Suggestions
1. This is what your business is all about, the product or service that you offer the market.
-Describe all products or services in terms of benefits customers seek.
2. Investors want to know what makes your products different, why customers will buy from you.
-Price.
-Differentiation.
-Quality.
3. Along with product or service differences investors want to know what gives you an edge, a
competitive edge regarding your products. This topic is covered later as well, but write here how
your products or product line contributes to your competitive advantage.
4. Be careful to explain how your customers use your product or service. Do not assume that it is
apparent to investors.
5. While you are writing to raise capital for now, think a bit into the future.
- What new applications or uses are there for your product?
6. If you provide a service, be certain your reader understands what that service is and how it is
used by your customers.
Resources Needed to Write
1. Profiles and data on each of your products or service.
2. A target market description emphasizing the benefits customers want.
3. Have a product specification sheet or FAB (features, advantages, benefits) sheet on the
product/service.
4. Be able to state the competitive advantage of each. See pages 232-234.
5. A new product development plan with timeline.
6. A Boston Consulting Group matrix or similar matrix depicting viability of each existing
product and product line.
7. An assessment of where each product is in the product life cycle.
Description of the Product/Product Line
1. Reference
-Appropriate appendix for diagrams, photos, and/or technical data.
-Describe in terms of features that distinguish the product (line) from competitors.
-Identify the needs/benefits that the features meet for your target market.
2. Product growth potential
-Where is each product in terms of the product life cycle (PLC)?
-How are you managing the PLC for each product?
3. Applications of the product/product line
-How is it used?
-How else might it be used? How could that/those use(s) be exploited?
-What potential new products might these suggest?
4. What is your competitive advantage?
You mentioned it in the Executive Summary, elaborate on it here.
5. Planned new products
-What new products?
-Why are you developing them?
-When do you plan to bring them out?
-What target market(s)?
Competitive Advantage(s)
1. How will you build your competitive advantage?
-Close relationship to customers.
-Devotion to quality.
-Attention to convenience.
-Innovation.
-Dedication to customer service.
-Flexibility.
2. What is the basis of your competitive advantage?
-What is the economic forecast for your geographic area for the next year, the next five years?