Stakeholders in a Business plan (Internal, Employees (Need to have a clear…
Stakeholders in a Business plan
Need to have a clear understanding of the venture’s mission and objectives to be able to work towards attaining the objectives.
Also improves communication
Establishes a corporate culture
Managers and employees should contribute to the development of the business plan to establish ownership of the plan.
Internal, Management team
A written business plan is essential for the systematic coverage of all the important features of a new business
The following aspects are important for an entrepreneur
Mission that defines the business
An overview of the key objectives
A clear understanding of the overall strategy for accomplishing the objectives and functional strategies
Impressed by a business plan, as it proves to them that the entrepreneur has thought about the future
Very few investors or financial institutions will consider financial assistance without a well prepared business plan
4 C's to evaluate a loan application
Must have stable equity base of its own before a bank will grant a loan.
Includes any assets the owner pledges to a bank as security for repayment of the loan.
Aspects of the owner’s character (such as honesty, competence, determination, ,ability and a good track record) play a critical role in the bank’s decision to grant a loan.
Surrounding a loan request also affect a bank’s decision, such as potential market growth, competition, form of ownership and the current state of the economy.