A good machine shop business plan needs to cover a lot of bases. What sort of services will you offer through the shop? What equipment do you need to acquire, and what will you lease versus purchasing outright? How many people will work the shop at any given time, and what safety measures will you put in place to ensure compliance with state and federal regulations? Everything for the permits you need to the way you'll allocate your funding to the point you think break-even might occur should be covered in detail. You want a banker to be able to review the document and know instantly whether the loan is viable based on your personal background and history, your proposed product and service suite, and the market conditions in your area. Some other topics to hit:
What customer base do you envision?
Will you service corporate accounts in addition to one-off work for consumers?
What's the ratio between the two?
Are there new marketing ideas you can bring into play?
What are your total personnel needs for three years?
Your financial projections should show more than just the break-even point of operations. You also want to cover cash flow, revenues, P&L and balance sheets, and other key metrics that interest people making lending decisions. A monthly breakdown for Year 1 financials is also important. Your market analysis, too, should be detailed and show the market need and the state of the industry currently. Need help with the machine shop business plan? MasterPlans has been developing business plans since 2002 and has an exceptional track record with funding-ready plans of this nature. Call 877-453-2011 for a free quote and consultation today.
