Have you found a franchise opportunity that makes sense for you to buy?
Are you almost ready to apply for a small business loan? Is it time?
Fantastic. Because now, it’s…
Franchise Business Plan Time
You’re going to need to put together a good business plan in order for a lender to take your loan application seriously.
According to Tim Berry, the founder of Palo Alto Software, your plan will need to answer these 7 questions:
1. Who wants the product/service that I’m selling?
2. Why do they want it?
3. What pain points will it solve?
4. How bad does the market want it?
5. What are the alternatives they can use to solve their pain points?
6. What are they purchasing now to solve their pain?
7. How many people are there who have this pain…this problem?
A Starting Point For Your Business Plan
Did Tim’s questions get you thinking?
Are you already thinking of ways to answer them?
A solid business plan needs to include questions like that…and more.
“LivePlan is a fantastic tool and I love using it. I have written business plans in Word and there is no comparison. It really simplifies the planning process and allows one to focus on content instead of formatting. It puts the focus on planning the business instead of planning the plan.”
– Joshua C.
Franchise Business Plans
A franchise business plan for that’s written for commercial lenders should include a good deal of information supporting the franchise’s ability to repay the small business loan back-as well as cover interest. Today’s commercial lenders want stability. They’ll look into your credit history. They’ll need to see how you’ve approached paying loans off-like past car loans and your mortgage. Your background and credit history is looked at very carefully. Makes sense, right?
I always advice people who are thinking of buying a franchise to use one of the free credit check services before they formally apply for loans.
Try this one- www.annualcreditreport.com (It’s mentioned on the FTC US Government website)
In other words, you can use it for free…for 60 days, and then return it if you didn’t feel that it was a great tool.