Know-How Exchange : Research/Metrics

What investors want to read about is whether your plan is actually a plan that is going to make them a lot of money easy and quickly.

A magazine business plan needs to be very clear on target audience, both of the readers and of the advertisers you intend to solicit. You also need to be clear about where you intend to create your revenue. Will it be a free publication subsidized by advertising, or will it be a subscription/purchased magazine with both advertising and a cover price?

You'll also need to have a lock on your costs. Figure out what you think it will take, and then add 25%. Magazines are very time intensive. You'll need to allot for graphic design, ad sales, copywriting, editing, proofreading and distribution. You'll also have printing charges plus regular office expenses.

An important part of any good business plan is your competitive analysis. What makes your magazine special given all of the others already out there? What niche will you fill? How many other magazines are already targeting that niche? How will you differentiate yourself?

Investors are attracted by the chance to make money. This is easier with a product that has a proven track record. Given your niche and your target audiences, choose potential investors who have a stake in reaching those audiences/niches. You don't say what type of magazine you have or whether you plan to be local, regional or national, but in general, it's easier to make the case for a magazine that reaches a potentially lucerative but underserved niche, such as a local magazine for African-American professionals or women business owners or GLBT entrepreneurs, than it is to justify another fashion or sports magazine.

Real life tip #1: A good editor and a good graphic designer are essential. Real life tip #2: Don't expect your editor to be the only proofreader.

Good luck

Hey,

First of all, relax and try to answer these simple aspects(4W 1H) What, Who, When, Why, How of the business initiative.

1)- What is this magazine all about- the description should be brief , clear and content-specific

2)- Who is the magazine meant for-your target market. Who are you hoping will invest, Who is already or is ready to be a part of your magazine (your team which includes atleast one known editor) and Who are you (convince about your credentials and that you have what it takes to make this work)

3)- When do you intend to roll it out, basically a tentative plan of all the events that you have in mind, if you've already thought about it.

4)- WHY you want to start your own magazine, Why would people be interested in buying or reading it & Why should people invest in your dream.

5)- Lastly and most importantly- HOW do you intend to make it happen-
the advertising, printing, distribution, pricing...basically all marketing aspects come here.

Remember: The concept is to be sold to the investors and your business plan is an important aid that will help you on this front.

The above steps should help even an amateur to make the plan but if you want it to be really professional, then there are plenty of sample business plans available for your help.

All the best!!

Talk to your local SCORE chapter (www.score.org). They have experts (for free) that can help you (for free!) create a professional business plan and can help teach you how to shop it to investors.