Tuesday, November 28, 2006

Business Plans Made Simple

I have a friend and business partner who is probably the world's foremost expert on buying businesses.

Over the past 50 years he has bought somewhere around 200 (he's lost count) businesses, and still going strong today.

And one of the jokes he likes to make goes something like this:

"There are three things people are afraid of in life: death, taxes and business plans."

In fact, from his experience, he says the business plan is the most dreaded part of the whole business-buying process.

And yet, it doesn't have to be.

Here's why:

While it's true you do need a business plan if you want to get money from a bank, an investor or any other financing source...writing a business plan really isn't all that complicated.

In fact, a business plan basically just a sales document with three main components:

1.) How much money you need.

2.) What you need the money for.

3.) How you're going to pay the money back.

And that's it.


That's not so complicated, is it?

All you need to know besides the above is how to structure a business plan (there are books in your local library that can help you with this free), and you're ready to go.

Bottom line?

Don't put off buying a business just because you're afraid to write a business plan or don't think you can afford to hire someone to do it for you.

If you simply educate yourself on the topic (again, go to any library and learn it free), you will be up and running with your own business in no time.