An executive summary is a short yet powerful introduction to your business plan. It provides a snapshot of your business idea, goals, and financial outlook. Consider it a quick elevator pitch—if it’s compelling, investors and lenders will be interested in reading more. Let’s cover how to write an executive summary for a business plan.

Why Is It Important?

  • Most investors and lenders only read the executive summary before deciding to go further.
  • It sets the tone for your business plan.
  • It should be concise (1–2 pages) and written in clear, simple language.

What Should an Executive Summary Include?

1. Problem Statement

Every successful business solves a problem. Clearly explain:

  • What gap in the market does your business fills?
  • Why this issue is urgent.

Example: “Small businesses struggle with affordable, high-quality website development. Our company provides cost-effective, AI-powered website solutions.”

2. Business Idea (Solution)

Explain how your business solves the problem.

Example: “We offer a subscription-based website development platform that builds customized sites in minutes.”

3. Company Overview

  • Business name, location, industry, and legal structure.
  • A brief history (if applicable).
  • Mission and vision statements (optional).

4. Market Opportunity

  • Who are your target customers?
  • Market size and demand.
  • Why now is the right time for your business?

5. Competitive Analysis

  • Who are your competitors?
  • What makes your business stand out?
  • Your Unique Selling Points (USPs).

6. Business Model & Revenue Strategy

  • How will your business make money? (Subscriptions, direct sales, etc.)
  • Pricing structure.
  • Key financial numbers.

7. Financial Overview

  • Startup costs and required funding.
  • Projected revenue and profitability timeline.
  • Estimated break-even point.

8. Growth & Expansion Plan

  • Future milestones and scalability strategy.
  • Plans for entering new markets or launching new products/services.

9. Management Team (If Applicable)

  • Key leaders and their expertise.
  • Experience and past successes.

See also: I want to start a business but have no ideas

Step-by-Step Guide to Writing an Executive Summary

Step 1: Write the Business Plan First

You can’t summarize what doesn’t exist! Make sure your business plan is complete before attempting the executive summary.

Step 2: Start with a Strong Opening Statement

Your first few sentences should grab attention.

Example: “80% of startups fail due to poor marketing. Our AI-powered platform ensures success with automated targeted campaigns.”

Step 3: Keep It Concise and Clear

  • Avoid jargon.
  • Use short sentences and bullet points.
  • Stick to the most important details.

Step 4: Focus on Benefits, Not Just Features

Investors care about results. Show them why your business matters.

Example: Instead of “We offer AI-driven analytics,” say: “Our AI-driven analytics help businesses increase sales by 30%.”

Step 5: Use Data & Facts

Numbers make your claims more credible.

Example: “The digital marketing industry is worth $500 billion. Our platform captures a $5 billion niche within it.”

Step 6: End with a Clear Call to Action (CTA)

Tell readers what to do next:

  • Schedule a meeting.
  • Request funding.
  • Read the full business plan.

Common Mistakes to Avoid

❌ Being Too Vague

Bad example: “Our business is innovative and customer-focused.”

Better: “We help small businesses boost revenue by 50% with targeted AI-driven marketing.”

❌ Writing Too Much

Stick to key highlights—don’t overwhelm the reader.

❌ Not Explaining Financials Clearly

Investors need a clear idea of costs, revenue, and funding requirements.

❌ Using Complex Language

Keep your writing simple, engaging, and easy to digest.

See also: What Must an Entrepreneur Do After Creating a Business Plan?

Executive Summary Example (Template)

[Your Business Name]

📍 Location: [City, Country]
📅 Founded: [Year]
📊 Industry: [Industry Type]

1. Problem Statement

[Clearly explain the market problem your business solves.]

2. Solution (Business Idea)

[Explain your product/service in simple terms.]

3. Market Opportunity

[Provide a brief overview of the industry and potential customers.]

4. Revenue Model & Financials

[Explain how your business makes money and financial projections.]

5. Growth Plan & Future Goals

[What are your next steps and future business expansion plans?]

6. Call to Action (CTA)

[End with a strong request: funding, partnership, or meeting.]

Final Tips for Writing an Impactful Executive Summary

✅ Edit & Proofread: Remove fluff and grammar errors.
✅ Get Feedback: Share with mentors or colleagues before finalizing.
✅ Format for Readability: Use headers, bullet points, and bold text.

Conclusion

A well-written executive summary is crucial for grabbing attention and securing funding. Start writing yours today using the template above!