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How might an entrepreneur’s perspective differ from an investor’s in terms of the business plan?
In terms of the business plan, the entrepreneur’s perspective can be found much different from the perspective of an investor. Or in other words, the perspective of an entrepreneur and an investor’s’ perspective is different in terms of a business plan and business planning. Before everything, an entrepreneur can be found interested to have a well-developed, well designed and professionally written business plan that covers each and every component and details about the business. While on the other side, the investor would be found the person who prefers to read out the executive summary of the business plan to find out that does it has something crucial or something of my interest (Riding, & Short, 2007). Beyond that, most of the entrepreneurs are willing to take business risks for the purpose of business success while investors are the people who prefer to keep the business and themselves away from risks as their main focus is to save business from risks or minimize the level and possibilities of risk and increase the actual return on investment (Polzin, Sanders, & Stavlöt, 2018).
Proceeding further, in terms of business plan, an entrepreneur is the person who is both process and market oriented while running a business or involved in any business while the investor usually concentrates on the aspects of market as their main focus is on the profits and revenues through generating more sales of the product or services to the market and target customers (Allan, & Dominique, 2017).
Allan, L. & Dominique, M. (2017). Some Investor And Entrepreneur Perspectives On The Informal Market For Risk Capital, Journal of Small Business & Entrepreneurship, 7:5, 19-30, DOI: 10.1080/08276331.1987.10600291
Polzin, F., Sanders, M., & Stavlöt, U. (2018). Do Investors and Entrepreneurs Match?–Evidence from The Netherlands and Sweden. Technological Forecasting and Social Change, 127, 112-126.
Riding, A. L., & Short, D. M. (2007). Some Investor and Entrepreneur Perspectives on the Informal Market for Risk Capital. Journal of Small Business & Entrepreneurship, 5(2), 19-30.
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