Applying for a small business loan can be a time-consuming process that increases your anxiety; however, if you take the time to fashion a checklist of efficient actions, it can go very smoothly. This blog provides you with a list to feel confident about acquiring the business funding that you need.

Incorporate Business Funding Into Your Business Plan

First and foremost, when you are constructing your business plan/model, be sure to incorporate funding into every aspect. This helps prevent future cost overruns, as well as lets you calculate the monthly payments for which you’ll be responsible. Even more importantly, a good business plan is essential for getting approval from a lender. Banks, in particular, won’t even consider extending your business funding without one.

Contents of the Draft for Business Funding

If you aim to seek professional help in crafting your business plan, it is best that you first construct a draft, and that it has the standard elements. The executive summary, for example, should be first – it should include an overview of what’s to follow in the rest of the plan. You can do this last, after jotting down notes for what short subsections of the summary will contain.

Business Overview Section

Next is the business overview section, which details the products or services you intend to sell. Additionally, there should be legal details concerning the type of company (sole proprietorship, LLC, partnership, etc) and legal status. Include company goals – both short-term and long-term.

Market, Competition, and Trends

You must assess the market when writing your business plan – the state of the customer desire for your product/service will, in large part, determine whether you can acquire the necessary business funding. An understanding of global trends in your industry will factor into this, as well as the online and offline competition that exists.

Closing out your business plan for business funding will be a section on how you plan to market your product/service, as well as what strengths it has vs any discernible weaknesses. There are additional sections on management, personnel, financial projections, and even an exit strategy – these can find a place as subsections of market analysis. For help crafting a viable business plan to obtain business funding, drop us a line at KPI Commercial Capital.