Anatomy of a Business Plan: A Step-By-Step Guide to Building by Linda Pinson

By Linda Pinson

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Additional resources for Anatomy of a Business Plan: A Step-By-Step Guide to Building a Business and Securing Your Company's Future, 5th Edition

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Do you have current relationships with associates who will serve as advisors in various capacities? If you have formed a partnership, explain why the partners were chosen, what they bring to the company, and how their abilities complement each other. Show their experience and qualifications by including copies of their resumes. Include a copy of your partnership agreement in the Supporting Documents section. Your agreement should include provisions for partners to exit and for the dissolution of the company.

4. Price for profits. The goal of your business is to make a profit. Many start-up businesses fail to make a profit as early as projected because they didn’t price properly. Know what your competition charges, and determine if you should be less than, equal to or higher priced. Be sure for product pricing that you have covered your materials, labor and overhead costs. Don’t forget shipping, handling or storage in the total price. Service, like consulting, can be difficult to pinpoint. Some products and services will fall into an hourly rate structure; others are better-suited to a service fee.

Now expand on each reason and back up your statements with a physical description of the site and a copy of the lease agreement. Your lease or rental agreement will contain the financial information needed for monthly cost projections for the Cash Flow statement. The value of property owned will be transferred to a balance sheet in the Financial Documents section. If you are a new business, you should plan for associated costs such as utilities, improvements, office furniture, and equipment. Give background information on your site choice.

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