If you have decided to start a small business, then you must have an idea. Not only that, but you must really believe in your idea. And when you do, you tend to get all hyped up and start blabbing left and right about it to just about anyone who is willing to lend an ear. Let us stop you right there. Don’t. Simply don’t oversell your idea to anyone.
The tendency to oversell something you created and which you are unquestionably proud of can take many forms. Unfortunately, being so excited, you might not even realize you were doing it or that you were committing a faux pas. But don’t worry. That’s why we are here. Let us show you all the ways in which young entrepreneurs make the mistake of overselling their ideas.
Common Ways in which Startups Oversell in Their Business Plans
1. Sales pitches included in your business plan
As a startup owner who is building a program of activities, always remember this. Do not include a sales pitch into your project. A business plan should only contain facts and figures and not promises and clichés. Allow us to demonstrate.
My future business is a café. Its location is in the Town Mall. It will comprise two rooms and a kitchen. I will have three baristas and two waiters. – this is good.
We will be the best in town. Our coffee will be the best coffee served in the Town Mall. – this is wrong.
2. There is nothing out there like my idea
This is yet another type of someone trying to oversell an idea. It will never be in the best interest of your business plan to state this outright. It doesn’t matter if your idea is completely new or if someone has tried it before.
In fact, there may be a good reason why other entrepreneurs haven’t put it into practice yet. Unless you’re splitting the atom, something is going on there. Therefore, don’t oversell because you might be doing yourself more harm than good. Keep it simple. Keep it straight.
3. Never make exaggerated claims
Just like we said above, unless you’re trying to split the atom or create potatoes that fry themselves, your investors have seen it all. Do not make exaggerated claims about your product or service. In other words, do not oversell its marketability.
Try to be objective and realistic when it comes to how successful your endeavor will be and how much money it will make, especially in the beginning.
4. Do not give more information than necessary
Trying to oversell your idea can also mean giving too much information all at once. Your investors don’t need to know how you got the idea. They also don’t need to know the fact that what inspired you was a dog you had when you were in the third grade or that your favorite color is blue, which is why your product is blue.
When you give the presentation, talk about the idea and the idea alone. The rest can go into your business plan if you really feel like someone needs to know all the ins and outs.
We know, it’s hard not to oversell something you believe in. This idea that you had is like your child and who can resist not praising their kid? But you must do it. Otherwise, you risk failure.
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