Initial Coin Offerings seem to be an increasingly popular subject lately, especially among entrepreneurs.
The business world has certainly gone through quite a lot of changes along the years, and ICOs are just another new approach of putting the base of a company. If you didn’t know by now (which s less likely considering what a hot topic of discussion this has become), ICOs enable enterprises to provide crypto assets to the public, this being a mean of raising funding.
Initial Coin Offerings have been particularity used by startups, in order to access the initial capital required to put the foundation of their business. The white paper is the document that is usually presented to a business’ potential investors, so naturally it has been associated with the traditional business plan.
Knowing about the differences between the two will give you the chance to choose exactly the option that will benefit your startup best. While both a business plan and an ICO white paper should portray a clear picture of a company, stating its goals, actions and essence, there are many details that set the two apart:
Focusing on different aspects of the same coin
The problem, the solution, the market, these are a few examples of what both whitepapers and business plan have in common and need to address, but while the coin is the same, there are different aspects addressed. A traditional plan will target mainly the principles of the said company and how it will support the industry by covering specific requirements of a particular market, while the white paper revolves around the crypto asset, and on its beneficial role, while not being necessarily linked to the said startup.
The white paper should contain comprehensive information on various aspects, including technical, financial and economical issues. It needs to clearly express why this new crypto asset is actually worth investors’ attention and the more details it provides, the higher the likelihood of being taken into account by those reading the paper.
Writing an ICO whitepaper vs. writing a business plan
Obviously, putting together an ICO whitepaper is a bit different than writing your usual business plan, so before getting started, you should be aware of all the necessary steps to take. Business plan writers usually recommend the collaboration with an expert for the effective creation of a plan, one that will not put your business idea at risk due to lack of expertise or minor, yet relevant mistakes.
Considering the increasing number of ICO startups, wiring a great white paper can be essential, and while there are many details revolving around the topic, in the majority of cases should offer extensive info on the technology behind the Initial Coin Offering. When the document is being created you should:
– Define and know exactly the audience you are targeting, in order to select appropriate terminology as well as overall writing tone
– Put your team in the best light possible
– State the addressed problem and clearly explain how your startup with work on solving it
– Highlight your product carefully, presenting your idea in an appealing manner
Writing a traditional business plan might seem a bit easier than the option above-mentioned, mainly because business plan writing has been something pursued by many for a long time, while ICO whitepapers are new to the table. In reality, both demand equal attention to detail, implication and good knowledge of the matter. In the majority of cases, a good business plan should be focused on
– a well-built summary that clearly states what you are actually asking for
– a business description that should begin with some concise information on your chosen industry, followed by info on what your business will bring to this industry, future possibilities, as well as potential factors that might affect or benefit your company
– Plausible marketing moves that will allow your startup to move forward. A market analysis is something that you need to do beforehand, in order to assess all risks or potential gains.
– A development and design section that gives the investors a glimpse of your product
– A description on how your business will run long-term
– Details about finances.
Which is the ideal choice?
It all comes down to the ultimate question. Should you go for the traditional business plan, or should you direct your focus towards an ICO whitepaper? Well, you are the one that needs to reach your own conclusion. Your choice should go hand in hand with the nature and profile of your future enterprise, and that’ why you need to be fully aware of how both options look like and for what types of companies they are used. Regardless of what you ultimately decide, based on various relevant factors, you should keep in mind that you will need professional support on the matter if you want to have at your disposal a document that will actually determine investors to believe in your brand. It’s better if you collaborate with the right team of pros, who will help you create either the ICO white paper or business plan from start to finish in order for it to be readable, to highlight the most important business principles, to actually make it address everything that you are trying to express in the best manner possible. With the help of a good, experienced writer, you will be increasing your odds of accessing the capital you need to get your business running as soon as possible.
As you can see, there are a few strong factors that differentiate your usual business plan from an ICO whitepaper. Although both come with their own set of advantages, it’s important to select an option that suits your specific situation best, and for that to be possible, being thoroughly informed on the topic is necessary d the aspects explained above ill help you on the matter. Your future success in the business world depends on the first steps taken in this direction, so use every informative resource to your own advantage.