Everyone who owns a business should have a basic business plan detailing simple explanations about your company and your background. A business plan is crucial for businesses looking to obtain funding. The business plan doesn’t need to be completely flawless, but it does need to lay out the key points of what your business does. It is the acting proof of why your business is fundable.

This document will lay out your business model to discuss previous and projected revenues, so it is wise to update it from time to time to remain prepared for future funding opportunities. Your business plan will be similar to a verbal pitch for investors. Know that you’ll need one before it becomes urgent to complete it with accuracy and care.

Treat it as a resume for your business.

Come prepared with every detail you can to be the most knowledgeable about your business. Preparedness shows funders you care. Then, when you spend the time to make a solid plan, you can use it to show your expertise and as a reference for potential investors or lenders. It’s a great resource that can apply to many different avenues of growth for your business.

You should begin building your business plan as early as possible!

Tradelines and credit cards are funding options that don’t require a business plan. However, more significant funding, private funding, private investors, and institutional funding require a business plan.

What is included in a business plan?

• Identify your offer
• Product cost
• Service cost
• Manufacturing cost
• Moral goals
• Income goals
• Leadership structure
• Roles of each owner/partner
• Bio of each owner/partner
• Business challenges
• Business summary
• Executive summary
• Marketing summary
• Financial overview
• Industry overview
• Legal patents or required licensure

Two types of business plans:

1. Basic business plan: must include a business overview, explanation of the business model, and leadership structure.
2. Lender-specific business plan: will require a strategic approach based on the type of funding and source. Tailor this type of business plan to your business with an advisor.

Elements needed to create a business plan:

• Entity information
  • Company name
  • Business structure
  • Address
  • Telephone number
  • Business email address
  • Website
• Financial overview & projections
  • Cost & overhead breakdown
  • Bank statements
  • Manufacturer invoices
  • Proof of lower overhead with bulk purchase
• Marketing strategy report & targets
• Verified industry statistics for industry overview
• Affirmation of acquired legal ownership and patents
• Tax records

Propel can help you with:

• Business plan presentation run-throughs
• Business plan fine-tuning
• Business plan drafting
• Business plan templates

Simply get in touch to discuss your exciting new business ideas today!