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

By Linda Pinson

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

Sample text

This worksheet is intended as a guideline for writing a location (site) analysis. Legal Structure Describe the legal structure you have chosen and explain why it is the most advantageous for your business. Name the owners or corporate officers, highlight their strengths and weaknesses, and include resumes of each one in the Supporting Documents section of your business plan. If you anticipate changing your legal structure in the future, make projections regarding why you would change, when the change would take place, who would be involved, and how the change will benefit the company (for example, if your exit strategy is to form an IPO).

Project peak production times and determine when money will be needed for key purchases. Address quality control and after-sale service activities. Describe your production equipment and other product assets in terms of what you already own, what it is valued at, what you plan to purchase, and how much it will cost. Again think in terms of dollars. Purchase prices and depreciation on assets owned by your company will end up as balance sheet items in the Financial Documents section of your plan.

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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