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Free Business Plan Sample 2021

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Joyann Charlotte October 8, 2021 Business Plan

A. An executive summary. An executive summary is simply a short introduction of the main points in the business plan template. This overview provides a brief explanation of the entire proposal. It may briefly address why the entrepreneur believes that their company has unique qualities and/or opportunities, why they think their business could be successful, and what type of business they plan to start. While it is not essential, an executive summary is a key aspect of the whole document and should be written promptly following the submission of the business plan template. If an entrepreneur includes too many high-level points, it may seem like he is fluffing up his pitch for funding rather than providing enough information for potential investors.

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Most business plans will contain, at a minimum, a statement of financial risk, identifying specific types of risks to the company's long-term viability, as well as a description of the company's business model. All of this information will help prospective investors to make an informed decision on whether or not they should invest in your company. Long-term investors tend to be sophisticated and focused on the company's ability to generate strong profits and manage its short-term debts, as well as the ability to remain financially viable while doing so. Because these long-term investors are interested in not only your overall success, but the longevity of your company's structure as well, they will have additional questions for you when preparing your formal business plan.

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Your business plan outline needs to include a balance sheet, too. The balance sheet will show the true or actual value of your assets and liabilities. As you develop your strategy, it will be important to maintain an accurate balance sheet so that your management team know what financing sources are available to make good investments. In addition to the balance sheet, you may want to include a statement on your cash flow. You can describe potential funding sources and how they will impact your bottom line. A cash flow statement is particularly useful for investors because it shows their exact view of the company's ability to generate cash within the allocated funding amount.

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As capital is raised, the balance sheet will become much more transparent, as well as the exact nature of the financial projections. In general most financial projections will cover a full year of operation. The reasons for this are not only to give realistic expectations regarding revenues and expenses, but to provide a baseline for comparison over the entire twelve or more months the business will be open. All of this information allows the business plan to be reviewed by members of the investment community and prospective investors. Having an accurate forecast of operating, investing, and financing costs will allow these individuals to make informed decisions about whether or not to invest in the company, as well as giving an accurate picture of the company's future profitability and viability.

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Business plans are a fundamental part of any successful business. A business plan is essentially a formal written document detailing the plans and objectives of an organization, the plans for achieving those objectives, and the anticipated time frame for success of those plans. This document is used to guide investment and management decisions, and is especially useful in an environment where organizational goals must be achieved in a reasonably timely manner.

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In addition, financial projections are an important part of developing a Business Plan Template, as they give potential investors a picture of how much money you plan to spend and how much profits you anticipate. These are critical elements because many investors are impressed when they see a well-designed Business Plan and receive the idea that you have a plan to succeed. If they believe you, then they are more likely to invest in your company. However, financial projections are only part of the total Business Plan, as the other three primary sections - marketing, the business model, and financing - are equally important to your success.

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