technology rather than be |
| be applied to the kinds of the companies which I | | | | business people. Yes, the process is hard for a |
| am interested as an angel investor. I have heard | | | | technologist but making an invention that |
| pitches and will not bother to reply to pitches with | | | | transforms an idea to a commercializable product |
| "me-too" ideas. Here are the features in those | | | | is something that offers a boost to anyone who |
| entries which often end up in my trash can: | | | | takes part in this type of business plan |
| Something which you can do it yourself without | | | | competition. Most student competitors leverage |
| going into this competition: If you write an | | | | on an inventor's work to build their business plan. |
| executive summary about starting an internet | | | | We seek innovation in the business plan |
| cafe, a restaurant, a consultancy, a chicken rice | | | | competition and hence you can see that the |
| stall or etc, it is 100% without fail that your entry | | | | winners are pro-technology. However, if you can |
| will not make it to the next stage. If you want to | | | | innovate by changing the market landscape, you |
| start a service startup using existing business | | | | may get a chance. For example, there was an |
| models, forget it too. If you feel angry and | | | | entry years back in the competition which was |
| disappointed with such decisions and your | | | | about selling "ba-gua" (barbequed pork) to US with |
| philosophy is that of entrepreneurship can mean | | | | an innovative marketing model. In the words of |
| the starting of small businesses, my reason to | | | | the judges, it's only once in a blue moon that such |
| your gripe will be, "This is not the kind of entry | | | | entries get through. If you have problems in |
| that the business plan competition is looking out | | | | finding innovations, try the A-STAR Exploit |
| for. Since you do not understand what the | | | | website or INTRO website for technologies and |
| market wants, why are you taking part in this | | | | create a value proposition. After all, |
| competition?" In short, these businesses can be | | | | entrepreneurship is also about gathering ideas and |
| started by yourself, and I will strongly encourage | | | | teams and creating a successful team. |
| that you do it yourself. I know that my | | | | Sustainable: Sustainability is important for a |
| co-founder, Weichang often start such businesses | | | | business. How does your business make money |
| without taking part in such competitions. If he can | | | | and how do you secure your customers? A lot of |
| do it while he was sick (with cancer at one point | | | | technologists seem to imagine their own markets. |
| of time), so can those people who are healthy | | | | You need to show in your summary that your |
| and wants to start their own enterprises. | | | | product is in market demand or how you can |
| Systems don't work: This is one that I heard | | | | make the customers buy your product. |
| from a fellow judge. If you are planning to | | | | Imagination is power only in your own mind, but |
| integrate services from three different portals or | | | | market reality is something that you have to |
| build a product based on three existing patents | | | | grasp. |
| into something that can be done by anyone, it is | | | | Scalable: Can your product create more products? |
| also out. It's very simple to give an example on | | | | Can your business grow into a big chain? Can |
| this kind of business plan. Remember the dot com | | | | your company develop into a medium enterprise |
| bubble, when people talked about integrating web | | | | and subsequently into a region company, finally |
| services to create online stores to sell bicycles. If | | | | into a multi-national company? It is a criteria which |
| that is not enough, this is what an inventor told | | | | the judges look. After all, some of our judges are |
| me, "I want to create a new music player made | | | | successful investors who have taken companies |
| out of a component from this company and that | | | | to IPO. So, they have a sense in what kind of |
| company." My immediate response to him, "Do | | | | businesses are scalable and which ones are not. |
| you realize that you have just infringed twenty | | | | So, now that you understand what the judges |
| patents from twenty MNCs?" | | | | want. How do you write one? I will talk about that |
| If your idea is still science fiction... If you want to | | | | in the next article. |
| build a transporter (in Star Trek) or a pair of | | | | [to be continued..... |
| shoes that can allow you to fly, that's also out. | | | | |