Are you seeking money from lenders or investors for your company or business? If so, then you know that you need a great business plan. Whether you are seeking investments, loans or grants for your business, you need a good business plan to be able to show why your company is worth it and what you have to offer to the business world.
The business plan is a great way for you to set and maintain goals for yourself and the company but it is also a great communication tool for letting potential lenders or investors know about your company. When it comes to business, everyone wants to see a business or company that will be successful. Your business plan needs to show that you know the odds against and for your business succeeding and that you know what to do to turn a profit. When writing a business plan for money, remember the following.
Planning for profits
Are you properly planning for profits? Do you have a good financial forecast in your business plan that includes not only a budget but how the company will work to achieve goals and make profits? Do you have a work outline detailing jobs of employees, payments, other expenses as well as how you compare to other companies in the same market? You need a stable and reliable plan of action to make profits. The successful business doesn’t just sit back and hope the profits come it; it gets out there are makes sure it happens. This is what potential lenders and investors are going to be looking for from your company and your business plan.
The three “C’s”
When a bank or lending institution is considering your business for a loan or investment, they will likely consider the three C’s – character, credit and collateral. Does your business plan include proof of these things? Are you showing them why they should invest in you and your company? Are you building the proper confidence needed for someone to give you money? Remember, they don’t want to take a risk with you so if you want to increase your chances of getting money, you need to show that you will be successful and how. They will be sure to bet on what seems to be a “sure thing” over a company that is shaky and unstable.