Steps to writing business plans when securing a business loan from creditors

Written By Steps To Faculty Published April 30th, 2010

Business owners always face one daunting task-the business plan. Obtaining business loans require that a solid business plan be presented to lenders for their perusal. Now that you have determined the type of loan sourcing your business needs, it is time to write a business plan that demonstrates you know what you intend to do in the business world.

Step 1 Detail your business

Lenders need to understand what your business is about, the course of action you intend to take to meet your firm’s mission and sales objectives and how much financing will be required to achieve this aim. Logically, creditors would like to know how their money is being spent, what the funds are being used for, and when to expect a solid return on their investment. In like manner, as a business owner looking to start-up a business or obtain another round of business loans, a business plan is the foundation for which your firm operates and can mean the difference between success and failure. There are some entrepreneurs that claim to have started a business without a plan, however, this number is small and these owners may not have been seeking business credit.

Step 2 Keep it simple yet convincing

A business plan must be convincing, concise, and yet simple to be effective enough for a lender to consider investing funds and time into your business. This makes sense. If you cannot answer the basics of what your business is about, who will be your target audience, where your business will operate and serve, when your business will begin, and why your business exists, then your idea is not going to be fruitful for a long time and may not survive after the first year. The plan must be written in a language that is professional yet easy to follow by any lender, regardless of their business background.

Step 3 Get a professional

Once you have polished up your business plan have a professional review the proposal to ensure there are no errors and the language is as sharp and detailed as possible. Although there are many sites online that offer professional business plan services, some of the best are thebusinessplanwriter.com and businessplans.com.

Remember you only get one chance to impress a lender.


Roger Due

Investing in Your Destiny® & Coaching Program - Wealth Building Summit Dallas, Texas

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