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The layout of an SBA business plan template is similar to that of most standard business plans, with nine key parts that describe your organization. To assist you, we’ve produced a printable checklist and SBA business plan template.

Include an executive summary, company description, market analysis, organization and management, product or service provided, marketing and sales, capital request, financial forecasts, and other information in your SBA business plan.

1.   Executive Summary

The executive summary of your firm’s strategy acts as an introduction. This summary should not exceed two pages in length. The executive summary should emphasize the following aspects of your company:

Describe your company, its objective, and its product in a single phrase.

  • A brief summary of the business opportunity
  • The folks for whom you’re writing
  • How successfully your product or service fits the demands of the market
  • Who you are and how you operate your company are both important factors.
  • There is competition on the market.
  • Your sales and marketing approach
  • Financial forecasts
  • What measures will you take to carry out your strategy?

Each facet of your company should be summed up in a few words. In the parts that follow the executive summary, you’ll go through them in further depth. The introductory part of your SBA business plan acts as a prelude to the remainder of the document.

2.   Description of the Business

Your SBA business plan’s company description section is where you describe how your company’s product or service addresses a particular consumer demand, who your target market is, and any competitive advantages you have. Your organization’s strengths should be emphasized in your company description.

In your company description, provide the following critical features of your business:

  • What do you make a livelihood doing?
  • The goods or services that your company provides
  • What is the issue that your business solves for customers?
  • Who are your customers?
  • What are the competitive advantages of your business?
  • It’s conceivable you’ve developed crucial partnerships.

When explaining these features of your firm, be descriptive and emphasize any advantages your company has over its rivals. This section of your SBA business plan lays the framework and sets the tone for the remainder of the document.

3.   Research into the market

You’ll describe the market in which your company competes in the market analysis section of your SBA business plan. This research demonstrates to your readers how well you understand the current market and where your company fits within it.

In the market analysis section, answer the following questions:

  • What are the business practices of other companies in your industry?
  • What are the benefits and drawbacks of your competitors?
  • What problems do your competitors’ goods have?
  • Do you need to be aware of any current market trends or themes?
  • Why do some people seem to be more successful than others?
  • Is it possible for you to accomplish exactly what your rivals do, but better?
  • Is there any other company with a strategic advantage, such as an excellent location?

In some businesses, such as restaurants or retail, you should additionally examine the amount of direct rivals in your region that offer similar goods or services. If you have no direct competitors, this may work to your advantage since your company will be unique in the area.

The goal of a market study is to demonstrate to the reader that you’ve researched the present market for your product or service. This part looks at your business’s viability in the present market, the level of competition, and how you plan to position your company for success in the industry.

4.   Organization and Management

In the organization and management section of your business plan, you’ll outline your company’s structure. Your company’s legal foundation, organizational structure, and management team should all be addressed.

The two most important components of this section are

  • The following is the legal framework: Describe the legal structure of your corporation. Are you intending to start a general or limited partnership, a limited liability company (LLC), a sole proprietorship, or a C or S corporation (C-corp)?
  • In your application, provide a copy of your organization’s organizational structure. Your company’s organizational chart illustrates its management and organizational structure, including job titles and management hierarchy.

You should also describe how the management staff of your firm will contribute to its success. Give an overview of the achievements and experience of your management team. This information might help you persuade lenders that you are capable of running a lucrative business.

5.   Provided Product or Service

This part will go through the specifics of the product or service that your company provides. In this area of your business plan, you should describe the following features of your company:

  • A brief description of the goods or service you’re selling, as well as the cost.
  • What are the benefits to the customer?
  • A product’s life cycle is described.
  • Intellectual property, copyright, and patent filings are among the issues being addressed.
  • Any research and development plans are stated.

Investors may be persuaded that your company’s intangible assets are well-protected if you provide more specifics on how you plan to safeguard intellectual property. R&D efforts also show that your product or service is always evolving and improving.

6.   Marketing & Sales

Your company plan’s marketing and sales section will explain how you aim to acquire customers and create income. This section should contain the following elements:

  • Specifics about how you intend to promote to your target market
  • A summary of the sales process
  • Budget data for marketing and sales
  • Your marketing and sales objectives
  • Consider your price strategy in the context of sales and marketing.

Not only should you mention your sales and marketing goals, but you should also include the methods you’ll take to reach them. You should also consider how you’ll assess your sales and marketing objectives’ performance.

7.   Financial Assistance Request

One of the most essential reasons for entrepreneurs to produce an SBA business plan is to demonstrate their company’s viability to lenders. Provide the following information in the financing request portion of your SBA business plan:

  • The amount of money you’ll need
  • What will be done with the funds?
  • You’re searching for a certain amount of money.
  • Do you have any financial projections for your organization’s future?

You should use this part to address your long-term financial objectives, such as how you will repay debts, in addition to your present financial demands. It’s important to handle both current debt payments and the return of the funds you asked.

8.   Financial forecasts

The purpose of the financial forecasts portion of your business plan is to persuade prospective investors that your company is financially sound and will continue to operate. This section of your business plan should contain the following information:

  • Income statements over the previous three to five years
  • Accounts from the previous three to five years are available.
  • Statements of cash flow over the last three to five years
  • If there is any available collateral, it should be utilised.
  • Is there any kind of protection in place?
  • Income statements, balance sheets, cash flow statements, and any anticipated capital expenditures are included in the financial predictions for the following three years.

Explain Your Predictions: Describe how you arrived at the data you’re presenting, as well as how these forecasts connect to your financial requests. Growth forecasts should be fair, and any deviations from market growth rates should be justified.

When estimating future financial success, we recommend utilizing monthly estimates for the first two years and annual projections for the third year. You may use our SBA loan calculator to apply for a 7(a) loan from the Small Business Administration. Remember to include in SBA lending rates and the guarantee fee when calculating your loan payment amounts.

9.   Supplementary Information

In the appendix of your SBA business plan, you may include any additional papers related to your firm or that fit specific lender requirements. Papers such as your credit history, owner resumes, product photos, or letters of reference may be included in this section. Include any important legal documents, contracts, licenses, or permits in the appendix.

A lender can ask for information that isn’t usually included in a business plan or that you didn’t include while you were writing it. If any information does not fit into one of the pre-defined parts, it may be added to the appendix.