Business plans for biotech present several unique requirements to the writer. Unlike some less intensive business models, writing about biotech requires that you contextualize the company's operational goals by describing specifically what the research and development hopes to accomplish. This is a tricky issue, because you don't want to get too bogged down in scientific terminology or descriptions of IP, unless you know for certain that your target investor(s) are familiar with the space and will not require a layman's definition of your biotech goals. For the more common reader, break it down to the basics to explain what biotechnology applications you can pursue, what you'll do with the developments, and how the firm will make money. Ultimately, the business plan will need to show:
• What the target market is for your business
• Who the leading competitors are right now
• What the intended use of funding is
• How many people you need on the projects
• The state of biotech today and any trends that impact your business model
Any business plans for biotech that will be submitted for private/institutional investment will require a five-year financial forecast, which means you need to research your start-up and development costs, in addition to having a working knowledge of how much money you can make selling your research services or technologies. Do you envision a licensing structure, or commissioned projects, or selling off IP to larger players in the industry? Explain this in your exit strategy and make sure the financials show a compelling return on investment for your key shareholders. Don't neglect a marketing strategy and a management team summary as well. Need assistance here? MasterPlans has written for several biotechnology companies and has made custom business plans for more than 10,000 clients since 2002. Call us today at 877-453-2011 to learn more.
