A business plan is an outline or road map for your new business. It tells what it is, where it is, how it will operate and whom it will serve. It includes information about your customers, your employees, and you. It explains something about the industry you will be a part of and briefly explains the market for your product or service. It expresses these things with both words and numbers.The numbers of a business plan are especially important, for they translate the anticipated activities of the business into the language common to all business. If your business plan will be viewed by bankers or other financial types, your income statements, balance sheets and cash flow statements will take center stage. You will use them to paint a picture of your businesses near term financial future.
Yes, you need one. You need one for your own use and you may need one for others: partners, investors, bankers, relatives, employees, etc. They are great tools for analysis and they help in communicating with others. Bankers usually insist on them when considering loan requests. Investors wonâ€t work without them.
Business plans take many forms and can be brief or lengthy, informal or formal, optimistic or pessimistic, and typed or hand written. The important thing is that one exists. A TVCC SBDC Business Advisor can assist you as you develop your Business Plan. Contact us today to schedule a meeting to discuss your business goals!