Business Plans typically encompass one of two roles: obtaining funding for a business or a road map for business success. Plans have other purposes and use, but this article will concentrate on the main two uses of a business plan. This is where top business plan writers can help you with the creation of business plans and the overall growth of your business.
Business Funding Plan
For any type of business start-up or an existing business, there must be funding available. Starting from scratch and trying to get inspiration is often quite challenging, especially without prior experience in writing a funding business plan for investors or a bank.
The most important part of the plan is the executive summary. This page summarizes the 9 areas of the plan that an investor/lender needs to review. This will help determine whether they want to finish reading the plan or lose interest. The exec summary is usually one of the last parts of the plan to be written. The summary will be 1.5 to 2 pages in length, and it should typically contain these 9 points:
Information on the business
- An explanation of the products and services
- The marketplace
- The potential of the business
- The 3-year earnings and profit analysis
- What assets are needed, and what they will be used for
- What investment options have the company directors made
- What are the prospects for the investor?
What is the exit strategy?
I always start by deciding on the structure of the plan. It needs to flow in a way that the reader not only understands what the company does and how it will perform but at the same time it needs to cover all the important regions of interest. It also needs to excite the reader and distinguish your plan from the others sitting on an investor’s desk. Keep in mind that you are creating a document that has to contain information a funder expects to see, and not necessarily what you want to say.
There is no mystery about the format, just picture what the investor wants to see, and the best way of leading him/her into the details. After the executive summary, the structure should flow in a logical manner:
- What is the structure of the company, and at what stage of development?
- What are the company objectives in terms of turnover and profit?
- What are the goods, the demand, information, and proof of idea?
- The marketplace, description, and size, and where do you fit?
The sales and marketing plan, including all of the detailed assumptions that have been made.
The operations plan, how the company will run, the location, the employee requirements, the order, and fulfillment flow.
Who are the management team, their past performance, and experience?
The financial model explained in words for those that do not like spreadsheets.
The financial model, with spreadsheets for P & L and cash flow for 3 years, done on a monthly basis, and a balance sheet.
Color design and pictures are essential in a business plan. Provide the section headings in color, and add pictures that help explain the product or service. Make your plan more visually appealing than all others.
Business Success Plan
A business plan is essential for your enterprise. Whether your business is starting up or already established, it’s the road map for future development. It helps to prove your theories, research, and models. It is a working document and should be used as a tool to guide and track your company’s success (or lack thereof).
However, perhaps most importantly, it’s a key document when you are looking for business funding – whether applying for a simple overdraft or looking for new investment or capital. It must help investors and lenders understand your vision and goals, explain how you are going to spend the invested or borrowed money and set out how this will benefit both them and the business.