| p>Remember Papa John's commercial on TV with the | | | | plan to raise capital for my business, I want it to make |
| slogan "Better Ingredients, Better Pizza"? Well its | | | | an impression! |
| nothing more than puffery: general, non-provable, inane | | | | Here are some other examples I've seen in business |
| claims. The problem is puffery is not only acceptable | | | | plans. A commercial realty company says, "We Go |
| it's often expected. Phrases like "the biggest," "the | | | | The Extra Mile For Our Clients." It's puffery. How about |
| best," "the cheapest," and so forth are so over used | | | | this wonderful statement regarding a consulting firm's |
| most people simply ignore them. | | | | competitive advantages ..."Knowledge. Expertise. |
| If you're guilty of using puffery in your business plan, | | | | Determination." That's it. That's the first line! That's their |
| you risk filling your plan with circumstantial evidence | | | | big "hook" to get investors to part with their money |
| and bold claims that won't do a thing to market your | | | | and back the firm's business plan. They might as well |
| business. These frivolous claims add nothing to help an | | | | not list any competitive advantages. |
| investor decide whether your business venture is truly | | | | Then there's the construction management company |
| any different from the other ventures they are | | | | that claims, "We fine tune the process to create unique |
| evaluating. To weed out general, non-provable, inane | | | | building solutions that function better, cost less, and |
| claims, you need a plain and simple puffery sensor. | | | | open sooner." Don't get me wrong. All of these sound |
| And, here it is: whenever you make a claim in your | | | | like fine benefits. But do you really think investors |
| business plan ask yourself this question, "Will investors | | | | believe this? If you play the puffery game, it can cost |
| really believe this?" | | | | you your credibility, lengthen or even prevent you from |
| Let's take as an example a business plan for a car | | | | getting funded. Avoid these kinds of statements in |
| dealership that included these claims: | | | | your business plan - they make no impression |
| - "We've got the largest selection of Ford cars and | | | | whatsoever on potential investors. |
| trucks in the entire city." | | | | Now, suppose this construction management company |
| - "We're the largest volume Ford dealer in the | | | | explained their "unique" process, provided cost |
| southwest." | | | | comparisons, and gave the actual length of time to |
| - "We sell more Fords than anyone else in the state." | | | | complete their last twenty projects against industry |
| Seasoned investors read right over this kind of hollow | | | | standards for similar projects. And, suppose they |
| puffery in business plans. They're to the point that they | | | | provided customer testimonials to back their figures. |
| expect entrepreneurs and business owners seeking | | | | Would this be more believable? More convincing? |
| investment monies to say anything and everything in | | | | See the best remedy for puffery is hard verifiable |
| an attempt to impress them. | | | | facts and evidence. The same type of facts and |
| In fact, one of the great pioneers of action-oriented | | | | evidence that you would want a defense attorney to |
| advertising, Claude Hopkins (Tested Advertising | | | | present to a judge and jury on your behalf if you were |
| Methods: often drew this analogy to describe the use | | | | on trail and facing death row. |
| of general, non-provable, inane claims in advertising and | | | | Okay, I think we beat puffery to death already; it's |
| I've found it equally applicable to writing business plans: | | | | pretty straightforward. To summarize, let me repeat |
| "Platitudes and generalities roll off the human | | | | Claude Hopkins' quote: "Platitudes and generalities roll |
| understanding like water off a duck's back. They make | | | | off the human understanding like water off a duck's |
| no impression whatsoever." | | | | back. They make no impression whatsoever." So use |
| Aren't puffery, platitudes, and generalities all the same | | | | the puffery sensor as you write and review the |
| thing? You bet they are. And if you believe Mr. | | | | statements in your business plan. Simply ask yourself, |
| Hopkins, these kinds of statements roll off the human | | | | "Will my potential investors really believe this?" If the |
| understanding like water off a duck's back. They make | | | | answer is no, dig deeper for the evidence that will |
| no impression whatsoever. I don't know about you but | | | | convince them. |
| if I'm spending my money and time writing a business | | | | |