How Do I Make A Bussines Plan??

[Isabella_35]

Hello everyone, I need help here. I finally got a break and I manage to find an investor, now, I have the problem of not knowing how to make a bussines plan.

I know the cost of the land, and all the paperwork that will have to be done ir order to build an apartment complex, I listed all the expenses, land, licences, building material, ect.., and I know very clear the income we will get by selling or renting the units.
But... what is best?
Does any body have done something like this?

Thanks in advance for all of your comments

[BM_ag02]

Isabella, the majority of commercial property developments are structured a LLC's. I would start by setting one up with an attorney. Once you have a legal entity to reference in your business plan then you can go through the process of writing one. There are a multitude of business plan resources out there including services who will write them for you. I don't recommend this route for your first time since the process of writing one teaches you a great deal about the business you’re working to built. The first place I would go is the SCORE website SCORE "Counselors to America's Small Business". That should get you off to a good start. You should also search the forum for prior post, I’m sure there are a bunch on this topic.

[ltressel]

You would need to define the variables you just wrote. You need to organize it to a point that your investor is explained the step by step process. From acquisition, construction, sales and rentals. The figures need to be clear and precise.

Time lines are also important. Again this will be referring to your variables above. You would need to explain how you will be able to accomplish this project. Who are all involved here? How did you get the estimates? Do you have a crew ready to roll? Do you have a real estate team ready to sell or pre-sell? Their commish and incentives?

Now let's go into your experience. What experience do you have in this kind of business? Do you have a construction background? Sales? Seasoned Real Estate investor? People don't just buy into an idea they buy into their expertise and experience.

What numbers are to be expected by your investor? What's the return on his money that he will invest? Worst case scenario? Best case scenario? How long will his money sit?

Determine the risks. Yes. You have to disclose the risk. Will you guys have competition? Is another development going to affect your pricing? Length of time to sell your units? How will you remain competitive?

There's a million things that is pertinent to creating your business plan so you can win your investor's trust and money. Here's a site that might help.

business models and business modeling

Good Luck!

[Wowzerz]

Whatever you do, don't bother with buying business plan software - it's pure crap and too cookie cutter. Learn how to do it on your own, it'll be a valuable skill in the future.

[Isabella_35]

Thank you so much to you all, I have a much better information to start with.

I really apreciate it.

I will let you know how I am doing ok?

[rogercbryan]

Writing a business plan for a small business is one thing. For the type of venture you are talking about I would hire a professional. I don’t say that very often. When it comes to zoning, permits, contractors, suppliers, and finances unless you are experienced in this industry you will be better off having a contractor or consultant.

[Isabella_35]

Good day to everyone!

At first I was thinking of what Rogercbryan just wrote, and now I have it clear, the points that Ltressel listed for me, I know what to look for when the expert is working with me, I already have cover the selling part, I have a very good crew, well, they can work with me, but right now after weeks of not sleeping all the things make sense, and I am not scare any more.
It is so good to be part of a Forum that will give you good advice.

Thank you so much.