How to Write a Business Plan

2 | HOW TO WRITE A BUSINESS PLAN

backers to support your business.

You’ll be more successful in raising

the money you need if you answer all

of your potential backers’ questions.

A complete plan should include the

following elements: Title Page, Plan

Summary, Table of Contents, Problem

Statement, Business Description,

Business Accomplishments, Marketing

Plan, Sales Revenue Forecast, Profit and

Loss Forecast, Capital Spending Plan,

Cash Flow Forecast, Future Trends,

Risks Facing Your Business, Personnel

Plan, Business Personality, Staffing

Schedule, Job Descriptions, Specific

Business Goals, Personal Financial

Statement, Personal Background,

Appendix, and Supporting Documents.

•   Quick plan (one-day plan). If you

know your business, are familiar with

and able to make financial projections,

and have done the necessary research,

you may be able to create a plan in

one day. But understand that a quick

plan is a stripped-down version of

a business plan. It won’t convince

either you or your prospective backers

that your business idea is sound. It is

appropriate only if your business idea

is very simple or someone has already

committed to backing your venture. A

stripped-down quick plan has these

few components: Title Page, Plan

Summary, Table of Contents, Problem

Statement, Business Description,

Business Accomplishments, Sales

Revenue Forecast, Profit and Loss

Forecast, Capital Spending Plan,

Cash Flow Forecast, Appendix, and

Supporting Documents.

QUiCK PLAN

The “quick plan” icon appears at the

beginning of each chapter containing quick plan

components and guides you to the sections

you’ll need.

•   Customized plan. You can start with a

quick plan and add components from

the complete business plan to suit your

needs. When deciding what to include

and what to exclude, ask yourself:

n Which of my statements are the

strongest?

n Which statements do my backers

want to see?

Note that the appendixes contain blank

forms as well as business plans for a small

service business, a manufacturing business,

and a project development. All the forms

(except for the Loan Interest Calculation

Chart) and business plans are included on

the CD-ROM located at the back of the

book. The forms—for calculating sales

forecasts, personal financial information,

profit and loss forecasts, and cash flow

forecasts—are provided in Microsoft Excel

spreadsheet format and include helpful

formulas for making calculations. The “CD”

icon appears whenever forms or business

plans are reproduced on the CD. (Note: