Official Rules. The McAllen Business Plan Competition - Official Rules 2018
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1 Official Rules REGULATION MC-BD-FO-1229V00 The McAllen Business Plan Cmpetitin - Official Rules 2018 The cmpetitin is intended t simulate the real-wrld prcess f entrepreneurs sliciting start-up funds frm early-stage investrs and venture capital firms. The judges functin as venture capital investrs deciding n which business venture they wuld mst likely fund. The quality f the idea, the strength f the management team, and the clarity and persuasiveness f the written plan and ral presentatin, all influence the judges decisins. Ultimately, the winning team shuld be the team in which the judges wuld mst likely invest mney. GENERAL INFORMATION 1. All business plans must be the riginal wrk f the entering individual r team. 2. Fr the Business Plan Cmpetitin, a team is cmpsed f ne leader and up t 2 members. 3. Applicant, including any persns named in the applicatin frm, may nt submit r be a participant in mre than ne applicatin. 4. At least ne member f the team must be a resident f the City f McAllen. 5. Applicatins, executive summary and the business plan may nt be sent by mail r facsimile. 6. The Business Plan Cmpetitin judging panel and its administratr have the sle right t alter, amend, r supplement at any time and frm time t time the rules, regulatins, terms and cnditins regarding the Business Plan Cmpetitin. 7. All decisins regarding the Business Plan Cmpetitin, including the selectin f the winner, are at the sle discretin and judgment f the Business Plan Cmpetitin judges whse decisins in each case are final and may nt be appealed. 8. Each cntestant shall release and hld harmless the Business Plan Cmpetitin, its Administratr, Selectin Cmmittee, Participants, and all thers assciated with r assisting with the Business Plan Cmpetitin frm any and all matters regarding the Business Plan Cmpetitin. 9. Each team must authrize the McAllen Chamber f Cmmerce t cnduct a credit check reprt and backgrund check f the team s leader. The credit reprt and backgrund check will nt be reviewed by the entire selectin cmmittee. 10. If there are n acceptable business plans, the Business Plan Cmpetitin judging panel in its sle discretin reserves the right t declare n winner and t nt award the prize package t any cntestant. 11. All businesses must be lcated r planned t be lcated in the McAllen area. 12. The fllwing businesses are nt cnsidered eligible fr the cmpetitin: tbacc prductin, hard liqur prductin, casins r ther gamble ventures, fur prductin, currency speculatin, securities investment, speculative industries, adult entertainment related industries, buy-uts, expansins f existing cmpanies, real estate syndicatins, tax shelters, licensing agreements r ther arrangements fr distributin in a different gegraphical area, relcatins, and
2 multilevel marketing ventures; the Cmpetitin Administratr may exclude ther ventures at his/her discretin. 13. All entrants must be 18 years r lder. Prcess descriptin: An Executive Summary shuld be turned in by the deadline stablished. A panel f judges will review the executive summaries and will select tw r mre prjects fr Rund 2. Rund 2 will cnsist f submitting a full business plan by the selected prjects. Selected prjects will als need t make a 10-minute ral presentatin fllwed by a 10-minute rund f Q&A. Judges will select nly ne winner based n bth the business plan and the ral presentatin. EXECUTIVE SUMMARY GUIDELINES The executive summary must be limited t 4 pages f typed text; duble-spaced with a minimum 12 fnt using Arial type and 1 margins n all sides, plus a cver page. The cver page is NOT included in the 4 pages. The Executive Summary will be judged using the fllwing criteria: 1. Cmpany Overview Describe what yu d and why yu d it Briefly mentin the mst imprtant elements f yur cmpany 2. The Prblem Establish the need fr the slutin Justify the need; why shuld yu attempt t slve the prblem 3. The Slutin: Yur Prduct/Service Describes prduct/service in plain language Prvides evidence that the prduct/service is technically and ecnmically feasible Identifies unique features and benefits Identifies prduct/service liabilities and ptential slutins 4. Market and Cmpetitive Analysis Defines current size and grwth ptential f the targeted market and industry Discusses market trends Describes cmpetitive advantages f the prduct/service Identifies direct, indirect, and future cmpetitin (types, nt specific cmpanies) Types f business that cmpete with yurs 5. Path t Market and Sales Strategy Describe the sale strategy Describe the pricing strategy Describe the marketing strategy Business Mdel 6. Management Strength
3 Demnstrated management experience Past business success Demnstrated experience in the field Educatinal/prfessinal certificatin, etc. 7. Wh s in yur team Wh s wrking with yu and their rles? 8. Acclades Milestne achieved Investment highlight Grants r awards btained BUSINESS PLAN GUIDELINES The business plan must be limited t 20 pages f typed text; duble-spaced with a minimum 12 fnt using Arial type and 1 margins n all sides plus a cver page. The cver page is NOT included in the 20 pages. N spiral r similarly bund (reprt cvers, fastening flders, ring binders, paper clips and staples) will be accepted. The Business Plan will be judge using the fllwing criteria: 1. Executive Summary (Scre: 10 pints) Abstract Intrductin, material and methds, results Prblem Slutin Situatin, prblem, slutin, evaluatin Clear, cncise and cherent 2. Cmpany Overview (Scre: 5 pints) Nature f business Business legal status Prducts r services ffered Marketplace which is aimed t fulfill Target custmers Future utlk 3. Prducts r Services (Scre: 10 pints) The slutin is relevant fr the custmer The slutin has a value added Ptential t prfit 4. Cmpetitr Analysis (Scre: 10 pints) Identify direct and indirect cmpetitrs
4 Cmparisn in between cmpetitrs Cmpetitive psitin 5. Sales and Marketing Plan (Scre: 10 pints) Define target market (demgraphics, demand, purchase mtivatin) Pricing strategy Stablish a budget Designate measurement criteria and bjectives Define marketing strategy 6. Path t Market (Scre: 5 pints) Evaluate distributin landscape Identify the strngest distributin channels Analyze ptential partnerships 7. Management (Scre: 10 pints) Demnstrated management experience Past business success Demnstrated experience in the field Educatinal/prfessinal certificatin, etc. 8. Financial Highlights (Scre: 10 pints) Amunt and justificatin f grant requested Accurate and cmplete histrical financial statements Previus incme statements and balance sheet (annual basis) Explain any abnrmalities in yur histrical financial statements (if needed) 9. Risk Factrs (Scre: 5 pints) Identify prblems that might ccur n the develpment r grwth prcess Clarify industry, cmpany r emplyee risks Exit strategy 10. Jb Creatin (Scre: 5 pints) Number f jbs t be created Wage level amunt f salaries, benefits, etc. Skill level fr new psitin and any special educatin requirements 11. Viability (Scre: 10 pints) Upstart funds Timing Cntinuing cash flw Market size Cmpetitive landscape
5 12. Cmpetitive Advantage (Scre: 10 pints) Prduct r service prvides a value added Trade secret r patent Uniqueness f idea SUBMISSION 1. Each applicant must submit the fllwing in persn t the McAllen Chamber f Cmmerce at 1200 Ash Ave., McAllen, TX n later than 4:30 p.m. (CST) n May 21, 2018: Dcuments may nt be sent electrnically, by mail r facsimile. The filled ut applicatin frm The Executive Summary (fllwing the guidelines stated in this dcument) The Agreement f Backgrund and Credit Check Release Frm If the prject is selected, the team r individual will be given a new deadline t submit their full business plan. Als they will have 10 minutes t present their prpsal, fllwed by up t 10 minutes f Q&A by the judging panel n a selected day. The team is allwed t use an electrnic presentatin. Prjectin equipment will be prvided. JUDGING CRITERIA AND PROCESS The judging criteria are thse f a venture capitalist; simply, hw likely are the judges t invest capital int yur business? Selectin rund. Judges will review the executive summaries using the judging criteria individually. Then, as a grup, the panel will vte n which prjects are mre appealing fr investment and decide which nes they will like t cntinue t the next rund. Presentatin rund. Judges will review the written business plans f each f the finalist using the business plan judging criteria. Each judge will listen t and evaluate the ral presentatins and recrd their assessment f the presentatin. This rund will be a 10-minute ral presentatin with 10 minutes fr Q&A by the panel f judges. The quantitative assessment prvided by the business plan judging criteria is nly meant t serve as a guide t the judges fr ranking the teams. They will vte t select a winner based n where judges wuld invest mney. Judges' decisins are final and nt subject t negtiatin r appeal. CONTACT INFORMATION Fr mre infrmatin abut the awards r its rules, please cntact the award administratr utlined belw: Jrge Sanchez Directr f Business Develpment and Start-ups Tel. (956) Ext jsanchez@mcallenchamber.cm
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