Starting up your own business can be a very attractive and exciting thing to do. However, the setting up and running of a business is also a very challenging thing to do. It requires lots of commitment, persistence, organisation and planning. It also involves finding a market that will make you money and finding enough capital to get your business set-up and ready to go.
After you have done your market research into finding a potentially profitable market you need to come up with a business plan. A business plan sets out a road map of what your business is about, what it will achieve how it will achieve it and when. Therefore, the plan will include your business aims and objectives, the resources that will be needed to achieve these objectives and evidence that these objectives are achievable. Depending of the situation a business plan can outline the business objectives based on a year or even up to 5 years.
If you are starting up a business you will more or less need starting up capital and loans to help your business get off the ground. Raising capital will be essential for paying rent, buying office equipment and stock. Unless you have a very rich and generous relative the only place that you are going to get the capital you need will be from the banks. Your business plan primary aim is to convince the banks that you have a viable business to lend you the money to start it up.
When using a business plan to raise money from banks you need to ensure that it is comprehensive and well researched. Not only will they be looking at whether the market you are entering is a viable one they will also be interested at looking at the financial side and your future capability of the business paying back the money that will be lent.
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