A business plan can help you set your small business for success. But you’ll also need funds to get your business started. Fund management can help you organise and grow your business finances. But what is fund management, and how can you include it in your business plan?
This guide will discuss including fund management in your business plan, including:
- Why a business plan is important for your business
- What fund management is
- How to include fund management in your business plan
You can learn more about how to write a business plan here.
Why a business plan is important for your business
A small business plan is the foundation of any small business, and it’s useful to put one together before starting your business. Doing so allows you to prepare for your daily business operations and future growth.
By planning, you can make sure you understand your target market and audience. You can also establish a budget and consider your short-term and long-term goals for the future of your business. You can use the plan to target your businesses strengths and weaknesses and its overall objective.
Without a business plan, you may not be able to keep up with the operations of your business. Planning will help you focus on organising your business. This includes considering how you’ll create quality products and services, marketing methods, and financial organisation.
What fund management is
Fund management is how you organise your business finances and investments to benefit your business. This could include the types of funding you’ll seek for your small business or the financing you’ll source to start the venture.
With this, you can be aware of the amount you have to invest in your small business. You can also manage your finances to know where and how to put that excess cash towards your business growth.
Having a strong grip on your accounts can help you know how much money you have and where to put it. Good funding management will help you translate your finances into earnings.
How to include fund management in your business plan
If you include fund management in your business plan, you can benefit from it as soon as you set up your operations. There are a few things you can consider when including it.
Why should you include fund management?
Fund management can help with your business organisation and increase your professionalism. With strong fund management, you can also draw in potential investors.
Consider how you’ll plan for fund management
When writing your business plan, you’ll want to consider a few things. For example, you’ll need to consider what services you’ll offer and how much you’ll charge for them. You’ll also need to consider your budget and marketing methods. All of these things depend on the funds you have and how you’ll make money for your small business.
Fund management can help you focus on those funds and how you’ll grow them.
When planning for fund management in your business plan, consider what money will be necessary when starting your business. Your startup costs are essential to getting your business up and running. Then, you can consider how you’ll access this money. Overall, fund management can help promote clarity for your business finances from the start.
Determine your goals
The most important part of including fund management in your business plan is considering what you want to get out of it. How do you want to focus your business funding, and what do you want to achieve overall?
Research fund management
To get the most out of fund management in your business plan, do some research on it before you get started. This will help you understand more about what it offers and how it can help your small business.
You can use this research to consider what types of funds you will need to succeed in your small business and how you can access and manage that money.
Types of funding
There are a few types of funds you could invest in with your small business. You can choose to seek financing from other businesses or take out loans to support your startup. You can target crowdfunding or seek investors if you think your business has the potential to return these investments.
You can also look at ways to invest funds to grow your money for your business. Where you decide to take and put money for your business planning is important to consider from the start.
When doing this, consider what you’ll need to start building revenue for your business. If you mismanage your funds, you may reduce your business cash flow and be unable to support your operations in the long run. Good management of funds will help you have the money you need to start and improve your business.
Save time organising your finances with Countingup
Once you’ve included fund management in your business plan, you’ll need to keep on top of your small business finances. Financial management can be stressful and time-consuming when you’re self-employed. That’s why thousands of business owners use the Countingup app to make their financial admin easier.
Countingup is the business current account with built-in accounting software that allows you to manage all your financial data in one place. With features like automatic expense categorisation, invoicing on the go, receipt capture tools, tax estimates, and cash flow insights, you can confidently keep on top of your business finances wherever you are.
You can also share your bookkeeping with your accountant instantly without worrying about duplication errors, data lags or inaccuracies. Seamless, simple, and straightforward!
Find out more here.