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    4 Replies Latest reply on Jan 9, 2009 5:59 PM by mediadave

    What Investors Look At

    bryangoodal8 Newbie
      I have been watching this website for a few months and I beleive there is a misconception of what true investors look for in a project. Everyone has a viable project!

      The question that is of prime importance and must be addressed in your business plan and projections is how are you going to repay the investor in this "new economy".

      Your projections need to be realistic and be for five years by month and include a balance sheet, income statement and cash flow statement at a minimum. It would be helpful to include ratio analysis including, current ratio, debt to income, debt service ratio and internal rate of return. This will provide the investor an quick insight into your planned business. In addition a risk analysis should be included. The investor will most likely ask for one, so include it anyway.

      This is just meant to be a guideline and be sure to keep it professional. Investors want to invest in businesses not pay mortgages or other household bills so just keep it to your planned business.

      I hope this helps some of you.