Do you need a 501c3 business plan developed? The needs for a non-profit business plan are not markedly different from the document that sells a for-profit venture. Despite the fundamental difference of philanthropy versus profit, a 501c3 business plan still needs to demonstrate a market need, describe a service suite or product that can fill it, offer an assessment of the industry and competitive comparables, and show a financial projection that outlines the sources and uses of funds. The pro forma will not show revenues or profit in the same way, and the funding component is treated differently in an advanced non-profit financial model, but the core components of what goes into the business plan are the same. A good 501c3 plan should fulfill answer all of the following:
• - How does your venture help its target audience?
• - What makes it unique to other charitable ventures?
• - What partnerships and alliances will help you along?
• - How will the funding be allocated and when will it be depleted?
• - Who will manage the corporation and what advisors do you have?
These aren't the only questions that you'll get asked, but you'll get a long way towards covering all the bases if you answer them in your business plan. A careful market analysis showing the need your 501c3 fills and the other ventures (national and international) that have taken up the same torch is important to include. You should also be able to show a complete financial forecast for a five-year period after start-up ends. If you have questions about developing the business plan for your non-profit or want to speak with a consultant about having a customized not-for-profit plan developed, contact MasterPlans today. We have worked with thousands of clients including more than one hundred 501c3s doing business all across the world. Consultations and quotes are free: 877-453-2011.
