PulseJournal.com

Starting your business

Step 1: Make a plan PART 3 OF 6

« Previous | Index | Next »

What you need for a basic business plan

A business plan outlines your objectives to give you a clear focus. It also doubles as a resume or selling point when it comes to lenders, investors and banks. With your goals, strategies and financial data spread out, it's easier to assess your strong points and flaws.

1. 1. Cover sheet
2. 2. Statement of purpose
3. 3. Table of contents
4. 4. About your business
1. A. Description of business
2. B. Marketing plan
3. C. Assessment of competition
4. D. Operating procedures
5. E. List of personnel
6. F. Business insurance information
5. 5. Financial Data
1. A. Loan applications
2. B. Capital equipment and supply list
3. C. Balance sheet
4. D. Break-even analysis
5. E. Profit and loss statements
6. F. Three-year summary
7. G. Detail by month, first year
8. H. Detail by quarters, second and third years
9. I. Assumptions upon which projections were based
10. J. Pro-forma cash flow
6. 6. Supporting Documents
1. A. Tax returns of principals for last three years.
2. B. Personal financial statement (all banks have these forms).
3. C. For franchised businesses, a copy of franchise contract and all supporting documents provided by the franchisor.
4. D. Copy of proposed lease or purchase agreement for building space.
5. E. Copy of licenses and other legal documents.
6. F. Copy of resumes of all principals.
7. G. Copies of letters of intent from suppliers and other businesses you depend upon.