Would anyone be willing to share their business plan with me? I would like to develop my own plan but am not sure how to start and what should be included in this plan. I believe a plan will help provide me with direction and possibly with funding projects. I am an not sure what area of rei I want to focus on but I do know that I want to focus on trying to help people. I thought it might be helpful if I have an example to follow as I start to work on a plan that is right for me and my market.
If you sat down and wrote a business plan, what would you do with it then?
I am working with a small business development center and they want me to create a plan. Also, wouldn’t writing a plan help me think through each step of the rei process and provide me with direction?
Do you think a plan is over kill?
I cannot help you with the content to put into the business plan, but I found an very good site that will help you build a business plan step by step online and save it there so you can make edits as you please. It will give you examples on each step of the process and is very easy to make a very detailed and complete plan. I had used it once when I was trying to do a business plan for a business I thought about doing. Hope this helps a little.
<<Do you think a plan is over kill? >>
If it is for your personal REI, YES it is overkill…looks like you have some actual need/request for it…that’s why I asked.
Also, wouldn't writing a plan help me think through each step of the rei process and provide me with direction?
Short answer- No.
Business plans are a lot of work for someone who doesn't know exactly what kind of business they want. If you are unsure of the pro's and con's of each niche in RE then you will have to learn about investing first at which point you may decide it's not for you. RE is unique from any other business in that each property should be treated as it's own business. (unless you are a flipper or rehabber where the strategy is always the same) You don't need a business plan to finance any small property. Can you imagine sitting down and writting a comprehensive 30 page business plan for each duplex you bought? But if it makes you happy to write an official plan then these are things that you should include:
- A written summary of the plan of action ( Executive Summary)
- A detailed market analysis, with photos of immediate competitors
- A detailed summary of the leases
- “As-built” plans and tenant improvement plans
- Photos of the site and the building
- A summary of the financing secured or in progress, together with a copy of the appraisal
- Financial projections or “pro forma,” which include both cost, strategic reserves and projected recapitalization breakdown, and income and expense projections in detail, with supporting data
- Financial statements for the existing principals and a résumé of past business dealings
- A summary of the proposed business deals
As you can see that is all per property info.
Keith you keep beating me to the punch!
I don’t feel that I have to have a business plan if it will not be helpful. The small business person I am working with said a plan would be important for funding purposes and to get ideas down on paper. I appreciate your input. Thank you.
I don’t have one and have never been asked for one for funding but my business model is a bit different…