One major obstacle that stands in the way of many entrepreneurs is how well to go about planning their business idea.
This is irrespective of how good the business idea is. We’ll discuss one of those here the merchant cash advance business plan.
This is a great cash business idea.
MERCHANT CASH ADVANCE BUSINESS PLAN GUIDE
While this is true, you’ll have to plan toward its actualization. The business plan is one of the most vital tools you’ll ever need for your business idea to succeed.
So, we’ve provided a merchant cash advance business plan template to work with. Using this template, you can follow definite steps towards producing a unique plan.
You’ll need to start from the Basics.
One thing that makes writing a business plan quite tricky for many is whether or not they follow the basics. Here, we’re referring to the structuring or including certain vital sections of the project.
These points touch on different aspects of a good plan and must be discussed to achieve desired outcomes.
The essential components we’re talking about include the executive summary, the company description, and the products & services section.
Other details include the market analysis, strategy & implementation, organization & management team, and the financial plan & projections.
Knowing or mentioning these vital sections isn’t enough. You’ll need to see how you should develop each of these sections. Now that won’t be easy to figure out with the proper guidance.
This is why we’ve discussed each of these points below.
i. Executive Summary
The executive summary section of your plan provides an overview of the entire document or project.
It’s a short, concise, and optimistic overview that seeks to generate the reader’s attention and make them want to learn more about the business idea.
Investors have little time to spare going through your plan. You’ll need to maximize the little opportunity you have to make them discover exciting facts about your merchant cash advance business.
When writing the summary section, it would be best to do a thorough job.
As always, the summary section condenses the contents of the preliminary plan with all the main areas covered.
Also discussed are the business name & location, the products & services, mission & vision statements, and the specific purpose of the plan.
By providing the name, your merchant cash advance business will be known, and you will reveal its identity. This is important to any business as the audience gets to follow how you will actualize such a business idea. The location is also central to its emergence. This detail will need to be revealed to your audience.
When it comes to services and products, you must be as specific as possible about what you do. Only the basics will do because you’re still within the executive summary. All other details are left later, where they’re added to the main section reserved for that.
Your mission statement should describe your business’s fundamental purpose.
It should also include information on why it exists and why uses or purpose it serves. Your vision statement should encapsulate your vision or dream for where you want the business to be at a point in time.
It takes a futuristic view and should inspire your workforce to strive towards its achievement. A long-term perspective is often used to define the business.
ii. Company Description
When describing your operations, you’ll need to explain who you are, how you operate, and the goals you want to achieve with your merchant cash advance business.
Going into more specifics, you’ll need to provide information about your legal structure and how you intend to make a profit.
Provide a brief history, and state the nature of your business.
Also, discuss the needs or demands you intend to fill or meet. Give a summary of your short and long-term business goals and how you plan on making a profit.
A summary of business growth will be in order.
iii. Services & Products
What’s the nature of your services and products? This is where your audience gets a more detailed understanding of what your merchant cash advance business does.
Details should include service and product costs and the net revenue to be expected from the same sale.
The benefits derived by the customer are paramount and should be reflected. Explain the market role of these products and their advantages over those of your competitors.
iv. Market Analysis
Your market analysis is dependent on how thorough your market research is. Through such analysis, you’re able to demonstrate your level of competence.
Here, an evaluation of your competitor’s weaknesses and strengths is necessary. Provide a sketch of target customer segments with size and demographics included.
Give an industry description and outlook with supporting statistics. Historical, current, and projected marketing data for services and products will be necessary.
v. Strategy & Implementation
Strategy and implementation are crucial to your sales and marketing efforts.
You’ll need to explain how you plan on promoting your merchant cash advance business to customers. Also, how do you plan on entering the market?
Details on pricing, costs, and promotions are critical to your marketing strategy. How will your business function? Identify your labor sources and state the number of employees to be hired.
vi. Organization & Management Team
The organizational structure of your plan helps identify critical aspects of business owners and the management team. This should begin with an organizational chart that describes departments and key employees.
Next, it should focus on owners by providing details such as names, percentage ownership, and extent of involvement.
Give a profile of the management team running your merchant cash advance business. Details like names, positions, primary responsibilities, and prior experience are vital.
vii. Financial Plan & Projections
The financial plan & projections section of your merchant cash advance business plan should be written by a professional accountant.
The key areas to be discussed and assessed here include historical financial data, practical prospective financial information, and an analysis of your financial data.
Now you have a good merchant cash advance business plan to model after. This template touches on key areas you shouldn’t overlook.