SMME business plan guidelines
To help us evaluate your small business loan application, we need a straightforward and logical business plan, in line with these simple guidelines:
Description of your business
What products are you making/selling or what services do you offer?
Market and Customers
Who are your customers and why do they need your products or services?
Where are your customers based?
How many customers do you expect to have?
How many products do you expect to sell?
How are your products and/or services priced?
Is the market for your product or service growing or shrinking?
Equipment / Stock
What equipment do you need to run your business?
How much equipment do you already have?
What do you still need, in terms of equipment and how much will it cost?
How much stock will you need to run your business? What will this cost?
Premises
Where is your business based?
Do you own or rent your business premises?
How much is your mortagage or how much rent do you pay per month?
Running Costs
What other costs are involved in running your business? (Water, electricity, communication, transport, maintenance, stationery, advertising, staff salaries, etc.)
Staff profile and experience
Describe your qualifications and experience in running your type of business.
How many people does your business employ at present?
How many do you expect to employ if your loan application is successful?
How much will you draw from your business per month?
Marketing
Describe your marketing and sales strategy including how you plan to get – and keep – your customers.
Describe your strongest competitors in your area and how you intend to compete.
How will you respond if things don’t go according to plan?
Loan breakdown
Provide a list of how the loan will be used. Include original quotations for equipment to be purchased and any services to be rendered.
Financial information on your business
Provide a projected income statement for the first 12 months after receiving a loan (detailing your income and expenditure).
Give a simple one-year cash flow analysis.
If your business already exists, provide proof of contracts or tenders (if any), an income statement and balance sheet and the most recent six-month bank statements. How much do you expect your business to grow?
Personal financial information
This includes information on your personal bank accounts, fixed and moveable assets (house, car, etc), insurance policies and other loans you may have.
Business references
If application is for an existing business, provide a list of five customers (not your relatives) and three suppliers of goods/services used in your business.