Owner's Check-List

BUSINESS PLAN CHECKLIST

Background Work

• Assess Your Strengths and Weaknesses • Establish Business and Personal Goals • Assess Your Financial Resources • Identify the Financial Risks • Do Market Research • Identify Your Customers • Identify Your Competitors • Develop a Marketing Plan • Decide on Your Business Location • Develop a Business Plan • Estimate the Start-Up Costs

Business Transactions

• Select a Lawyer • Choose a Form of Organization (e.g., Proprietorship, Partnership, Corporation) • Select an Accountant • Select a Banker • Set Up a Business Checking Account • Apply For Business Loans • Establish A Line Of Credit • Select an Insurance Agent

First Steps

• Review Local Business Codes • Obtain a Business License Or Permit • Get a Federal Employer Identification Number • Get a State Employer Identification Number • Get Federal And State Tax Forms • Join a Professional Organization • Get Business Cards • Get Furniture And Equipment • Obtain a Lease • Obtain Business Insurance • Line Up Suppliers • Set a Starting Date Financial Plan

 Financial Assumptions  Forecasted Startup Budget  Forecasted Twelve Month Cash Flow  Forecasted Five Year Cash Flow Analysis  Forecasted Five Year Income Statement  Forecasted Five Year Balance Sheet  Forecasted Break-Even Analysis  Sources and Uses of Funds Statement o Start-Up Expenses o Source of Funds o Use of Funds  Personal Financial Statements o Net Worth o Income Statement o Cash Flow Forecast  Business Financial Statements o Net Worth o Income Statement o Cash Flow Forecast  Personal Tax Returns  Business Tax Returns  Business Loan Parameters

Documents

 Letter of Intent  Purchase & Sale Agreement  Bank Letter of Commitment  Lease  Area Demographics  Business Profile  Competitor Analysis  Labor Force Profile  Equipment List  Personal Resumes

 Analysis of the Risks and Rewards  Risk Analysis  Strategies to Address Risks  Go to small business seminars  Talk to other business owners  Get information from trade associations, books, and magazines.  Don't rush. Develop a thoughtful business plan.  Don't rush decisions on locations.  Ask other business people or qualified business counselors to review your plan.  Focus your efforts.

Finally:

Ask Yourself:

What would be Success at the end of the 1st Year?

What would be Disaster?

What are the six MOST IMPORTANT things to have happen in the 1st year?

What are the two WORST things not to have happen in the 1st year?

Practice

"Your Sales Talk"