How to Write a Solid Business Plan

A business plan is an essential roadmap for business success. This living document generally projects 3-5 years ahead and outlines the route a company intends to take to grow revenues.

The essential elements to an effective business plan that will have the flexibility to grow with the success and changes of your business are:

• The Executive Summary
• Company Description
• Market Analysis
• Corporate Structure
• Service/Product Lines
• Marketing & Sales Structure & Plan
• Funding & Financial Projections

Why you need A Business Plan

If you plan to approach a financial institution for a loan, apply for a small business grant, pitch your business idea to investors, or enlist the support of a business partner, a business plan is required. Additionally, potential investors and supporters want to see the true potential of your business idea clearly laid out in hard facts and numbers. A business plan is the best, and generally, the only acceptable way to provide this information.

Business plans help you clarify gray areas because you have specific information decided such as products you will sell and at what price points. A business plan is a useful document for any small business owner. But when you use your business plan as a tool to help you outline action items, next steps and future activities, you are creating a living, breathing document that not only outlines where you are and where you want to be, but also gives you the directions you need to get there.

Learn more about writing effective business plans.  

Valued Representation When Buying a Business & Developing A Business Plan 

VR Business Brokers intermediaries  can assist buyers in answering the following questions that will help to clarify information needed to assemble a solid business plan:

• What is the value of the business? 
• How do I get financing for the business? 
• With whom can I discuss my expected return on investment? 
• When should I get an attorney or accountant involved? 
• How do I get the lease I want?  

By working with VR Business Brokers, you have the advantage of dealing with full-time professional business intermediaries that specialize in buying and selling small and mid size businesses. Each of our VR intermediaries combines his or her experience with the cumulative knowledge of the VR network. 

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From a buyers perspective, due diligence refers to the investigation and verification of information involved in a potential investment or acquisition. 

The acquisition of a business requires a large financial commitment and a considerable amount of time. Therefore, due diligence in proper research such as legal, financial, and operational documents, and confirming the seller representations and material facts pertaining to the business sale are all part of the due diligence process. The facts and figures required to make a smart and well thought out buying decision are critical in order to know what you are getting into and mitigate potential risks and pitfalls.

Prior to receiving any confidential data about the business buyers should be prepared to sign a Non-Disclosure Agreement in addition to providing basic personal, financial, and work experience information to the seller.

A competent business intermediary like those you find at VR Business Brokers are be able to provide guidance in embarking on a due diligence investigation

Due Diligence Steps:  

Step 1:  Exploration

 Get a Due Diligence Checklist.  

The VR Business Brokers Office in  McKinney, TX, a leader in the sale of privately held companies, recently facilitated the sale of Del-Max Restaurant Supply, Inc.

The new owners --also a family--assumed possession of the business on January 6, 2014, and are excited to continue the tradition of superior customer service with fair pricing that the public has come to expect from Del-Max Restaurant Supply, Inc.

VR Business Brokers of McKinney, TX handled all aspects of the transaction, from initial business valuation to marketing the opportunity and providing support through the closing process. Terms of the transaction were not disclosed. "We were very happy that this deal came to us as a referral," said Larry Lane of the VR office in McKinney, TX.  "It is always nice to get the confirmation that people know  we will do a good job and feel confident in sending us clients because they know we will competently and expertly handle the listing."  

In today's business climate, our clients demand quality and professionalism.  We applaud our VR business intermediaries for a job well done!!  Here is a small sample of transactions that have closed across the VR network recently:

Tea Shop  $395,000  Artesia, CA  

Ladies Clothing Store, $375,000, Edmonton, Canada