How do I write a business plan for a startup service company?
September 11, 2016 10:25 PM
I would like to write a business plan. The business I have in mind will be a service provider. Many guides to writing business plan that I have found seem difficult to use for such a business model. There will be little profit in this company, because the salaries of the employees will take up most of the takings. Picture something a bit like an agency with contractors, only the employees will be full-time employees and paid a salary, and then assigned to projects commissioned by customers with whom the company will contract.
The rationale for needing a business plan is that I would like to seek investment. I plan to use the investment as a cushion to ensure I can pay salaries to the employees of the company for the first six months to a year. I might need to buy each employee some hardware as well - a computer, say, or tablet - and also pay things like insurances, national insurance, pension contributions, and so on. Depending on whom I hire I may need to pay for some training and/or CPD if I cannot find free resources to cover the things I will need the employees to know. Employees may need professional registrations. There may be premises to pay for as well, depending on how I structure things. The company will not make big bucks for investors but I believe that there will be a positive return and that this return will beat the Bank of England base rate, which is fortunately (for me) not high at the moment.
Does anyone have any suggestions or pointers as to where I can find a template or guide to writing a business plan like this? Many guides I have come across assume a making-of-and-selling-of-wigets model and I do not plan to do this.
I am in the UK, where the company will be registered.
The rationale for needing a business plan is that I would like to seek investment. I plan to use the investment as a cushion to ensure I can pay salaries to the employees of the company for the first six months to a year. I might need to buy each employee some hardware as well - a computer, say, or tablet - and also pay things like insurances, national insurance, pension contributions, and so on. Depending on whom I hire I may need to pay for some training and/or CPD if I cannot find free resources to cover the things I will need the employees to know. Employees may need professional registrations. There may be premises to pay for as well, depending on how I structure things. The company will not make big bucks for investors but I believe that there will be a positive return and that this return will beat the Bank of England base rate, which is fortunately (for me) not high at the moment.
Does anyone have any suggestions or pointers as to where I can find a template or guide to writing a business plan like this? Many guides I have come across assume a making-of-and-selling-of-wigets model and I do not plan to do this.
I am in the UK, where the company will be registered.
In virtually all businesses, profit is only a fraction of turnover/income, because expenses. Not sure how your business is different. Anyway, if you understand the business you are proposing to start, you should be able to adapt an existing business plan template to your business.
However investors, or lenders, will want to see more than a 'little profit'. They will also want to see that you have investment in the business too, and they may want security - for example your house. Above all they will need to see that your business has a future, and they will want to be assured you have covered off all the risks that a startup such as yours will be exposed to.
From my reading of your question, I think that you need some business advice, perhaps a 'business angel' (if you aren't familiar with the term, search for it).
posted by GeeEmm at 4:00 AM on September 12, 2016
However investors, or lenders, will want to see more than a 'little profit'. They will also want to see that you have investment in the business too, and they may want security - for example your house. Above all they will need to see that your business has a future, and they will want to be assured you have covered off all the risks that a startup such as yours will be exposed to.
From my reading of your question, I think that you need some business advice, perhaps a 'business angel' (if you aren't familiar with the term, search for it).
posted by GeeEmm at 4:00 AM on September 12, 2016
This is the same model as a consultancy. Lots of resources out there on building consultancies and business plans for them.
posted by cacao at 4:26 AM on September 12, 2016
posted by cacao at 4:26 AM on September 12, 2016
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posted by bluedaisy at 1:03 AM on September 12, 2016