Business Plan Financial Section Example

Instead of looking at what’s already happened, you make projections for the coming months, forecasting income and outlays.Your projections will act as an early warning system, helping you to plan for cash flow dips, identify financing needs and pinpoint the best timing for projects.Your purpose here is to show the reader of your business plan that you have a thorough knowledge of the people you are planning to sell your goods and/or services to - so thorough that you can make educated predictions about how much of your goods and/or services they might buy.

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Generally, in a business plan, you want to "put your best foot forward".

So if, for instance, you have a stellar group of people serving on your new business's advisory board, by all means, put that section directly after the Executive Summary.

(In the case of a new business, this last document will be a cash flow projection.) The instructions on writing the Financial Plan section will show you how to prepare all of these documents.

In addition to the sections outlined above, at the end of your business plan you will also want to include any additional information that will help establish the credibility of your business idea, such as marketing studies, photographs of your product, and/or contracts or other legal agreements pertinent to your business. The Executive Summary, being an overview, needs to come first.

If you work through each section of this outline, in the end you'll have a complete, well thought out business plan that you'll be able to submit to a financial institution in order to request a loan or to potential investors for equity financing in your business.

While appearing first, this section is written last.

This article explains how to outline a business plan, listing the sections in the order in which they will appear in your completed plan with a brief explanation of each section to help you get organized and guide you through the process.

In each case, following the section title link will take you to an article that details how to write that particular section of the plan, while in some cases, there are also linked examples that you can use as models to write that section.

It can be useful to include various scenarios—most likely, optimistic and pessimistic—for your projections to help you to anticipate the impacts of each one.

It may be a good idea to seek advice from your accountant when developing your financial projections.

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