As women professionals and business owners, every one of us should be working with a business plan. To me, this is a workable, upgradeable document that explains in some detail your plans to develop a financially successful business. This is important for two reasons:

1. Preparing a business plan forces you to think through every aspect of your business. If you need outside money, your business plan will be one of the first things the lender or investor will want to see.

2. A business plan helps serve as your road map and assessment tool.

A good business plan contains an executive summary. This includes:

Introduction
• A detailed description of the business and its goals.
• Outlines ownership of the business and the legal structure.
• Lists the skills and experience you bring to the business.
• Highlights the advantages you and your business have over competitors.

Marketing
• Showcases the products and/or services your company offers.
• Identifies customer demand for your product/services.
• Explains how your product/services will be marketed.
• Pricing strategy.

Financial Management
• Your source of and the amount of your initial capital.
• Monthly operating budget for the first year.
• Expected return on investment and monthly cash flow for the first year.
• Projected income statements, balance sheets for a two year period.
• Personal balance sheet and your compensation.
• Outlines who will maintain accounting records and how they will be kept.

Operations
• Explains how the business will be managed on a day-to-day basis.
• Outlines hiring and other personnel procedures.
• Insurance, rent, and other business license issues.
• Account for equipment necessary to produce your goods or services.
• Account for production and delivery of your product/service.

Summary
• Your summary should contain your business goals and objectives as well as your commitment to the success of your business.

When using a business plan to borrow money, remember the lender or investor wants to know three things:
1. How much will you need.
2. For what purpose.
3. How will they be paid and how long will it take.

Remember, business plans need to be updated with market and business objectives. Use this valuable tool as your roadmap to success!

Lisa Bromma