How To Plan Your Business

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It should also include the percent ownership that each owner has and the extent of each owner’s involvement in the company.

You can also discuss current or pending trademarks and patents associated with your product or service.

“They know what you can expect sales to be for that type of business in that market,” Allen says.

“If you walk in with a sales forecast 50% higher than other businesses, they are going to know that you are not being realistic, and that’s going to work against you.” Keep it concise: All you need is 15 to 25 pages for a good business plan, as long as the plan is clear, concise and contains all of the relevant information, Allen says.

Appendix Business plan tips and resources This is the first page of your business plan.

How To Plan Your Business Volunteering Essays

» MORE: Best loans for working capital [Back to top] Here, you’ll list your business’s legal structure — such as a sole proprietorship, partnership or corporation — as well as key employees, managers or other owners of the business.

However, if you’re an existing business seeking small-business loans, you’ll want to include income or profit-and-loss statements, a balance sheet that lists your assets and debts, and a cash flow statement that shows how cash comes into and goes out of the company.

You may also include ratios that highlight the financial health of your business, such as: [Back to top] This is a critical part of your business plan if you’re seeking financing or investors.

Focus on the key elements of your business plan and avoid getting too bogged down by the technical aspects of your business or using too much industry jargon.

You can always put supporting information or other important details in the appendix.

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