Hey guys. I’m opening a new shop in Michigan, but I need to make a business plan and I know that it is a critical part of the whole thing. Especially since I need loans. Can anyone suggest somewhere where I can get either help with a business plan or some program that worked well for them. I’m writing mine right now but I want it to be as official as possible.
The information gathering is an important part of the process. While you gather the information you need to understand that your plan is not a crystal ball but rather a realistic guess as to what you expect the business to do. Don’t fall into the trap of thinking you will out perform those who have been established in the business in your area because you are new and have a fresh approach.
Be conservative in your sales estimates and generous with your cost expectations. In other words plan for less sales than you think you can do and plan for more expenses than you think you will have.
Agreed 100%. I think the break even analysis is the most important part of the BP. If it seems too easy to make a profit, then your estimates are probably off. In this business climate, it’s not that easy to make a profit; especially as a start-up. IMHO.
I do this quite a bit as a SCORE couselor. I can tell you that your relationship with the lendor is a LOT more important than the business plan.
Keep youor presentation down to 3-4 pages. Bankers will not read any more than that.
Contact your local SCORE chapter. Ask for a referral to someone with small business, or even better, restaurant, experience. A retired IBM executive can be helpful, but someone that understands YOUR business is better than someone who just understands business.