4 Ways an SBA Business Plan is Treated Differently by a Business Plan Writer

If you are applying for an SBA Loan you are going to need an SBA Business Plan.   Although you can write this plan yourself, it is recommended to use a business plan writer.  The advantage of using a business plan writer is that they are well-versed in all types of business plans.   There are a few things that they will do differently when approaching an SBA business plan than they would do on other types of plans.

Emphasis on Personal Credit & Finances

Unlike business plans meant for many other types of audiences, business plan writers of an SBA Business Plan will cover this very thoroughly.   Much more than other business plans, the SBA and potential lender are going to be very interested in your personal finances.  This is not only because they want to see how you manage money but, because they will likely also require personal collateral or that you are personally on the hook for the loan, regardless if the business fails or not.

Focus on Cash Flow Management

At the very top of the list of the SBA and lender’s minds is making sure you are going to be able to make your loan payments as agreed.   In other types of business plans other parts of Financial Projections are likely to take priority.  However, in an SBA business plan, a business plan writer will focus on the cash flow plans in some detail.   This gives a sense of security to the lenders that not only can your business make money, but that you’ll be able to pay them timely.

Ensure Formal and Technical Language

Unlike a business plan intended for a potential investor or other audiences, an SBA business plan should not be flashy.  You are dealing with the SBA and lenders.   These audiences expect to focus mainly on the finances and the details.  A truly skilled Business Plan Writer will make sure it is formal and technical but, also that it is not boring.   It will still tell the story of your business and keep them interested while ensuring they are getting all the information that they need.

Highlight Risk Aversion

When you are attempting to get an investor involved in your business, they have a fairly high tolerance for risk.  They are often okay with big risks for the potential of big rewards.   However, the mentality of the SBA and lenders are going to be quite different.   A business plan writer will make sure that your SBA business plan calls out all the ways risk is mitigated.   You should use conservative revenue projections and be able to support those projections.  The business plan writer will also make sure to mention any way you have evaluated and eliminated or planned to overcome foreseeable risks.   They will likely also ensure that there is a contingency built into your financials.

A business plan writer will be able to produce a strong SBA Business Plan, especially because they see so many and the know what they should look like, what tone to present them in, and what to highlight.   However, if you are going to attempt to write your plan yourself, focusing on the above elements can help ensure a successful application.