Donna never pictured herself drafting formal documents. She was the friendly face at the Rochester gym who lost 70 pounds and filled Instagram with macro-friendly comfort food. Orders rolled in from neighbors, coworkers, and even strangers at the farmers market. When a local gym offered to promote her meals if she produced a real business plan, Donna froze. She opened Word, watched the cursor blink, and searched “how to write a business plan.” If that feels familiar, walk with Donna and you will leave knowing how to write a business plan that lenders respect.
Before Donna wrote anything long, she visited Collider, Rochester’s entrepreneur hub. A mentor gave her five prompts and asked for one sentence under each. Writing fast kept her from overthinking and forced clarity. The result was a lean startup plan that captured the heart of her idea on a single sheet.
The problem you solve
Who you help
How you make money
What it costs you
Why you will beat competitors
Banks still prefer a traditional format, so Donna copied nine classic headings and kept every paragraph short and direct. Each heading answered a question that a loan officer would ask. By the time she finished, the document ran ten pages and covered every detail without fluff. The exact phrase how to write a business plan guided her structure from start to finish.
Executive summary – Busy parents leave the gym, grab her teriyaki bowl that tastes like take-out yet fits their macros.
Company description – A Minnesota single-member limited liability company (LLC) cooking in a licensed shared kitchen.
Market analysis – Twenty-five thousand Rochester fitness enthusiasts, and rivals hide nutrition data while charging more.
Organization and management – Donna cooks, her cousin delivers, QuickBooks bookkeeping software tracks every dollar.
Service line – Three rotating menus, 350 to 450 calories each, ordered online by Thursday, picked up Friday.
Marketing and sales – Instagram reels, gym taste tests, and refer-a-friend discounts keep orders flowing.
Funding request – $15 000 for a commercial fridge, a heat-seal machine, and six months of packaging.
Financial projections – Thirty meals a week now, sixty by summer, targeting a 33 percent profit margin.
Appendix – Food-handler license, sample labels, and testimonials from early customers.
Financial language can feel intimidating, so Donna met with a counselor at the Small Business Development Center. They defined two key terms in everyday English. She also reviewed the Small Business Administration guide on how to write a business plan, which includes sample spreadsheets and benchmarks.
Net profit margin – Sell for $9, spend $6, keep $3. Keeping $3 of every $9 equals a 33 percent margin.
Current ratio – Divide short-term assets by short-term bills. Donna planned for $8 000 in liquid assets and $4 000 in short-term liabilities, giving her a 2.0 current-ratio, which signals healthy cash flow.
Danielle walks you through the first and often scariest part of entrepreneurship!
Paperwork builds credibility. Donna filed her Articles of Organization on the Minnesota Secretary of State website and paid the $155 fee. That filing created her limited liability company, which separates personal savings from business debts. Next, she applied for an Employer Identification Number (EIN), a free nine-digit code from the Internal Revenue Service that functions like a Social Security number for her company. With those documents in hand, she could open business accounts and hire help.
Donna brought the completed plan to First Alliance Credit Union. A Member Advisor read the summary, saw her 33 percent margin, and set her up with business checking and savings under the new EIN. She received a $15 000 small-business loan for the fridge and a secured credit card, which requires a cash deposit but builds credit history when paid on time. Clear numbers and realistic goals turned a conversation into immediate financing.
New equipment installed, Donna marketed a “Taste and Train Friday” at the gym. Within eight weeks she sold seventy-five meals a week while maintaining her 33 percent margin. When chicken prices rose, she edited her spreadsheet, increased ingredient costs by ten cents, and nudged menu prices to keep profits steady. A business plan is like GPS, not granite. Update it whenever the market shifts.
Start with one lean page tonight, then expand to nine sections when you need funding or partners. Explain every term in words a teenager can understand. File your limited liability company, secure your Employer Identification Number, and keep your numbers realistic. Finally, bring your draft to First Alliance Credit Union. We will review your projections, open the right accounts, and fund the fridge, the food truck, or the podcast studio that powers your dream.
Donna’s cursor once blinked like yours. Today her macro-labeled bowls sell out faster than treadmills count calories, and her plan still guides every decision. Stop staring at the blank screen. List the problem you solve, who needs you, and how you will earn money. The rest is detail, and First Alliance Credit Union is ready to help every step of the way.
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