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1、whichinformationbelongs-ondwhichdoesn't-maysurpriseyou.HowfoWriteaGreatbyWilliamA.SahlmanFewareasofbusinessattractasmuchattentionasnewventures,andfewaspectsofnew-ventureTHEBUSINESSPLANFORcreationattractasmuchattentionasthebusinessplan.Countlessbooksandarticlesi
2、nthepopularYOUR5T/RT-UP15pressdissectthetopic.AgrowingnumberofannualIDIOTICBUTr/AGOINGbusiness-plancontestsarespringingupacrosstheUnitedStatesand,increasingly,inothercountries.TOPROVIDETHEBothgraduateandundergraduateschoolsdevoteentirecoursestothesubject.Indee
3、d,judgingbyallVEISTURECAPITALthehooplasurroundingbusinessplans,youwouldFUNDINGANYCOAY.thinkthattheonlythingsstandingbetweenawould-beentrepreneurandspectacularsuccessareglossyfive-colorcharts,abundleofmeticulous-lookingspreadsheets,andadecadeofmonth-by-monthfina
4、ncialprojections.Nothingcouldbefurtherfromthetruth.Inmyexperiencewithhundredsofentrepreneurialstart-ups,businessplansranknohigherthan2-onascalefrom1to10-asapredictorofanewventure'ssuccess.Andsometimes,infact,themoreelabo-ratelycraftedthedocument,themorelikelyth
5、eventureisto,well,flop,forlackofamoreeu-Anentrepreneurialventurefacesfartoomanyphemisticword.unknownstopredictrevenues,letaloneprofits.What'swrongwithmostbusinessplans?Tbean-Moreover,fewifanyentrepreneurscorrectlyantici-swerisrelativelystraightforward:Mostwaste
6、toopatebowmuchcapitalandtimewillberequired-ftiuchinkonnumbersanddevotetoolittletothetoaccomplisbtheirobjectives.Typically,theyareinformationthatreallymatterstointelligentin-wildlyoptimistic,paddingtheirprojections.In-vestors.Aseveryseasonedinvestorknows,finan-v
7、estorsknowaboutthepaddingeffectandthereforecialprojectionsforanewcompany-especiallyde-discountthefiguresinbusinessplans.Thesema-tailed,month-by-monthprojectionsthatstretchneuverscreateaviciouscircleofinaccuracythatoutformorethanayear-areanactofimagination.benef
8、itsnoone.Don'tmisunderstandme:businessplansshouldWilliamA.SahlmanisDimitriV.d'ArbeloffProfessorincludesomenumbers.ButthosenumbersshouldofBusinessAdministrationattheHarvardBu