I’ve been a road warrior the past two months. For schools, entrepreneurial start-ups and other organizations a big epiphany continues to be the idea that your funding plan actually is part of your case for support.
To me, the funding plan is the HOW behind the big picture dollar goal and the big picture dollar goal is what you need to deliver on your vision. So, in essence, this is HOW you will deliver on your vision. Is that important? You bet!
I’ve found that most organizations don’t have a funding plan.
Three simple action steps here:
- Determine the dollar amount you need for both operations and projects. What is the lump sum? Do the math! 80% of organizations can’t answer this question.
- How many investments would you need – and at what amounts to achieve this goal?
- When? (One year? Three years? Five years?)
The funding plan does a few things as it relates to your case:
- It makes it believable
- It shows a potential investor how she/he would fit into the funding vision.
- It also illustrates that you’re not just picking a number out of the air – there is logic.
Extra bonus: There are times when you can actually ask the potential investor, “Where do you see yourself in this plan?” Then, you let them select a dollar level.