What Should Be In a Business Plan?
Discussion
This seems like a daft question as I kind of guess the obvious stuff but just give me a prod in the right direction as I think I've only got one shot at this...
My business was started from scratch and with no capital investment on the basis that a previous family business went under during the recession (I wasn't a director of the company) and I quickly piled up a lot of debt and a terrible credit rating.
It stands to reason that no bank would lend me anything to get going. Which was fine as I didn't need anything.
However, now I want to grow the business. I've spoken to the bank and they have agreed that my Credit rating seems like it has got to a point that they would consider lending to me (I'm 'only' asking for between 15-20k) but I need to go in there with a pretty solid business plan that looks like I've got my head screwed on and that I'm low risk.
What should I be including to give myself the best shot?
The money would be used for staff wages (Not mine), further stock (rentable), marketing and office space.
Really appreciate your time
My business was started from scratch and with no capital investment on the basis that a previous family business went under during the recession (I wasn't a director of the company) and I quickly piled up a lot of debt and a terrible credit rating.
It stands to reason that no bank would lend me anything to get going. Which was fine as I didn't need anything.
However, now I want to grow the business. I've spoken to the bank and they have agreed that my Credit rating seems like it has got to a point that they would consider lending to me (I'm 'only' asking for between 15-20k) but I need to go in there with a pretty solid business plan that looks like I've got my head screwed on and that I'm low risk.
What should I be including to give myself the best shot?
The money would be used for staff wages (Not mine), further stock (rentable), marketing and office space.
Really appreciate your time
Most of the major banks have example business plans on their website - use your banks as a template. It then should theoretically be in a format that the bank understands and will contain everything that they expect to see in it.
You seem to want to borrow money for working capital. For this sort of lending the bank will want to be sure that they are just providing you with cashflow and that your profits are sufficient to cover the costs in full with a level of headroom. The risk for them is you are using their money to allow the business to continue as its not sustainable in its self - your financial forecasts should show that this is not a problem.
You seem to want to borrow money for working capital. For this sort of lending the bank will want to be sure that they are just providing you with cashflow and that your profits are sufficient to cover the costs in full with a level of headroom. The risk for them is you are using their money to allow the business to continue as its not sustainable in its self - your financial forecasts should show that this is not a problem.
H18 ENF said:
What should I be including to give myself the best shot?
Answer the questions you would ask if someone came to you for money and you wanted to know it was going to be spent wisely on a sound business proposal. There are many templates out there, but keep it simple and clear and show that you have indeed done your homework and predictions are evidenced based. Good luck!For anybody looking for any more help on business plans - This topic on Entrepreneur is brilliant:
http://www.entrepreneur.com/article/38308
Brad
http://www.entrepreneur.com/article/38308
Brad
Gassing Station | Business | Top of Page | What's New | My Stuff