Investment Company Business Plan Template
Written by Dave Lavinsky
Investment Company Business Plan
You’ve come to the right place to create your Investment Company business plan.
We have helped over 1,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Investment Companies.
Below is a template to help you create each section of your Investment Company business plan.
Executive Summary
Business overview.
NovaGrowth Investments is a startup investment company located in Aurora, Colorado. The company is founded by Thom Anderson, an investment broker from Colorado Springs, Colorado, who has amassed millions of dollars for his clients over ten years while working at Clear River Investments. Because Thom has gained an extensive following of clients who have already indicated they will follow him to his new investment company, he has made the initial steps into forming NovaGrowth Investments. Thom plans on recruiting a team of highly-qualified professionals to help manage the day-to-day operations of a premier investment company in every aspect of marketing and advising in the land acquisition investment company.
NovaGrowth Investments will provide a wide array of services for investors, in particular those related to the optimal attention and time needed to secure valuable investments on their behalf. Investors can feel confident and secure, knowing that Thom and his team are looking out for their interests in every aspect of the land acquisition process. What’s more, NovaGrowth offers customized guarantees of investment performance that are singular within the investment company industry.
Product Offering
The following are the services that NovaGrowth Investments will provide:
- Analysis and expansive vetting of land acquisition opportunities up to 5M acres
- Extensive market research that secures in-depth findings
- Consistent and competitive returns while managing risk effectively
- Full spectrum wealth management
- Comprehensive array of software tools/programs to capture critical intelligence
- Unique strategies tailored for each individual client
- “New investor” welcome package with goal-setting seminar included
- “Boots on the Ground” team of investment analysts who visit each location under consideration and offer a full report plus video capture of the land
- Oversight and management of each portfolio and customized suggestions
Customer Focus
NovaGrowth Investments will target individual investors. They will also target corporate investors who are seeking land acquisitions. They will target fast-growing companies known to be seeking additional tracts of land. NovaGrowth Investments will target industry partners (cattle ranchers, horse breeders, etc) that could benefit from land acquisition as an investment.
Management Team
NovaGrowth Investments will be owned and operated by Thom Anderson. He recruited Jackson Byers and Kylie Carlson to manage the day-to-day operations of the investment company and oversee human resources.
Thom Anderson is a graduate of Cambridge University in the U.K., where he graduated with an International Business bachelor’s degree. He spent five years in the U.K. sourcing land for a large investment firm as an entry-level investment advisor.
Upon his return to the U.S.,Thom obtained his investment broker’s license and was employed by Clear River Investments in Colorado Springs, Colorado. Within one year, Thom secured over 5M in investments for his clients and, within five years, he amassed over 25M in land acquisition investments on behalf of his clients.
Jackson Byers is a graduate of the University of Illinois, where he graduated with a master’s degree in Accounting. His former role at Clear River Investments was as the Associate Accountant, where he managed the normal business accounting processes for the firm. He will serve as the Staff Accountant in the startup company and will assist in overseeing the day-to-day operations of the firm.
Kylie Carlson was hired by Thom Anderson as his Assistant and worked for him at Clear River Investments for over ten years. Her new role will be the Human Resources Manager, overseeing personnel and the processes that are regulated and required by Colorado.
Success Factors
NovaGrowth Investments will be able to achieve success by offering the following competitive advantages:
- Friendly, knowledgeable, and highly-qualified team of NovaGrowth Investments
- “Boots on the Ground” team of investment analysts who visit each location under consideration and offer a full report plus video capture of the land.
- NovaGrowth Investments offers outstanding value for each client in both their management fees and land acquisition percentages. Their pricing denotes quality and value and their results continually substantiate it.
Financial Highlights
NovaGrowth Investments is seeking $200,000 in debt financing to launch its NovaGrowth Investments. The funding will be dedicated toward securing the office space and purchasing office equipment and supplies. Funding will also be dedicated toward three months of overhead costs to include payroll of the staff, rent, and marketing costs for the marketing costs. The breakout of the funding is below:
- Office space build-out: $20,000
- Office equipment, supplies, and materials: $10,000
- Three months of overhead expenses (payroll, rent, utilities): $150,000
- Marketing costs: $10,000
- Working capital: $10,000
The following graph outlines the financial projections for NovaGrowth Investments.
Company Overview
Who is novagrowth investments.
NovaGrowth Investments is a newly established, full-service investment company in Aurora, Colorado. NovaGrowth Investments will be the most reliable, effective and value-driven choice for private and commercial investors in Aurora and the surrounding communities. NovaGrowth Investments will provide a comprehensive menu of portfolio and land acquisition services for any potential investor to utilize. Their full-service approach includes a comprehensive seminar and helpful introductory information for first-time investors.
NovaGrowth Investments will be able to manage the investments and acquire new investments for their clients. The team of professionals are highly qualified and experienced in investment brokerage and land acquisitions. NovaGrowth Investments removes all headaches and issues of trying to locate safe and secure investments and ensures all issues are taken care of expeditiously while delivering the best customer service.
NovaGrowth Investments History
Thom Anderson is a graduate of Cambridge University in the U.K., where he graduated with an International Business bachelor’s degree. He spent five years in the U.K. sourcing land for a large investment firm as an entry-level investment advisor. Upon his return to the U.S.,Thom obtained his investment broker’s license and was employed by Clear River Investments in Colorado Springs, Colorado. Within one year, Thom secured over 5M in investments for his clients and, within five years, he amassed over 25M in land acquisition investments on behalf of his clients.
Since incorporation, NovaGrowth Investments has achieved the following milestones:
- Registered NovaGrowth Investments, LLC to transact business in the state of Colorado.
- Has a contract in place for a 10,000 square foot office at one of the midtown buildings
- Reached out to numerous contacts to sign on with NovaGrowth Investments.
- Began recruiting a staff of seven and four office personnel to work at NovaGrowth Investments
NovaGrowth Investments Services
The following will be the services NovaGrowth Investments will provide:
Industry Analysis
The investment company industry is expected to grow over the next five years to over $1.3 trillion. The growth will be driven by ongoing vast opportunities for individuals and organizations seeking to grow their wealth The growth will be driven by new technology that navigating the complexities of the financial markets The growth will be driven by an increase in the interest of individuals in “making their own way” in the world The growth will be driven by the stability of land ownership as an on-going and important element in investment portfolios.
Costs will likely be reduced as technology continues to advance, allowing better-informed acquisition interest and supplemental risk mitigation Costs will likely be reduced as younger investors, such as Gen Z and millennials, continue to express an interest and desire for land acquisition investments, which indicates an increased number of sellers will enter the market due to favorable conditions.
Customer Analysis
Demographic profile of target market.
NovaGrowth Investments will target those potential individual investors in Aurora, Colorado. They will target businesses with a track record of land investments or a need for land due to company growth. NovaGrowth Investments will target industry partners (cattle ranchers, horse breeders, etc) that could benefit from land acquisition as an investment.
Customer Segmentation
NovaGrowth Investments will primarily target the following customer profiles:
- Individual investors
- Businesses with a record of land investments or those seeking land due to internal growth
- Industry partners seeking additional land for livestock or farming purposes
Competitive Analysis
Direct and indirect competitors.
NovaGrowth Investments will face competition from other companies with similar business profiles. A description of each competitor company is below.
CapitalMax Advisors
CapitalMax Advisors is a startup investment company in Colorado Springs, Colorado. The owner, Barry Jackson, is a graduate of Purdue University and has been an investment advisor for over ten years. He recently launched Capital Max Advisors to meet what he coined, “The Great Asset Allocation” investment opportunities within the city of Colorado Springs. Barry has hired ten associates from his former employer’s company to seek investors who are primarily interested in asset allocation investments and the company is promising reduced portfolio management rates for the first six months of business.
CapitalMax Advisors is a full-service investment company with a strong following of investors who were delighted by Barry’s performance on their behalf at his former employer. The expectation is that CapitalMax Advisors will live up to their primary purpose, which is to oversee and direct asset allocation to maximize returns in substantial numbers.
WealthWise Investments
Owned by Tamara and Loren Downs, WealthWise Investments is known for it’s assertive actions on behalf of clients. The company was founded in 2010 and currently offers a diverse range of investment products and services. They specialize in ETFs, mutual funds, and alternative investments. WealthWise Investments is known for its expertise in risk management, technology-driven investment strategies, and statewide reach beyond it’s home city of Colorado Springs.
WealthWise Investments offers excellent services to clients; however, clients have noted publicly that the fees and service charges are high in tandem with the asset allocation gains. There have been two complaints noted with the state regulatory agencies. Meanwhile, Tamara and Loren Downs continue to employ efforts to bring technology-driven tools into the investment company that will trim staff and distribute higher rates on behalf of investors.
FinTech Capital Management
FinTech Capital Management is a five-year-old company located in Denver, Colorado. The focus of the company is on financial technology investments on behalf of their client investors. Currently, the company has recorded stable and growing levels of profitability and has been tagged as an investment management firm known for its expertise in mutual funds and retirement planning They offer a sizable range of investment strategies, including equity, fixed income, and asset allocation funds. They are tech-driven and focus on research-driven investment decisions to fulfill the goals of their clients in long-term wealth creation.
In addition to tech acquisitions, FinTech Capital Management is also directed toward senior investors, with brokerage, retirement planning, wealth management, and mutual funds in their services offered. They provide a range of investment options, from individual stocks and bonds to managed portfolios and retirement accounts, many of which are perfect for those investors who have amassed a sizable portfolio, but are becoming risk-averse as they age. FinTech Capital Management is owned by The Thurgood Family Trust with the Thurgood brothers, Jonathan and Regis, responsible for day-to-day management. It has been recently suggested that the firm may be sold if the right buyers were to approach.
Competitive Advantage
NovaGrowth Investments will be able to offer the following advantages over their competition:
Marketing Plan
Brand & value proposition.
NovaGrowth Investments will offer the unique value proposition to its clientele:
- Unique investment strategies tailored for each individual client
Promotions Strategy
The promotions strategy for NovaGrowth Investments is as follows:
Word of Mouth/Referrals
Thom Anderson has built up an extensive list of contacts over the years by providing exceptional service and expertise to former clients and potential investors. The contacts and clients will follow him to his new company and help spread the word of NovaGrowth Investments.
Professional Associations and Networking
The executives within NovaGrowth Investments will begin networking in professional associations and at events within the city-wide industry groups. This will bring the new startup into focus for other companies, providing a path to increased clients and strategic partnerships within the city.
Social Media Marketing
NovaGrowth Investments will target their primary and secondary audiences with a series of text announcements via social media. The announcements will be invitations to the opening of the company, with a champagne reception and information regarding the services available at NovaGrowth Investments. The social media announcements will continue for the three weeks prior to the launch of the company.
Website/SEO Marketing
NovaGrowth Investments will fully utilize their website. The website will be well organized, informative, and list the services that NovaGrowth Investments provides. The website will also list their contact information and biographies of the executive group. The website will engage in SEO marketing tactics so that anytime someone types in the Google or Bing search engine “Investment company” or “Investment opportunities near me,” NovaGrowth Investments will be listed at the top of the search results.
The pricing of NovaGrowth Investments will be moderate and on par with competitors so customers feel they receive excellent value when purchasing their services.
Operations Plan
The following will be the operations plan for NovaGrowth Investments. Operation Functions:
- Thom Anderson will be the owner and President of the company. He will oversee all staff and manage client relations. Thom has spent the past year recruiting the following staff:
- Jackson Byers will provide all client accounting, tax payments and monthly financial reporting. His title will be Staff Accountant.
- Kylie Carlson will provide all employee onboarding and oversight as she assumes the role of Human Resources Manager.
Milestones:
NovaGrowth Investments will have the following milestones completed in the next six months.
- 5/1/202X – Finalize contract to lease office space
- 5/15/202X – Finalize personnel and staff employment contracts for NovaGrowth Investments
- 6/1/202X – Finalize contracts for NovaGrowth Investments clients
- 6/15/202X – Begin networking at industry events
- 6/22/202X – Begin moving into NovaGrowth Investments office
- 7/1/202X – NovaGrowth Investments opens its doors for business
Financial Plan
Key revenue & costs.
The revenue drivers for NovaGrowth Investments are the fees they will charge to clients for their investment acquisition and portfolio management services.
The cost drivers will be the overhead costs required in order to staff NovaGrowth Investments. The expenses will be the payroll cost, rent, utilities, office supplies, and marketing materials.
Funding Requirements and Use of Funds
NovaGrowth Investments is seeking $200,000 in debt financing to launch its investment company. The funding will be dedicated toward securing the office space and purchasing office equipment and supplies. Funding will also be dedicated toward three months of overhead costs to include payroll of the staff, rent, and marketing costs for the print ads and association memberships. The breakout of the funding is below:
Key Assumptions
The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and in order to pay off the startup business loan.
- Number of Clients Per Month: 175
- Average Revenue per Month: $437,500
- Office Lease per Year: $100,000
Financial Projections
Income statement, balance sheet, cash flow statement.
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