Business Plan Financial Plan
Financial Business Plan Writing Service to Keep Your Business Ahead
Whenever you are creating a business plan, you need to pay close attention to its financial section. This section is crafted after conducting extensive market research, describing various product attributes, devising a marketing strategy, and setting operating principles. This part of your business plan is oriented towards investors who may be attracted to your business idea.
Putting together a financial business plan that’s professional and appealing can seem like an intimidating task to you. In fact, it can be a real challenge, especially if you haven’t got a degree in accounting or attended a business school. This lack of knowledge can cause you to miss out vital elements of a financial plan, which should ideally include the following:
- Cash flow statement: As a savvy- business owner, you should be able to estimate your cash flow on a monthly, quarterly and annual basis. Doing so allows you to get ahead of any financial challenges.
- Profit and loss statement: This is fundamentally an explanatory document that shows how your business will make a profit (or incur a loss) over a certain period of time. It should include your revenue, your “cost of goods sold,” and your gross margin.
- Sales forecast: You should also have a clear projection of your sales revenue for every month, quarter and year. Monitoring any patterns in your sales cycles will help you better plan out marketing initiatives and growth strategies based on business performance data.
- Balance sheet: Assets and liabilities are the crux of your financial business plan’s balance sheet as it is the chief determinant of your net worth. Tracking both your assets and liabilities will help you ensure that you are increasing your business’s potential value.
- Personnel plan: Depending on the type of business, you need to develop a personnel plan that describes each member on your management team, clarifying how they affect your business in terms of expertise, training, and product or market knowledge.
- Break-even analysis: This section of your financial business plan analyzes fixed costs in relation to the profit made by producing and selling each additional unit of your product. This is vital to weigh your venture’s revenue and potential costs against profits from growing your output. At the same time, a break-even analysis can help you determine the number of units you would need to sell at various price points to cover your costs.
In general these sub-points should be always included in a sound business plan:
- Investments / Capital Needs
- Interest & Down Payments
- Sales Forecast
- Material Costs
- Operating Costs
If you are feeling at all intimidated by the business plan creation process, then you can get in touch with us at businessplan.org. We have been providing business plan writing services to hundreds of businesses and possess years of experience in the field.
Why is the financial plan section of a professional business plan so important and complex?
The purpose of a financial business plan is felt mostly when you wish to communicate the viability of your business to your investors. You will have to pay attention to this section if you wish to get funding from angel investors, venture capitalists, or even a financially savvy family member or friend.
These financers look for data that show how your business will grow. It’s only when you have the financial section in place that you will be able to convince them about your rate of growth and profit-making opportunities.
But the most important reason to compile a financial business plan is for your own benefit; it lets you see how your business will perform. Many successful business owners believe that this is a living document. It should act as a guide to running your business.
Businessplan.org is your ultimate stop for business plan writing services, including the essential financial plan. You can take a look at our sample business plan here to know more about our work: