PlanWare - Home: business, plan, software, free, financial, model, budget, forecast, plan, planner, planning, projection, template, statement, analysis, business plan, business plan software, business planning, business planner, financial projections, financial planning, cash flow, cashflow, strategy, strategic
Software & free templates for business plans, financial projections, cashflow forecasting plus free business plan tools, models, samples, guides & planning papers
  Financial  
 Projection 
  Software  
 Cashflow 
  Forecasting  
  Software  
  Business  
      Plan      
  Software  
  Marketing 
       Plan       
  Software  
  Strategic  
    Planning    
  Software  
  Business  
      Plan      
     Guide     
   Business   
   Planning   
   Freeware   
    Online     
  Planning   
      Tools      
   Business   
   Planning   
    Papers    
     Other     
     Items     
                     

Bookmark and Share
 

Business Plan Guide:
12. Funding

Previous
Next

Having completed 11. Financial Projections, you may have identified a significant funding need that cannot be bridged from your own resources (and those of your relatives, friends, colleagues, credit cards, local bank manager and so on) or generated by the business.

If seeking equity, loans or equity/loan combination, use this section to present your needs and proposals. Keep it factual and avoid any "over-the-top" hyping of your business as the greatest investment ever!

If planning to raise equity from venture capital or "angel" sources, allow adequate time to raise it. Depending on the amount needed and track record of the promoters/business, this will take several months and tie up significant management resources throughout - brace yourself for several re-drafts of the business plan and revisions to the financials.

Suggested Length & Structure:

This entire section need not exceed a page or so.

The subsections below are for general guidance only. You may prefer to:

  • Use less obtrusive sub-headings like Funding Requirements:
  • or even delete all them and cover all relevant matters in a series of short paragraphs within this section.

For help with financial projections and determining funding requirements, see the white paper on Raising Finance and Exl-Plan, our financial modeling tool.

 

 
 
Useful Links
More Info
Prepare projections
Make cashflow forecasts
Get free planner
Write business plan
Seek planning advice
Improve cash flow
Raise finance
See Also
Develop strategic plan
Write strategic plan
Get planning insights
Plan to plan
See planning surveys
Business plan guide
Software Tools
Financial Planner
Cashflow Forecaster
Business Planner
Expert Business Planner
Marketing Planners
Free Planners
Buy Software
Financial Projections
Cashflow Forecasts
Business Plans
Marketing Plans
Strategic Plans
   

12.1. Funding Requirements

Based on the financial assumptions and projections in 11. Financial Projections, summarize and tabulate your funding requirements - see Raising Finance and Exl-Plan, our financial modeling tool.

Indicate planned uses, possible sources and forms (equity, loans, grants, credit etc.) and time scales.

12.2. Funding Proposals

Mention any conditional or firm funding commitments already secured.

For each element of funding, describe the preferred form of funding, amounts required, likely timing, security offered and desired terms, repayment schedules and exit options. Bear in mind the golden rule - he who has the gold makes all the rules.

For the benefit of prospective investors, indicate the likely equity funding required; range of the equity stakes on offer; exit routes (IPO, trade sale, buy-back etc.); board representation; and, optionally, make a stab at the projected returns on their investment. If presenting comprehensive funding proposals, be realistic when valuing your business and use more than one method of valuation e.g. net asset value, price/earnings ratio, capitalization/revenue ratio, industry yardsticks and so on. Take account of market sentiment/conditions, "going rates", maturity of the business and degree of risk associated with its plans. Of course, you may wish to withhold all specific funding proposals until you have met possible investors or lenders face-to-face and heard their initial reactions. In this case, this subsection would be confined to a description of funding needs and possible sources and forms.


Additional Help

If planning to raise venture capital, business angel finance or bank loans, check the paper on Raising Finance. The Excel-based financial planner, Exl-Plan, contains extensive facilities for doing sensitivity analyses. The best way to establish the funding needs of a business under different scenarios is to run Exl-Plan without any assumptions about future funding and, for each scenario, take note of the timing and value of the projected peak cash deficits.

Get Help with Financial
Projections
financial projections Exl-Plan - Integrated Multi- Year Financial Planner
Requires: Excel 5, 7, 8, 95, 97, 2000, XP, 2003, 2007, 2010, 2013, 2016 with Windows 95/98/ Me/NT/ 2000/XP/Vista/Win7,8,10.
Prices: Free to US$ 289.
Details  Trial Downloads
Buy + Use Now

Top - Business Plan WareTop of Page Previous | Next

 
 
  Financial  
 Projection 
  Software  
 Cashflow 
  Forecasting  
  Software  
  Business  
      Plan      
  Software  
  Marketing 
       Plan       
  Software  
  Strategic  
    Planning    
  Software  
  Business  
      Plan      
     Guide     
   Business   
   Planning   
   Freeware   
    Online     
  Planning   
      Tools      
   Business   
   Planning   
    Papers    
     Other     
     Items     
                     
PlanWare, Invest-Tech Limited, Ardmeen Park, Blackrock, Co. Dublin, Ireland
International Tel:
+353-1-283 4083
International Fax:
+353-1-288 7805
Email:
info@planware.org
WWW:
http://www.planware.org
Subscribe:
RSS  RSS-Planware's Bog
Follow:
Twitter Twitter
PlanWare, Cashflow Plan, Exl-Plan, Quik-Plan, Free-Plan, Biz-Plan, Easi-Plan, Cash-Plan, Pers-Plan, Your-Plan and Bank-Plan are trademarks or registered trademarks property of Invest-Tech Limited. Microsoft and the Office logo are trademarks or registered trademarks of Microsoft Corporation in the United States and/or other countries. Plan Write, Quick Insight and Business Insight are trademarks or registered trademarks property of BRS Inc. © Copyright 1999-2016. Invest-Tech Limited. All rights reserved.