Financial Plan

Your financial budgets should, where possible, be based on information that you can corroborate. If there are industry statistics available you will need to have good answers why your figures differ greatly from them. Where your business plan is for an established business, you should of course use the information from past trading periods.

You are aiming to prepare realistic projections for your business and providing inflated or optimistic figures will only raise more questions and throw doubt on the other elements of your plan.

You should get help from your accountant in preparing the financial section of the business plan for whilst you need to understand the various reports and budgets and be able to benefit from them, you do not need to become an accounting expert yourself.

In preparing the financial projections you will need to assess the levels of expenditure you will require to start up and then run the business as well as the likely income (number of sales and the value of each).

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