Estimated reading time: 4 minutes
Starting your own business has many steps, such as figuring out your startup costs, choosing a location, finding business funding, and creating a business plan. And though Probably Funding can’t help you find the perfect location for your brick-and-mortar location, we can help you understand business funding options and even guide you as you create your business plan.
See the steps below that you should follow to create a business plan that will help keep you on track; help show those you partner with that you have thought your business through, and understand what it takes to make your startup successful!
Choose your business plan style.
You can utilize a traditional business plan or a ‘startup plan,’ which is often a little leaner on costs, as startups often have less funding. Of course, if you plan on utilizing alternative business funding, you may not need to cut startup costs, as there are many options for how to fund your business startup or expansion.
Traditional business plans are very detailed, take more time to write, and are comprehensive. Lenders and investors commonly request this plan, so it is a good idea to work towards this type of plan.
Startup plans are high-level focused, fast to write, and contain only key elements of your business plan. Most lenders and investors may ask for more information, but this is a good starting point for many startup business owners.
Sections of a traditional business plan.
Executive summary
Much like it sounds, this is the opening section of your business plan that explains what is to come, what your business will do, and how it will be successful.
Company description
Go more in-depth into your business idea and your company’s services or products in this section.
Market analysis
Show your knowledge of the industry and market by researching and explaining why this is a good time for your particular business to start.
Organization and management
This is where you will describe the structure of your business and who will be in charge of daily operations and higher.
Service or product line
Tell in more detail what your business will provide, along with the benefits of your services or products versus what is already on the market.
Marketing and sales
Explain your marketing strategy and how your business will get in front of its audience. In addition, explain how you will attract and retain customers, and how your will sales process look
Funding request
This is one of the most important parts of your business plan – what is the funding your business will require in order to get off the ground? Are you asking for $10,000 or $100,000? But remember, this funding request is usually for 5 years, not just the next 12 calendar months. This is the outline for what your funding requirements will be, so explain this section clearly, not only in numbers, but where that business funding will be going as well. Specify whether you want debt or equity, the terms you’d like applied, and the length of time this funding request will cover.
Be detailed in your explanation of how you will use your funds, specify if the funds will be for equipment costs, salaries, bills, etc. And always include details of future financial plans.
Financial projections
The goal of this section is to show your investors or financial backing that you are set up for financial success.
Appendix
Graphs, charts, or supplemental information can go in this section.
Contact Probably Funding for a startup business loan.
If you would like to see examples of business plans in your industry, check out Bplans and search for the most relevant companies. But remember, the most important part of any business plan and your business’ success – is business funding. Contact us today to learn more about our startup and working capital loans and alternative business funding.
Disclaimer.
This Probably Funding blog post is purely educational and features general information and opinions. Nothing contained herein is intended to constitute advice or recommendations and should not be treated as such.