Getting a Loan for Small Business – What You Need to Include in Your Business Plan

Small business loans by ccstbp, on Flickr
Creative Commons Attribution 2.0 Generic License  by  ccstbp 

Your business plan can be in the form of a series of items rather than a formal composition. No matter what the format, you will need to address the information below. 

We Close More Loans for Small Business Than Anyone. We can Close Your Deal in 45 Days. Give me a call today to get your loan closed at 866-400-8630 or 512-650-8630.

a. Describe the business. Be specific! Are the sales seasonal?

b. History of the business.

c. Identify your customers (generally). How do you know the customers will continue to do business with you? If you have a significant customer, (representing 10% or more of your overall business) identify and describe the relationship. How will you retain this customer? 

d. Identify your competition. Who are they, where are they located, what do you do differently or better? How will you keep or increase your market share?

e. Identify the owners, day-to-day manager, key employee(s)

f. Describe the site, the neighborhood, the town. What are the advantages of this location?

g. Resume and/or narrative about each person important to the success of the business. Please brag on accomplishments, skills, and experience. Tell me why you are going to be successful.

We Close More Loans for Small Business Than Anyone. We can Close Your Deal in 45 Days. Give me a call today to get your loan closed at 866-400-8630 or 512-650-8630.

h. Project Costs. Describe each expense related to this project. This will help me get you all the financing you need and the longest term possible on your loan

i. Describe your short (and long) term plans for the business (if any). Are you planning to do anything differently than the past? How will it impact your customer base, your sales, your operating expenses?

j. Projections One year projected business financial statements (Profit & Loss/Income and Balance Sheet). P&L must be projected by month with annualized total and an explanation of how projections will be met and the assumptions used. If this is a start-up or expansion, you will also need to prepare annual projections for the second and third year.

This is a generic list, so not all these apply to every loan. However most of these do. The most important are b,d,f,g,h,and j.

And I usually suggest the client include something visual. A menu. A picture of them in front of their business sign. Company advertising. Anything visual….anything at all. Makes the business plan interesting, and underwriters are people too (we think). They are influenced by visuals.

Hope this helps!!!!

We Close More Loans for Small Business Than Anyone. We can Close Your Deal in 45 Days. Give me a call today to get your loan closed at 866-400-8630 or 512-650-8630.

>

Share this:
Share this page via Email Share this page via Stumble Upon Share this page via Digg this Share this page via Facebook Share this page via Twitter

Tagged as: , , , , , , , , , , , , , ,

Author: admin

Here’s A Little Bit About Me. 20+ years in the finance industry, I rose to the level of Assistant V.P. with Chase Manhattan. While working for Chase, I decided that I wanted to have residual income without having to quit my job. I bought my first apartment building in 1996, three days before my wedding.

In 2001, I decided I would leave the corporate world and work for myself in a net branch environment.

My passions are helping people get commercial mortgage loans. I also am passionate about investing, working out and being with my family and friends.