MasterPlans is a 14-year-old business plan writing company located in Portland, Oregon. To contact us, call 1-877-453-2011 or email
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MasterPlans: The business plan experts. Custom business plans by professional business plan writers. Business plan consulting by professional business plan consultants.

Confidentiality Agreement For Business Plans

Wondering whether you need a confidentiality agreement for business plans? Confidentiality agreements, also called non-disclosure agreements or NDAs, are something most entrepreneurs assume that they need to have signed before turning over their business plan to a venture capitalist, angel investor, or lender. The truth is that you don't need a confidentiality agreement for a business plan. And not only do you not need one, presenting a lender or investor with an NDA could actually offend them and hurt your chances at securing the funding you need to get your start-up off the ground. In short, here's why:

• Investors and lenders aren't going to steal your idea; by handing them a NDA, you are suggesting that they might.

• Investors or lenders don't have the time, energy, or wherewithal to steal your idea. Why would they? If they like it, all they have to do is invest and watch the profits come rolling in without having to do the hard work of starting a business.

• If you want to secure funding, you'll have to show your business plan to people—lots of people. That kind of kills the whole confidentiality thing right there.

• It's unprofessional.

Don't take our word for it though. Plenty of investors have sounded off on the Internet about how they feel about receiving a confidentiality agreement for business plans and the general consensus seems to be that it indicates that the entrepreneur is naïve and inexperienced. Don't fall into that trap.

Want more information about the business planning process or securing funding? Call MasterPlans, the industry leaders in business plan writing. We've helped thousands of entrepreneurs create effective business plans that didn't offend any investors. We can do the same for you too! Call us today at 877-453-2011. We provide free consultations and are happy to discuss what we can offer you—just don't ask us to sign a confidentiality agreement first! You know how we feel about that...

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