Investment Research Firm Business Plan and SWOT Analysis

Investment Research Firm Business Plan, Marketing Plan, How To Guide, and Funding Directory

The Investment Research Firm Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start an Investment Research Firm business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.

Your Business Planning Package will be immediately emailed to you after you make your purchase.

Product Specifications (please see images below):

  • Bank/Investor Ready
  • Complete Industry Research for the Industry
  • 3 Year Excel Financial Model
  • Business Plan (26 to 30 pages)
  • Marketing Plan (24 to 28 pages)
  • 425+ Page Funding Directory
  • PowerPoint Presentation
  • Loan Amortization and ROI Tools
  • Three SWOT Analysis Templates
  • How to Start a Business Guide
  • Easy to Use Instructions
  • All Documents Delivered in Word, Excel, and PowerPoint Format
  • Meets SBA Requirements

Investment research is a vital part of the overall financial services industry given that executives and other managers need to have informed information in order to make proper decisions regarding their organizations. As such, in good times and in bad, investment research firms are always able to generate income from the sales of their reports. Especially in times of economic recession, investment managers, business executives, entrepreneurs, and real estate developers are always going to want to have a substantial amount of information on hand so that they can make the proper decisions in order to keep their organization’s profitable and cash flow positive. The barriers to entry for a new investment research firm are moderately high given that most people do carry a CFA designation when providing investment research. The individuals engage in this type of analytical activity also have extensive backgrounds in accounting, business finance, business management, as well as mathematics. As such, the very high educational requirements needed to own and operate this type of business provide a very strong barriers to entry.

The typical start up costs for a new investment research firm typically range anywhere from $100,000 to $500,000 depending on the number of industry analysts will be on staff at the onset of operations. The income generated by these businesses is highly recurring as many of these companies will develop subscription-based programs that allow individuals to access the entire database of produced investment research. These businesses, outside of a very large payroll, typically have few operating expenses.

An investment research firm SWOT analysis should be produced as well in order to showcase the threats, weaknesses, opportunities, and strengths faced by these businesses. As it pertains to strengths, investment research firms are always in demand and are always able to produce highly recurring streams of revenue from their services. Additionally, outside of directly selling investment research to third parties – many of these firms are able to license their information on an ongoing basis. The value of these businesses can be substantial once a very large library of investment research is amassed.

For weaknesses, there are certain liabilities associated with the development of an investment research firm. In the event that a business executive or entrepreneur makes a very important decision with information is not correct, malpractice or other general liabilities can be placed on the business. However, a well written contract can indemnify or diminish this risk for an investment research firm. It should be noted that this is a highly competitive industry.

For opportunities, these businesses are able to produce recurring streams of revenue and they can expand their operations by simply hiring additional analysts that have extensive experience in specific industries. While some investment research firms do operate on a general basis, some take to developing a certain specialty like healthcare, construction, real estate, or other industries. This can provide a differentiating factor for the investment research firm.

For threats, given that information can be more readily available these days it is expected that there will be ongoing competition issues moving forward. Economic risks, especially recessions, do not really have an impact on the revenues of an investment research firm.

An investment research firm business plan should be developed especially if the owner is going to see capital from private investors in order to launch operations. It should be immediately noted that while some financial institutions may provide a working capital line of credit to investment research firm, the vast majority of these companies are starting with funds either from the owner or from private investors. The business plan should feature a three-year profit and loss statement, cash analysis, balance sheet, breakeven analysis, and business ratios page. Specific to the industry research portion of the business plan, investment research firms generate about $1 billion in revenue per year and provide jobs about 7,000 people. There are about 600 companies in this industry.

A demographic analysis showcasing the types of business executives, entrepreneurs, really developers, Realty investors, and other organizations that will purchase investment research should be included as well. This includes taking a look at annual revenues, annual profits, number of personnel on staff, industries covered, and the amount of money that these businesses allocate towards investment research on a yearly basis. A competitive analysis, while important, can be somewhat on the smaller side given that there are several hundreds of companies that provide the service on an ongoing basis.

An investment research firm marketing plan is also developed in order to ensure that completed industry reports and per project reports can be marketed very quickly to the business public. Foremost, many people enter this field already have extensive contact with the finance industry. As such, by being able to call on these contacts in order to make sales the ongoing marketing costs associated with stable company can be reduced very quickly. As with all businesses these days, and expansive online platform should be developed that features not only information about the research available, but also has e-commerce functionality so that anyone can purchase a research report from the company. Typically, the development of this type of website usually runs anywhere from $10,000 to $50,000 depending on the amount of content will be on the website, whether people will be able to use the website via e-commerce, and how much security is going to be needed in order to protect intellectual property. This website should undergo search engine optimization while concurrently engaging in pay per click marketing in order to drive a substantial number of people and executives to the website. Often, samples are provided on these websites in order to showcase the work of the business.

Informed decisions are the lifeblood of any organization that is looking to generate revenue and turn a profit. As such these businesses are able to produce revenues in any economic climate while concurrently being able to have limitless growth as it relates to their operations. Entrepreneurs have extensive experience as business analysts, industry analysts, or related professionals can turn this into a highly lucrative opportunity that can be expanded aggressively throughout the life of the business. There’s really nothing about this industry that is going to change of the next 20 years with the exception that more and more technology will be integrated into the ways in which investment research reports and business analysis reports are completed.