BUSINESS SENSE
“Competition” – Week 7
Nancy Larsen, Enterprise Facilitator of SEFP

Know your competition. They can help you, bury you and may just be your best exit strategy. Show that you have searched out all those companies who offer competitive or related products/services in the same or similar industries. Explain how competitive relationships can be turned into joint ventures, strategic partnerships, buyouts, acquisitions, etc. in the future. Lenders or Investors take comfort in the fact that you have defined possible exit solutions if things do not go as planned.

Compare your strengths and weaknesses to your competitions. Consider such things as location, size of resources, reputation, services, personnel, etc.

It is vital that you demonstrate an expert understanding of your industry. What is the current condition of your industry and the trends? What has the competition done to achieve their market share? What advertising media is most effectively used by your competition?

Give a reference to all trade associations that cover your industry. Use materials supplied by these organizations to support statements and assumptions you have made throughout your funding request.

Remember – “Efficient executives find machines that can do half their work, and then buy two.”

Next weeks topic is: “Amount Requested”

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