BUSINESS PLAN WORKBOOK

Business Plan
Workbook Steps
Step 1: Products & Services
1) Describe your products and services
2) Who will supply you with that product or material
3) Describe any special technology or intellectual property that is important
4) Attach sales brochures you might have developed
5) Discuss any future products your firm will launch.

Step 2: Break Even Analysis (Describe how you can make money)

1) Prepare a breakeven analysis

a) Determine the average unit of sale for your product or service. If you have
several, do it for each one.
b) Determine what direct (variable costs) will go into each average unit of sale.
c) Your Gross Profit = a –b. Your Gross Profit Margin = Gross Profit/a.
d) Itemize all your ongoing overhead expenses such as rent, insurance,
advertising, employees, loan payments, utilities, phone, ect.
e) Fixed Overhead = the total of all items in d.
f) Break Even Volume = e times your Gross Profit Margin.
g) The number of units you have to sell to break even = Break Even Volume
divided by average unit of sale.

(To determine how much volume and units sales you have to have to meet your goal, add
the profit desired to the Fixed Overhead total and then follow steps f & g)

Step 3: Marketing Analysis & Plan (How you plan to achieve your Volume Goals)?
1) Specify the geographical area your plan to serve
2) Discuss Target Markets
a. Needs of Market
b. Specific Target Market Trends
c. Growth cycle
d. How your firm will find a niche in this market
3) Review Industry Trends
a. Detailed description of Industry
b. Overall trends
4) Competition
a. Describe the main competitors you have.
b. What competitors have you visited and what have you learned? Why have
they been successful or failed? Where does your firm fit in?
5) How will you drive business to your firm?
6) What is your specific marketing outreach plan?
7) What is your timetable for launch?
8) List specific marketing milestones you have established for growth.
 9) List major clients you already have or key prospects that you will quickly convert
to new business revenue.
10) Some Good Resources for marketing research include: Reference USA (library
data bases), www.census.gov and local governments (traffic counts & other
demographic information.)

Step 4: Company Information

1) Ownership and Legal Form of Business (LLC, Corporation, Proprietorship,
Partnership)
2) Company History and Purpose
3) Details on the owner’s background and talents that will support your plans for
future success.
4) Company location and facilities

Step 5: Management
1) Provide details on how your company will be managed including organizational
structure.
2) Key People. Include a brief bio on each
3) For Start Ups. Include reference letters that support your ability to perform and
accomplish success.
4) Details on ownership continuity and other benefit plans.

Step 6: Sources and Uses of Funds

1) Detail amount of money you are planning to borrow or raise.
2) Detail how much you plan to invest in your company or already have as equity.
3) List the Used for these funds that you plan.

Step 7: Supporting Financial Details

1) Include a Balance Sheet and Profit and Loss Statement for your last FYE and
latest quarter.
2) For Start Ups – prepare an opening Balance Sheet that shows your equity
investment and any other assets you plan to inject in business (form attached).
3) Attach copies of 3 years of company and personal tax returns.
4) Run a credit report on yourself and plan to discuss any problem areas.
5) Prepare a Personal Financial Statement on Each Owner (form attached).
6) Prepare a cash flow worksheet (form attached). Two years are desirable.

Step 8: List key assumptions underlying your future success.

Step 9: Prepare the actual Business Plan using the above information and following
the attached outline.

Step 10: Prepare one page Executive Summary of your plan.

 BUSINESS PLAN OUTLINE
I. Executive Summary

II. Company Information

III. Products & Services

IV. Market Analysis & Implementation Plan

V. Management of Company

VI. Supporting Financial Information

VII. Key Plan Assumptions Leading to Success

VIII. Sources and Uses of Funds

 Balance Sheet

As of:

Assets $
Current Assets:
Cash
Marketable Securities
Accounts Receivable (Net)
Total Current Assets

Fixed Assets:
Property and Equipment
Buildings
Land
Less: Accumulated Dep.
Total Fixed Assets

Other Assets

Total Assets

Liability and Equity

Liabilities
Current Liabilities:
Accounts Payable
Notes Payable
Taxes Payable
Other: ________
Total Current Liabilities

Non-Current Liabilities:
Long-Term Debt
Other: ________
Total Non-Current
Liabilities
Total Liabilities

Equity:
Stock (Capital)
Retained Earnings
Total Equity

Total Liabilities and Equity

 PERSONAL FINANCIAL STATEMENT
As of ____________, 20 ____

Complete this form for: (1) each proprietor, or (2) each limited partner who owns 20% or more interest and each general partner, or (3) each stockholder
owning 20% of voting stock, or (4) any person or entity providing a guaranty on the loan.

Name Birth Date

Residence Address Residence Phone
City, State, & Zip Code Business Phone
Business Name of Applicant/Borrower
ASSETS (Omit Cents) LIABILITIES (Omit Cents)

Cash on hands & in Banks…………………….. $_____________ Accounts Payable……………………………. $_____________

Savings Accounts………………………………. $_____________ Notes Payable to Banks and Others………….. $_____________
IRA or Other Retirement Account…………….. $_____________ (Describe in Section 2)
Accounts & Notes Receivable………………… $_____________ Installment Account (Auto)……………………. $_____________
Life Insurance-Cash Surrender Value Only….. $_____________ Mo. Payments $_____________
(Complete Section 8) Installment Account (Other)…………………… $_____________
Stocks and Bonds……………………………… $_____________ Mo. Payments $_____________
(Describe in Section 3) Loan on Life Insurance…………………………. $_____________
Real Estate…………………………………….. $_____________ Mortgages on Real Estate……………………… $_____________
(Describe in Section 4) (Describe in Section 4)
Automobile-Present Value……………………. $_____________ Unpaid Taxes……………………………………. $_____________
Other Personal Property……………………… $_____________ (Describe in Section 6)
(Describe in Section 5) Other Liabilities………………………………….. $_____________
Other Assets…………………………………… $_____________ (Describe in Section 7)
(Describe in Section 5) Total Liabilities………………………………….. $_____________
Net Worth………………………………………… $_____________
Total $_____________ Total $_____________

Section 1. Source of Income Contingent Liabilities

Salary…………………………………………. $_____________ As Endorser or Co-Maker………………… $_____________

Net Investment Income…………………….. $_____________ Legal Claims & Judgments…………………. $_____________
Real Estate Income…………………………. $_____________ Provision for Federal Income Tax………….. $_____________
Other Income (Describe below)*………….. $_____________ Other Special Debt………………………….. $_____________

Description of Other Income in Section 1

______________________________________________________________________________________________________________
______________________________________________________________________________________________________________

*Alimony or child support payments need not be disclosed in “Other Income” unless it is desired to have such payments counted toward total income.

(Use attachments if necessary. Each attachment must be identified as part of this statement and signed.)
Original Current Payment Frequency How Secured or Endorsed Type of Collateral
Name and Address of Noteholder(s) Balance Amount (monthly, etc.)
Section 3
Number of Shares Name of Securities Cost Market Value Date of Total Value

Section 4 (List each parcel separately. Use attachment if necessary. Each attachment must be identified as a
part of this statement and signed.)

Property A Property B Property C

Type of Property

Address

Date Purchased

Original Cost

Present Market Value

Name & Address of Mortgage Holder

Mortgage Account Number

Mortgage Balance

Amount of Payment per Month/Year

Status of Mortgage
Section 5 (Describe, and if any is pledged as security, state name and address of lien holder, amount of lien, terms of payment
and if delinquent, describe delinquency)

Section 6 Unpaid Taxes (Describe in detail, as to type, to whom payable, when due, amount, and to what property, if any, a tax lien attaches)

Section 7 Other Liabilities (Describe in detail)

Section 8 Life Insurance Held (Give face amount and cash surrender value of policies - name of insurance company and beneficiaries)

I authorize Lender to make inquiries as necessary to verify the accuracy of the statements made and to determine my creditworthiness. I certify the above and the state-
ments contained in the attachments are true and accurate as of the stated date(s). These statements are made for the purpose of either obtaining a loan or guaranteeing a
loan. I understand FALSE statements may result in forfeiture of benefits and possible prosecution.

Signature: Date: Social Security Number:

Signature: Date: Social Security Number: