Some companies form divisions based on the types of products or services, geographic location or demographic market sectors.
Explain the daily operation of the business, its location, equipment, people, processes, and surrounding environment. How and where are your products or services produced? What qualities do you need in a location? Describe the type of location you need.
Estimate your occupation expenses, including rent, but also including maintenance, utilities, insurance, and initial remodeling costs to make the space suit your needs. These numbers will become part of your financial plan.
What will be your business hours? Operations and Management Plan Who will manage the business on a day-to-day basis? What experience does that person bring to the business?
What special or distinctive competencies? Is there a plan for continuation of the business if this person is lost or incapacitated?
Board of Directors, attorney, accountant, insurance agent, bankers, consultants, etc. Personal Financial Statement Plan Include personal financial statements for each owner and major stockholder, showing assets and liabilities held outside the business and personal net worth. Owners will often have to draw on personal assets to finance the business, and these statements will show what is available.
Bankers and investors usually want this information as well. Start-Up Expenses Plan This is a research project, and the more thorough your research efforts, the less chance that you will leave out important expenses or underestimate them. Talk to others who have started similar businesses to get a good idea of how much to allow for contingencies.
Explain your research and how you arrived at your forecasts of expenses. Give sources, amounts, and terms of proposed loans.
Also explain in detail how much will be contributed by each investor and what percent ownership each will have. Financial Plan The financial plan consists of a month profit and loss projection, a four-year profit and loss projection optionala cash-flow projection, a projected balance sheet, and a break-even calculation.
More important, the process of thinking through the financial plan will improve your insight into the inner financial workings of your company. Appendices Include anything that you can refer to that will make it easier for investors to read, especially visual brochures, industry studies, blueprints, sketches, letters of support from future customers, market research studies, etc.The following formal business associations require the filing of organizational documents with the Corporations Division of the Secretary of State: Corporation: A legal entity which is created by filing Articles of Incorporation.
The official home page of the New York State Unified Court System. We hear more than three million cases a year involving almost every type of endeavor.
We hear family matters, personal injury claims, commercial disputes, trust and estates issues, criminal cases, and landlord-tenant cases. In my experience, a business plan is not always the long, complex and scary document you think it is.
Depending on your target audience (banks, investors, business plan competition), a business plan can be as simple or complex as you want it.
The list below covers a wide range of businesses. An outline of your company's growth strategy is essential to a business plan, but it just isn't complete without the numbers to back it up.
Business Plan Outline The business counseling organization, SCORE, listed in earlier sections offers resources to assist companies in start-up and expansion stage.
The organization has a particularly good business plan outline, which have reproduced here. The Income Statement is one of the three financial statements that you need to include in the Financial Plan section of the business plan.
The Income Statement shows your revenues, expenses, and profit for a particular period.