How to Write a Business Plan for an Interior Design Company

You've decided to open an interior design company. You have the knowledge, expertise and a little bit of money. All you need is a little more start-up capital and you will become a business owner. Obtaining a loan for your new interior design business begins with writing a business plan.

Instructions

Difficulty: Challenging

Things You’ll Need:

• Financial statements

1. Prepare a detailed description of your business. Begin with an "Executive Summary" that includes the mission statement for your business. Include a short description of who you are and your experience in the interior design industry.
2. Write a "Company Summary." Include a brief description of the products and services you will provide, a detailed list of your start-up costs, where your business will be located and how you will distinguish your business from other interior design companies.
3. Describe the marketing strategy. Prepare an explanation of how you plan to market the business as well as the projected sales for three years.
4. Develop a "Management Summary." In this section, list the names of the management team and the employees. Include relevant information such as college education, special recognition or awards received, and previous work history and experience.
5. Put your financial plan in order. This is the most important section of any business plan. Include a break-even analysis and the following projected financial statements: Profit and Loss, Statement of Cash Flow and a Balance Sheet.
6. Provide a Ratio Analysis in your financial statements. This section should include an analysis of how your interior design business will compare financially with similar-sized businesses in the industry.

Tips & Warnings

• Buy business plan software. This will make the process easier and ensure that you don't forget to include any relevant information.
• Prepare the projected financial statements for three years. Break down the first year by month and the following two years by quarter.
• Make charts and graphs for financial data, in addition to the statements. This makes the information easier to read, "at-a-glance" for potential investors and lending institutions.
• Be sure to note the basis for the financial data. Investors will want to know how you came up with the numbers in your financial statements.
• Be sure to have the business plan professionally printed. It will look more professional than if was printed it on a home computer, especially visuals such as charts and graphs.