FOREWORD xv
Submitting the plan
‘It is not from the benevolence of the butcher, the brewer, or the baker, that we expect our
dinner, but from their regard to their own self-interest. We address ourselves, not to their
humanity but to their self-love, and never talk to them of our own necessities but of their
advantages.’
ADAM SMITH
‘Never appeal to man’s “better nature”. He may not have one.’
A plan does not exist in isolation. It should not be written and then just filed. It will of
course be used downwards to communicate the direction of the organisation and the
actions required of its members. However, nearly all plans also identify the need for more
resources, and these have to be provided from outside the particular organisation prepar-
ing the plan. These resources may either come from your parent, if you are part of a larger
organisation, or from external sources if you are at the top of your particular tree.
In each case the plan must convince those providers that it is in their self-interest to
back it. If you are part of a larger entity then you must show that your strategy will help to
meet the objectives of the parent organisation. It must adopt similar ethics and methods
and must provide proper returns. It is unlikely that there will be an endorsement of a plan
which sets out a development, however worthy, which exposes the parent organisation
to new risks or provides a lower return than other potential investments.
When seeking resources externally, it is even more important to understand the
parameters of the person to whom the plan is addressed. Some plans will be written in
order to identify and correct resource constraints of personnel and will be used to iden-
tify people requirements and to enthuse potential recruits. However, most plans going
to external audiences are asking for money, whether from a bank or a venture capitalist.
These must be carefully prepared with a full understanding of the questions likely to be
asked by the recipient. Indeed there may need to be different versions of the same plan as
the need of a banker for security is very different from the wish of a venture capitalist for
capital growth.
As this book points out, the seeking of venture capital is particularly difficult, with there
being many famous successful ideas which have been repeatedly turned down before
reaching their potential. As you go outside your own organisation you need strength and
stamina to keep to your chosen path and to convince people that you are right. If you have
a well-constructed plan which deals with all of the issues then this can give you real support
as you deal with the many unbelievers.