Thread: Plans Needed?
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Old 06-23-2008, 11:56 AM   #7 (permalink)
OrchardInvesting
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Another strategy would be to simply start small, and work your way up.

If you're a lawncare business, you don't necessarily need the $50,000 in full-startup cash. You can start off with a push mower and work your way up gradually.

By the same token, you must consider the opportunity cost (how many more yards you could cover) if you made certain investments in equipment.

The most important thing when presenting a business plan to an investor is to have a conservative plan for reaching profitability. It's not expected that a new business profit straight out of the gate, but by Year 2 or Year 3, you'd better be planning on profiting soon, or your investors will plan to pull out.

Accordingly, your plan should focus on that critical stage of growth from ZERO to PROFIT, rather than looking breathlessly ahead to a rosy future without taking full account of the difficult growth stages between.
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