The business concept-write out explicitly what it is that your business is going to do. Focus on the product or service that you are going to provide. If you are going to knit baby clothes, say exactly what kinds of baby clothes. Will you make booties, hats, or sweaters? What age of baby will you focus on? What will be special about your baby clothes? Develop as many ideas as possible while writing this portion of the plan. You should try to answer all of the "W" question that relate to your business. Who is going to be doing the work? Where will the product be sold or the service delivered? When will you begin production, advertisement, delivery? What exactly will you provide to your customers?

The customer concept-the next step is to focus on your customers. Really think about who you will be working with and what you will have to do to earn their business. You can start by answering the same "W" questions as you did to develop your business concept. Who will use your product or service? Where will they find out about you? What will you they expect? As you spend some time thinking about your potential customers, you should also think about your competitors. Are your customers currently receiving your services or products from somewhere else? If so, try to find out what they are currently paying and what complaints they might have about your competition.

The budget-the main thing that the banks will look at when they review your business plan is your budget. To help you make a budget you might want to download a budgeting spreadsheet from the internet. There are plenty of free spreadsheets available that can help get you started. There are only two categories that you will need to include in your budget: expenses and profits. However, within these categories there is a lot to think about. The more detailed you get with your budget, the better off you will be. If you write down that you will spend $500 a month on "materials" but haven't thought out what materials, exactly, that you will need you might be unpleasantly surprised at the end of the month when you have spent $1000 on materials.

Building a realistic budget might be some aspect of your business that you need to hire a consultant for. If you are trying to predict revenue or create a break-even analysis and you find that you don't even understand the language, it might be time to get professional help. Even if you have to put a little money up front, having a realistic budget will help you make money on down the road.