... FeaturestoBenefits:vfeaturesarethespecificcharacteristicsofyourproduct(red,metal,25lbs.,etc.)Benefitsarewhatthecustomergainsfromyourproduct.Askyourselfwhat’sinitforyourcustomer,orwhyacustomerwouldpurchasetheproduct.Turnyourproductfeaturesintocusto merbenefits.1IDEACOMPETITIONBUSINESSPLAN GUIDE 2012 2013WelcometotheIDEACompetition!IDEA(whichstandsforIngenuityDrivesEntrepreneurAcceleration)isaprojectofIngenuityFrontier,acollaborationofpartnersjoinedbyacommonpurpose—togrowtheeconomyofNorthwestMinnesotabyoutfittingthenextgenerationofhomegrowninnovatorsforsuccessintheglobalmarketplace.IDEAismanagedbyseveralpartners:360°ManufacturingandAppliedEngineeringCenterofExcellence,AgriculturalUtilizationResearchInstitute,BemidjiStateUniversity,EnterpriseMinnesota,HeadwatersRegionalDevelopmentCommission,MinnesotaDepartmentofEmploymentandEconomicDevelopment,NorthlandCommunityandTechnicalCollege,NorthwestMinnesotaFoundation,NorthwestRegionalSmallBusinessDevelopmentCenter,NorthwestRegionalDevelopmentCommission,andUniversityofMinnesotaCrookston.Yoursuccessisoursuccess.Thisplanisa guide thatwehavedevelopedthroughyearsofexperienceinassistingindividuals(suchasyou)inbringingpromisingid ... 8Intheregistereduser’sareaoftheideacompetition.orgwebsite,youwillfindsamplebusinessplans.Notwobusinessesarealike—notwobusinessplansarealike,either.Usetheseplansasanexampleandasareference,notastemplates.Yourownideawilldeterminewhichstyleiscorrectforyourplan.Thesearenotprovidedascopytemplates.Otherexamplesmaybefound online byGoogling“BusinessPlans,”orbygoingtosampleplans.com.SmallBusinessDevelopmentCenterWeencourageallIDEACompetitionparticipantstotapintotheresourcesavailablethroughtheNorthwestRegionalSmallBusinessDevelopmentCenter.Theirconsultantsareavailabletoassistyouatnocost.Youmaycall218‐755‐4255tosetupanappointment.AdditionalResourcesAdditionalresourcesareavailableontheIDEACompetitionwebsite.Thememberssectioniswherewewillpostresourcesthatareonlyavailabletoparticipants.YouwillalsowanttochecktheResourcestabonthewebsite.Awidevarietyofresourcesarelistedthere.ENDNOTESiDuediligenceTheduediligenceprocessrequiresobjectivity.Theprocessofduediligenceisusedbylendersandbankerstoverifyandvalidatetheassumptionsofabusinessplan.Theoutcomesofduediligencearetheverificationandvalidationoffeasibility,viability,anddesirability.iiSeedStageSeedmoneyprovidesstartupcompanieswiththemoneytheyneedtofueltheirinitialdevelopmentandgrowth.Theinvestmentcanbeintheformofaloan,aninvestmentinpreferredstockorconvertiblebonds,oraninvestmentincommonstock.AngelinvestorsAreofteninvolvedinseedstagefundingrounds.iiiStartupStageAtthestartupstage,abusinessisbornandexistslegally.Productsorserviceshavebeendefined,andthefirstfewcustomersareonboard.ivGrowthStageCompaniesinthegrowthstagehaveestablishedacertainlevelofmarketpresenceandareexperiencinganycombinationofthefollowing:increasingrevenues,increasingcustomers,new6VI. ... 2012 2013WelcometotheIDEACompetition!IDEA(whichstandsforIngenuityDrivesEntrepreneurAcceleration)isaprojectofIngenuityFrontier,acollaborationofpartnersjoinedbyacommonpurpose—togrowtheeconomyofNorthwestMinnesotabyoutfittingthenextgenerationofhomegrowninnovatorsforsuccessintheglobalmarketplace.IDEAismanagedbyseveralpartners:360°ManufacturingandAppliedEngineeringCenterofExcellence,AgriculturalUtilizationResearchInstitute,BemidjiStateUniversity,EnterpriseMinnesota,HeadwatersRegionalDevelopmentCommission,MinnesotaDepartmentofEmploymentandEconomicDevelopment,NorthlandCommunityandTechnicalCollege,NorthwestMinnesotaFoundation,NorthwestRegionalSmallBusinessDevelopmentCenter,NorthwestRegionalDevelopmentCommission,andUniversityofMinnesotaCrookston.Yoursuccessisoursuccess.Thisplanisa guide thatwehavedevelopedthroughyearsofexperienceinassistingindividuals(suchasyou)inbringingpromisingid...