We recommend our entrepreneur clients who are raising capital to develop a formal business plan in order to demonstrate to potential lenders and investors that he or she and his or her team have thought through the main points and nuances of the businesses potential success or failure.  The business owner that researches and makes realistic assumptions about the business in a systematic way is at a great advantage.

Business plan should include:

  • Executive Summary
  • General Company Description
  • Products and Services
  • Marketing Plan
  • Operational Plan
  • Management and Organization
  • Financial Statement or Pro Forma
  • Business Risks
  • Business Assumptions

Business plan should describe:

  • The choice of business entity in which the company will operate under
  • A market analysis showing an in depth understanding of the industry and the primary target market
  • The origin of the new business, its advantages and an outline of the developmental stages
  • The business products and/or services, key components and elements of its trademarks and other intellectual property
  • Developmental research
  • The business sales
  • The marketing strategies
  • Distribution channels
  • Promotional activities and sales force

Business plan should identify:

  • The company’s ownership structure
  • Highlight the company’s managers
  • Key employees’s backgrounds, educations and business experiences
  • Operational and business elements that may effect success or failure of the company
  • Relevant financial data and analysis

Writing a business plan allows the business owner to identify the new business' strengths and weakness and enables her to develop a strategy for the business's future growth and success.

Business-PlanAlthough a business plan tends to be overly optimistic and often contain unrealistic financial projections, writing a business plan encourages the new business owner to identify the new business’ strengths and develop a strategy for the business’s future growth and success.  The business plan is a way to turn ideas into real business practices, products, and services. Also note, however, that if a business plan is distributed to a prospective investor in a capital raising effort, the entrepreneur could be subject to liability under the securities laws for any fraudulent or misleading statement.