Do You Need a Business Plan Template?
A business plan template is a tool that can save business owners time and money when formulating a business plan for their company. A typical business plan typically includes a single document consisting of an overview of the company, the market, the individual business’s goals and objectives, a description of the company, and a series of estimates for the short and long term future. The resulting document may serve as the business blueprint and be provided to investors or lenders if equity or debt financing is required for the startup of the business. Most successful businesses have used at least one template to outline their business plans. The use of a template enables entrepreneurs to more easily come up with an accurate description of their company and allows them to adjust its details as they grow the business.
Unfortunately, not all business plan templates contain all of the key elements necessary to create sound business plans. Many of these “free” business plans do not provide a clear sense of direction, do not include key employees’ bios, do not address potential financial funding sources, do not provide information on selling and leasing options, do not provide information on how to calculate depreciation and amortization, and do not provide a list of key contacts and vendors. These are all important to the investor and would greatly enhance the success of your business.
A well-designed and properly utilized business plan template often has all of these key elements. However, a template that does not have each of these elements is usually a very poor option. A good way to determine which templates have these necessary aspects is to read the complete business plan and ask questions. Ask the attorney for the plan to be downloaded in a Word Document and see if the attorney provides a download link to the entire document. If so, then the template is a great choice.
Another aspect of using a free business plan template is that many investors prefer to have more than one investment option. For this reason, investors often look for a template that provides several investment options, such as penny stocks, commercial real estate investment, venture capital, etc. As with the above categories, look for a download link when purchasing a template. Most investors do not need to know all of the details associated with each option, but having this additional information could help you in your negotiations with a potential funding source.
A startup company needs more than just an idea. Investors need to know that the company is stable, has a viable business plan, and has experienced personnel to help guide the new business through its first few years. These are also some of the things that an investor looks for in a new business idea. A startup company needs more than a simple business plan template to be successful. It takes time, hard work, dedication, and determination to grow a successful startup.
A startup is not due to arrive on the scene tomorrow. Entrepreneurs need to realize that they will be working for some time to develop a market for their product or service. Many companies focus on developing their key employees early in the company process. If you have decided to start a business, take the time to consider whether the time and effort involved in developing a market for yourself is worth the investment of time and money for a startup company.