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By Hernandez at September 03 2019 10:04:21

The plan reflects how you plan to operate your business. How you plan to market your product or services. It provides a financial picture of the company. If you are looking for money to fund your business, you're going to need a plan for your business. When you go to borrow money, lenders and investors are going to want to see written documentation in a business plan of your financial situation. Why do they want to see this information? Lenders and investors want to see this information because they are the ones taking the risk in lending your business money.

A plan like this would show you how much sales your business would need to do, what your fixed and variable expenses would be, what your material cost, labor cost and profit would need to be to provide the income and profit margin you want. You can see pretty quickly if it's possible for you to get your business to that level. I don't know of any better way than to have your business give you the income and profit you want. What's neat is you can determine what you want your income to be and your profit to be over the next few years and develop a plan that can show you exactly what your business would need to do to give you that income and profit.

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