The time is not long past when, because of prejudice, perversity or ignorance, many men believed that opportunity knocked only once at any man's door. A risk premium is added to compensate the lender for assuming the risk that the principal will not be repaid. Depending on the makeup and size of the group, the issues to be discussed, and other factors, you may need to set rules for behavior, e.g., only two minutes per person, everyone in the room must be heard from, etc. Suppliers want to sell only to people who can pay, which is one important reason a new supplier could ask to see your business plan before taking a big order.

Give customers management ideas

Each requires certain critical components for success components that may be irrelevant or even completely absent in the operations of another type of firm. Maybe a favorite retail store suddenly comes up for sale (this is exactly what jump-started coauthor Jim's entrepreneurial career), or a friend informs them of a can't-miss opportunity, or a customer of the business they're working for now invites them to do some freelance consulting ' an invitation that turns into a business opportunity. And you ll need one of these to spell out the conditions of your partnership, no matter how well you and your prospective partner know, understand, and trust one another. A plan should cover all the important matters that will contribute to making your business a success.

5 reasons your Business is not what it could be

Many men fail because they undertake a business without considering whether there is room for it; others because they do not thoroughly establish themselves in the place, making no effort to get a constituency; and yet others because they do not keep the goods that are in demand, or do not renew the stock sufficiently quick, or do not present their goods in an attractive way. Perhaps you want to mull over the chances of a major expansion. But today man has adopted long and roundabout methods of producing goods, involving numerous steps between his first efforts and the turning out of the finished articles. Some entrepreneurs remain sole practitioners forever.

Find the needs of your market

Most entrepreneurs are never content working for others. One drawback to using excerpts of a business plan to help inform and manage your employees is that some people won t understand it, especially taken out of context. The cost structure is like the architect's plan of a building ' simple to tweak when the plans are just a drawing on a piece of paper and the building doesn't yet exist, a nightmare to change when the building is half built. E-commerce (retailing over the Internet) is changing the parameters of the retailing category.

Cracking the profits code

Business interaction involves consideration of short- and long-term costs and benefits for all those involved in it. Your board should be able to challenge your thinking, help you solve knotty problems, and even change management if necessary. It is stated on the best of authority that there are a thousand business firms in New York and vicinity each having one or more $5,000 positions awaiting the men who can fill them. Along with standard business loans, you ll find disaster loans, microloan programs, and real estate and equipment loans.

Never give up on a dream just because of the time it will take to accomplish it

Your banker (and most other investors) have to know that you recognize these risks and have well-thought-out ways to deal with them. You may be sure that you are right, but do not say so. Bankers make loans, not investments, and as a general rule they don t want to wind up owning your company. These ideas can be created quickly, with little expense.