Demand for Liquor & Procedure for Obtaining Business Loans for Liquor Stores

Liquor retailing is a business that has a steady demand throughout the year. If your store is in a good location, you will have a constant stream of customers. You are sure to do brisk business if you stock a wide range of products and build a reputation in the area where you operate. Unless…

Liquor retailing is a business that has a steady demand throughout the year. If your store is in a good location, you will have a constant stream of customers. You are sure to do brisk business if you stock a wide range of products and build a reputation in the area where you operate.

Unless you plan to put your own money into the business, you will have to apply for liquor store financing for purchasing a suitable store as well as for stocking it with an adequate volume of inventory.

SBA financing – The US Small Business Administration (SBA) is possibly the best source for meeting the entire range of requirements for liquor store financing.

The flag 7 (a) loan program can be used for several purposes, including purchasing real estate, furniture and fixtures, and even for establishing a new business. Money sourced through this program can also be utilized to buy inventory.

The other major SBA loan program is the CDC / 504. Its use is restricted to purchasing real estate and equipment.

Whichever SBA loan you opt for, you can be assured that you will pay the lowest rate of interest and also enjoy an extended repayment period.

But these loans do have several downsides. It is very difficult to meet the credit criteria that the SBA stipulates. Additionally, you would need to wait many weeks for an approval.

Bank loans – A bank loan could also be a good source to meet your liquor store financing needs. These traditional commercial lenders charge reasonable rates of interest, a factor that would enhance your cash flows and help you run a successful business.

Unfortunately, banks consider liquor store financing to be a high-risk area. Unless you are able to provide adequate collateral, you would find it difficult to get funding from this source.

It is also likely that you would have to furnish a personal guarantee, along with a list of the assets that you own. In the event that you default on your bank loan, there is a likelihood that you could lose your home because of the guarantee that you have provided.

Alternative lenders – There are a number of marketplace lenders that are open to advancing money for the purpose of liquor store financing.

These lenders enjoy several distinct advantages over bank loans. As they use an online application process, it is very easy to apply. There is no need to complete lengthy forms and submit copies of documents.
All you need to do is enter some basic data onto the lender's website. An algorithm will process your information and convey a credit decision instantaneously. In fact, it is possible to receive loan funds within a few days of applying.

If you plan to take liquor store financing from an online lender, remember that the interest you will pay is likely to be substantially higher than what you would pay for an SBA loan or a bank loan.

But these financial institutions do not have cumbersome procedures. Their credit appraisal techniques are also not as stringent as those followed by banks.

Making a success of your liquor business – Running a liquor store is not easy. Gross profit Margins are not very high, but you are required to maintain sufficient quantities of stocks, a factor that will increase your interest costs.

You would need to pay a great deal of attention to your working capital and cash flows if you want to maintain your profitability.

In addition to locating your store at a high-traffic location, it is important that you have some knowledge about the different products you sell. This will help you gain a loyal customer base and contribute to the success of your liquor store.

Let Technology Help In Getting Your Commercial Loan Application Approved

Every loan rep or a broker must know the significance of timing. The timing must be opportune; because if that is not the case, the deal will never float to completion. So we can say that timing is closely associated to getting the loan approval letter issued in no time. However, what must be done…

Every loan rep or a broker must know the significance of timing. The timing must be opportune; because if that is not the case, the deal will never float to completion. So we can say that timing is closely associated to getting the loan approval letter issued in no time.

However, what must be done when the borrower is not at all able to get the needed docs on time? Does that mean a long wait until everything gets approved? No. However, it will always involve a little hard work on your, the borrower's, part.

Today, in the age of the Internet, information can be accessed in no time; so you will have to leverage this particular piece of information technology to get your bridge loan or any other commercial property funding approved. However, many know little when it comes to leveraging the Internet in such a way that will expedite the loan-approval process.

Property pictures

One of the key items that every underwriter will need is the pictures of a property. There is no reason at all to wait for a borrower to give you property pictures. Rather, it has become way too simpler to find property pictures, now, by using Google Earth.

Here you can get your property's aerial views as well as the street views. So a click here and a keystroke there will get you your pictures that must be sent to the underwriter. However, it is still better to watch out as some pictures may be out of date. Which is why it becomes very important for you to note the date that is mentioned with the picture. If, however, you are submitting old property pictures to a lender, it will be best for you to update your lender and confirm the lending party that updated pictures will be provided once the loan-approval process is initiated.

Property details

Again, this is the second most important item that every underwriter will require for pushing your loan application one step farther in the loan-approval process. For example, if the borrowers tell you that there is an industrial building on the promises, but they are unable to dig up the information related to it, then you must not wait for them to provide you the details (such as the parcel size or the square foot value).

Also, do not whittle time away if you are unable to find the info for yourself. You can get the help of another wonderful fragment of information technology that goes by the name of LoopNet. This tool is one of the best ways to find all the reports associated to a property's history, sq. footage, parcel size, tenants, the land's tax history, etc. And what is the best part-it is, indeed, free to use. Plus, the tool even has a set of filters that can help you to differentiate good deals from the bad ones.

So when it is about getting to pass your applications for commercial bridge loans, it will be apt if you can provide the relevant information (related to property pictures and other technical details) on time. And, now, you can provide such relevant info at the push of a button.

Finding Right SBA Loan For Your Business

Whether you are thinking of starting a business or you are already running one, money is your lifeline. Small businesses have financing as a major factor in keeping their businesses afloat and sometimes getting funding for the same proves to be most beneficial for them. Small Business Administration, SBA, helps piece it together for the…

Whether you are thinking of starting a business or you are already running one, money is your lifeline. Small businesses have financing as a major factor in keeping their businesses afloat and sometimes getting funding for the same proves to be most beneficial for them. Small Business Administration, SBA, helps piece it together for the small businesses. It offers them the funding that they need to operate the businesses and even grow them.

This is a federal government agency that has come through for many small businesses. Instead of lending the money directly to the businesses, it sets and uses guidelines for the loans through partners like credit unions, micro-lending institutions, banks and community development organizations. SBA eliminates lender risks by guarantee repayment of portions of loans granted. It can be termed as a win-win situation because the business people get the funding they need and the lenders get secured that the loans will be repaid making the agency very beneficial. The loans simply offer access to capital at lowest costs without the requirement to give up equity.

The loan programs

Important to note is that SBA loan programs are specifically structured for small businesses that do not have access to other kinds of financing. As a small business person, you should be familiar with the loan programs so you are able to apply for the right one for your business.

7 (a) loan program – It is the primary program intended to assist startups as well as existing small businesses that need financing. The loans are basic and the money can be for general business purposes like equipment, machinery, working capital leasing improvements, fixtures and furniture and other business needs. You can basically take care of business acquisitions, consolidating unsecured debts into a new loan, large inventory purchase and business expansion.

CDC / 504 loan program – This loan program under SBA offers long term financing purchase of large assets. The assets can include commercial real estate, buildings and land or even equipment. The loans usually cover 40% of total project cost, participating lender covers 50% and the borrower puts up the last 10%. Loans under this program are never used for inventory or capital.

Disaster loans – Businesses can be affected by disasters and this can be devastating for any business. SBA extends the disaster loans to businesses that are affected by disasters that have been declared. The low interest loans are structured to assist in replacing or repairing damaged machinery, personal property, business assets, inventory and equipment. You will basically manage to get back on your feet after disaster strikes at very low interests using this loan program.

Microloan program – The loan program gives very small loans to business startups, growing businesses or newly established ones. They usually have designated intermediary lenders by the SBA most of which are nonprofit organization with some experience in technical and lending assistance. Even though the small loans can not be used for the payment of existing debts or real estate purchases, they still come in handy for purchase of fixtures, equipment, machinery, supplies and inventory or used as working capital.

How To Find The Right Import Loan Provider

Today, as global economic boundaries continue to merge and become porous, import businesses gain larger opportunities for growth and expansion. However, while growth is a good thing, it also comes with its own set of risks that business owners must handle well in order to sustain their progress. To manage these risks, one of the…

Today, as global economic boundaries continue to merge and become porous, import businesses gain larger opportunities for growth and expansion. However, while growth is a good thing, it also comes with its own set of risks that business owners must handle well in order to sustain their progress.

To manage these risks, one of the important steps importers need to take is to find the right partner that can deliver the best import loan solutions to suit their business objectives. From import documentary collections to shipping guarantees to important finance and more, import loans allow you to protect your business from risks and fluctuations that are an integral part of international trade.

There are many types of institutions that can provide you with import loan services – you can choose from insurance agencies to venture capitalists to domestic banks and more. Your best bet, however, is to approach a globally recognized commercial bank that can provide the stability, reputation and solid, customized support that you need. When you approach a global bank, do not be intimidated by their big name. You might be surprised to discover that a leading, restructured bank will receive and approve your application through a process that's faster and less fussy than, say, that of a lending company or a local bank.

You may only need to submit minimum requirements as long as you provide basic, reasonable evidence that you'll consistently attend to your obligations on time. Business owners also find it easier to work with big banks because these financial institutions have the capacity, interest, tools and resources to periodically improve their system and make it more streamlined.

A smaller institution, meanwhile, may not have the time, manpower or budget to delay operations to consistently fine-tune their systems and that get stuck in older, more complicated import import procedures. Another important benefit of working with a reputable multinational bank is having the access to a wide array of services not only related to import loan, but to business banking in general.

Do you need to issue a letter of credit to your suppliers? Do you want to improve your negotiating power? Would you like to extend your credit period and protect your cash flow? Talk to your bank about your concerns. If they care enough for you as a customer, they'll be ready to sit down with you to help you plan your next moves. Indeed, a global bank is the best choice for business owners who are looking for reliable import loan providers .

A Study on Different Forms of Invoice Finances

The world of invoice factoring may seem confusing for the novices. Although, the basic factors are quite simple. It becomes difficult to choose one of several options that can benefit the business, particularly when the entrepreneur lacks proper knowledge about invoice factoring. Beside, the unfamiliar terminology makes situation even more complicated. There are basically three…

The world of invoice factoring may seem confusing for the novices. Although, the basic factors are quite simple. It becomes difficult to choose one of several options that can benefit the business, particularly when the entrepreneur lacks proper knowledge about invoice factoring. Beside, the unfamiliar terminology makes situation even more complicated. There are basically three types of invoice finance options available, they are –

• Invoice factoring,
• Invoice discounting
• Selective invoice finance or single invoice finance

A Brief Study on Invoice Factoring

The idea is quite simple, in place of waiting weeks and months for raising the invoices you owe from the customers, factoring service advances 75% to 90% against the invoices instantly. It helps you to carry out the day-to-day business operation with less complication, meet the payroll and pay the suppliers. When your client pays back the invoice, the factoring company reimburses the rest of the amount deducting their fees and the amount they advance you. Invoice factoring company also provides 'credit control' service for ensuring your client's timely pay. This service helps you to concentrate on the basic chores of business in place chasing the customers for collecting unpaid invoices. Accounts receivable financing is the viable option for businesses that do not have finance department and hold a client base that does not pay immediately after the delivery of the product or completion of the service. Factoring gives an effective means to use your resource and time.

On the other hand, invoice factoring and invoice discounting both works in the same way but when you chose invoice discounting you can not get the 'credit control' service and it is primarily available for longstanding businesses who hold a record of collecting payments from the clients within predetermined timeframe. The main difference is the factoring company takes over the responsibilities of pursuing the debtor for on-time payment and issuing statements.

Selective invoice finance allows customers to select specific invoices against which the business wishes to raise funds or specific client whose invoice to finance. It's a practice option for business who clearly knows the amount of money they actually need although the process of financing is relatively complicated than the other two options.

Along these, you can choose from full resource and non-source factoring. In invoice factoring, the business remains accountable if the client fails to pay the invoice whether it's for financial problems, quality problems or any other issues. Whereas non-resource factoring does not count the business liable even if the clients can not pay the unpaid invoices. Depending on your preference, you can keep the service confidential as well.

Merchant Cash Advance – An Excellent Solution for Businesses With Credit Card Sales

A friend of mine opened up a restaurant in New York near a decent locality. With the real estate prices being on the rise, he used a major portion of his savings to pay for the deposit and the advance rent. The rest was used in buying the necessary appliances and equipment. He still needed…

A friend of mine opened up a restaurant in New York near a decent locality. With the real estate prices being on the rise, he used a major portion of his savings to pay for the deposit and the advance rent. The rest was used in buying the necessary appliances and equipment. He still needed cash for the interiors, salaries and the other operating expenses.

He did not want to close down the place because it had started doing good business. However, he had to do something immediately about the furniture and the operating costs to stop customers from moving away. That's when I told him about Merchant Cash Advances!

I am in a business that has been selling merchant cash advance leads for quite some time now. We save the details of businesses that are in need of cash, find out if they need any cash advances and sell these merchant cash advance live leads to our clients. We are in touch with many advance providers who are very interested in buying such commodity cash advance live transfers from us. I introduced my friend to one of these clients and within no time my friend got his cash that he wanted for his business.

The procedure was very simple and the formalities, very few. All he had to do was to prove that he had credit card transactions and the volume was quite decent. The Merchant cash advance provider was well-aware of the restaurant and was convinced of the fact that he would get his money back. So, three days is all that my friend had to wait to get his cash advance.

Once he had taken care of all his expenses, his customers grew and business became even better. He did not have to worry about depositing cash in the bank or making payment to the merchant cash advance provider. As soon as he swiped a credit card against the bill, a pre-agreed percentage of the amount would automatically get transferred to the advance provider's account. Although he had to pay set up fees and a couple other costs, things were extremely convenient.

There was no pressure from the cash provider to repay the advance. There was no deadline involved. Cash would be credited to his account as and when credit card transactions happened. My friend did not have to face any problems of not being able to meet his operating costs again. He was extremely thankful to me and all that I had done was introduce him to one of my clients who bought merchant cash advance real time leads from our company.

Benefits of Merchant Cash Advances (MCAs):

MCAs can work very well for retail shops, hotels, restaurants and travel agencies that have a lot of credit card sales volume. The main benefits associated with these cash advances include:

No Fixed Monthly Payments

For one thing, a merchant cash advance is not a loan that requires you to make fixed monthly payments, either you can afford them or not. You do not have to worry too much about them.

Payments become very convenient

You pay a percentage of your daily credit card sales depending upon the volume. The payments, as explained above, are very convenient to make as they happen automatically.

Fast Cash

The best thing about MCAs is the time taken to process them. All that the provider is interested in, would be your credit card sales volume and if you can prove you have good volume, you get the cash immediately. There is no need to worry about credit score and other documents.

You do not feel the pinch

Since there is no fixed amount that is to be paid daily, you do not really feel the pinch of paying back the loan here. You need not worry about saving up the amount needed to pay back the provider.

An MCA can certainly be beneficial for many businesses, which are in need of urgent cash to take care of their expenses. However there are certain things these businesses have to consider before applying for such an advance.

First thing is they have to make sure their credit card sales volume is very high and they are left with enough money to take care of their operating costs after paying back the provider. Another thing they have to understand is that there are many kinds of costs involved with MCAs. It may prove costlier than a regular loan. The percentage of the credit card sales that they have to pay is also quite high.

Although there are drawbacks, the benefits of MCAs surely outweigh them. If you have done your homework well and feel that you could benefit from such a cash advance, it would be a really wise decision to go for a merchant cash advance!

Various Types Of Loans Available For Business Startups

Getting financial help can be difficult for small businesses. So, loans are a great way out. Some of the loans are beneficial for startups where others are better suited for well-established companies. There are various kinds of loans available these days, which we shall discuss below. Bank Loans For owners of small business who require…

Getting financial help can be difficult for small businesses. So, loans are a great way out. Some of the loans are beneficial for startups where others are better suited for well-established companies.

There are various kinds of loans available these days, which we shall discuss below.

Bank Loans

For owners of small business who require a reasonable amount of cash flow, bank loans are an excellent option because they usually have lower rates than any other type of financing. If any business owner is planning to avail loan from banks then they must provide complete financial information, a good business plan, and a guarantee. However, smaller local banks have easier underwriting for loans. When you are planning to take financial help from a bank, then you must take into consideration the processing time taken by banks.

Credit Cards

Many small businesses have been established with funding available from personal credit cards. This is because it is readily accessible cash, and moreover, personal credit cards are easier to get hold of than a business loan from a bank or elsewhere. This does not imply that it is the best choice for your startup or business.

When you are considering the merits of various types of loans you can avail, you need to think about interest rates which would apply. Credit cards typically have a higher rate of interest than loans. What's more, is making use of personal credit to support a business is dangerous. If at all the business you started fails, then you would be damaging all your credit and you will be left nothing much for your future.

Lines of Credit

Most of the banks which offer loans also offer lines of credit. The advantage of this type of financing for small business is its flexibility. It is good for additional cash flow when a particular business opportunity awaits you and you require funding. They can be easily availed in the form of credit card. By using a line of credit for various business expenses, you can keep track of the accounts used for business and for personal purchases.

Alternative Lending

You will find new players in the territory of lending funds for small business. They are called as alternative lenders. Alternative lenders provide loans to the owners in the type of quick and flexible funding.

Unlike banks alternative lenders use borrowed capital and make a broader range of advertisement like comments on social media sites, online reviews, and so on. This enables funding to be easily accessible, and most of the business owners will find out in no time if they are accepted. Borrowers typically pay a higher rate of interest in this type of funding. But, it is more advantageous for a business owner who is in need of quick cash.

So, if you are in need of funds to start your business, various types of loans can be what you can resort to.

Business Financing Strategies – Proof of Market

Start Up Business Loans Are Hard to Get It's no secret and should not surprise most, it's reliably difficult to obtain business financing for a start-up business specifically in getting a conventional bank loan. These financing institutions are in the business of making money … not losing it based on a 'hunch' or unproven business.…

Start Up Business Loans Are Hard to Get
It's no secret and should not surprise most, it's reliably difficult to obtain business financing for a start-up business specifically in getting a conventional bank loan. These financing institutions are in the business of making money … not losing it based on a 'hunch' or unproven business. So, if you are a start-up or at least thinking of starting a business, how can you solve this problem of getting a business loan from a conventional bank? Here's the key: do not be a start-up business. Easily said, but not difficult to accomplish if you practice discipline and commitment.

The main reasons businesses fail in obtaining financing are:

  • Lack of Concept
  • Lack of Market Proof
  • Low Profit Margins
  • Lack of Business and / or Personal Assets for Collateral

Today, we'll go over Lack of Market Proof.

How to Gain Proof of Market
It's hard to produce and sell products and services to a market that does not exist or is too small. Start-up businesses fail to consider the size and profitability of the market that they intend to serve. Due to the many options made available to aspiring start-up businesses via social media and other online platforms such as Google or Yahoo, it's simply simple to find out the market potential for a business. The recommendation is to apply the MVP or “minimum viable product” principle which means you take a simple prototype of your main product and / or service offering and get it to the target market quickly. The purpose of doing this is to gain quick feedback for necessary revisions and proof that the market exists. Also, to really get a flavor of the market, hit the streets and ask prospective customers. Identify several suspects for your product and / or service offering, and reach out to them with a phone call, direct mail survey, or in person visit. The primary purpose of these activities is to gain feedback and ultimately a sale if mutually beneficial.

From what I've observed over the last decade in working with and observing start-ups, it takes 12 to 18 months to really gain traction in a market. Please do not confuse this with the testing of the start-up idea in the market. This should be quick to notice taking no more than 30 days. In other words, if you're MVP does not garner enough feedback and absolutely sales, then you either abort mission or revise / re-test.

How do you strengthen your case for business financing with proof of market? Once you have proof of market for your business via sales and proof of cash received via business bank statements, include these documents in the business financing package. Show how the business loan will either enhance the ability to gain more market share or grow profit margins through business growth.

Using Non-Bank Lenders to Fund Short-Term or Transitional Business Financing Needs

The Challenge: Traditional Bank Lenders usually do not like funding businesses during periods of variable cash flow or unpredictable contractual – eg, periods of very high business growth, or on the flip side, reduced operating performance. The Solution: Non-Bank (Alternative) Lenders specializing in asset based lending or those that provide short term bridge loans can…

The Challenge: Traditional Bank Lenders usually do not like funding businesses during periods of variable cash flow or unpredictable contractual – eg, periods of very high business growth, or on the flip side, reduced operating performance.

The Solution: Non-Bank (Alternative) Lenders specializing in asset based lending or those that provide short term bridge loans can often look beyond the turbulence of a transitional period to fill a company's funding needs until the business is able to return to a traditional lending relationship.

Key Considerations for Borrowers:

  • Cash is King: Focus on the cash availability and debt service of the alternative loan, not the interest rate
  • Do the Rewards Outweigh the Cost of Capital ?: If the benefit of the taking on the new business is greater than the cost of the capital, high interest rates may be well worth it
  • Plan Your Exit: Develop a clear plan at the outset to move back to a bank from an alternative capital source

Bank Lenders do not like lending money to businesses when cash flow and / or collateral is in flux, for example:

  • Example A : business goes through a heavy growth spurt causing either a significant inventory build that requires additional working capital financing, or creating a period with uncertain future cash flows and sometimes insufficient collateral coverage depending on the cash conversion cycle; Egypt
  • Example B : A business experiences a difficult operating period due to, for example, an operational restructuring, a sales force realignment or miscalculating the scope of a major project- creating negative cash flows or earnings

In such circumstance like these, a bank lender may reduce available funds (eg, increase the reserve in a borrowing base or carve out specific collateral), ask for additional collateral or simply ask the company to find another lender.

Non-Bank Lenders are often willing to look beyond the turbulence of a transitional period to understand and structure around the real risks in order to get comfortable providing the necessary capital

Alternative lenders are structured to lend into periods of uncertainty – they usually have greater flexibility to tailor their loans to:

  • Provide additional growth capital during periods of rapid expansion, not penalizing a business for investing as may traditional lenders

  • Fund a business in the early stages of a demonstrated turnaround, much earlier than when a traditional lender would lend

Alternative lenders also provide more flexible terms (cash debt service, amortization, loan maturity, covenants) and cash availability than do traditional lenders, and for this charge higher interest rates.

Key Considerations when Borrowing from a Non-Bank (Alternative) Lender:

Businesses turn to non-bank or alternative lenders when traditional lenders will not provide the required capital or bank terms are too restrictive. Here are several key considerations when evaluating an alternative loan:

  • Cash matters most so focus on required cash debt service (principal and interest), not the loan's interest rate
  • Often the total debt service for an alternative loan at a higher interest rate will be lower than the total debt service of a traditional bank loan because of much lower principal payments
  • If the benefit of taking on the new business exceeds the cost of borrowing, high interest rates may be worth every penny
  • Have a realistic plan for moving back to a traditional lender before you take on a bridge loan
  • Make sure the loan will provide a cash cushion if the transition takes longer, or costs more, than expected
  • Ask yourself – does the lender understand my company and appreciate me as a customer? The answer should always be yes. If it's not, find a lender that does

How To Write A Business Plan That Will Get You The Funding You Need!

Whether you are starting a new business or have an existing business seeking a capital infusion it's a good idea to develop a fluid business plan that provides a roadmap for your company's direction and intended success. Your plan should project out for the next three to five years and include the following eight categories:…

Whether you are starting a new business or have an existing business seeking a capital infusion it's a good idea to develop a fluid business plan that provides a roadmap for your company's direction and intended success. Your plan should project out for the next three to five years and include the following eight categories:

1. An Executive Summary: This is the most important part because it provides the reader with a quick snapshot of your business. I recommend you complete the following sections first as they will shape and add a richer dimension to your summary.

2. Company Description: Describe your company, what you do, how you do it and the needs your company fills. It is your marketing script that can quickly help a lender or investor understand what you are definitely bringing to the market place.

3. Market Analysis: Obviously it is fiscally responsible to research your target market but this step is often neglected with the excuse of what appears to be a “good idea”. Who is your target market and why is your product or service relevant to them. What need are you satisfying and how is the market currently filling this need? Who are your main competitors and what advantages does your business or product offer over them.

4. Organization & Management: A good outline of the management structure of your company shows that you've considered every detail. Include flow charts wherever possible with narratives to show which person or job title is in charge of every function of the daily operations. As you write your narrative make sure that all job responsibilities are well-defined. In addition address the existing or proposed legal structure of your business. Discuss any legal or compensation agreements you currently have or would want to have in place.

5. Service or Product Line: Define your product or service in as much detail as possible? Address the benefits to your customers or clients and address the life cycle of the product or service with solutions for future replacement products and the potential for “upselling”.

6. Marketing & Sales: Marketing is an investment in future sales but only if it's done correctly. A plan that is not thoroughly researched can be extremely costly and have disastrous results. Take the time to detail a well-researched marketing strategy. I can not stress enough the importance of research, knowing all of the costs and anticipated time to recoup your investment upfront is paramount to getting the results you want.

7. Funding Request: If you are seeking financing, state how much you need to move forward and illustrate how you intend to use these funds. This is an important step even if you're investing your own money in the business. Make sure you also include an outline for repayment.

8. Financial Projections: If you are an existing business you'll want to include a historical accounting of your company's financials plus a current year-to-date balance sheet and then financial projections for the next three to five years. Be sure to address how the additional capital will increase your revenues over this time period. For a new company starting out your projections will be based on current and future market trends.

I also recommend you complete your well written business plan with a table of contents and an appendix at the end. The appendix is ​​optional but it's a place to put valuable information such as permits, resumes, applicable leases and other pertinent documents.