Do you need a business plan to start a foreclosure cleanup business? No, not unless you're planning to borrow money to start. Should you write a business plan? Yes. Absolutely!
Road Map to Success
A business plan is simply a road map that will assist you in planning your foreclosure cleanup business. You'll discover things about yourself, your business, and your partner (if you have one) before you even start. You'll change some things before you start as a result of doing a business plan, too. It's best to work out the kinks on paper, instead of when you're head-first into your new business.
Business Plan Sections
A business plan is comprised of the following sections, at minimum:
1) Description of Your Business
2) Marketing Section
3) Finances Section
4) Management Section
Using the SBA to Guide You
The U.S. Small Business Administration ("SBA") is one of those independent agencies of the federal government that is an invaluable resource for small business owners (for start-ups and established businesses alike).
Back in 1953, the SBA was created to aid, counsel, assist and also protect the interests of small businesses. The SBA helps and encourages Americans to start and build businesses. Visit sba.gov for some very detailed information on writing a solid business plan for your foreclosure cleaning business.
Counselors of America's Small Business Owners
For more assistance with writing your foreclosure cleaning business' road map, reach out to the Counselors of America's Small Business Owners ("SCORE"). SCORE, also known as the "Service Corp of Retired Executives," is a partner of the SBA and will guide you step-by-step in writing an effective business plan for your REO trashout business. They even have a business plan template on their website in both PDF and Word formats at this link: http://www.score.org/template_gallery.html.
This is a phenomenal nonprofit group that helps create over 20,000 businesses per year. With an increasing network of over 12,000 volunteers, these executives and volunteers have been in your shoes and can assist you from the startup phase, through growth, financing, licensing, branding, marketing and even selling if ever you decide to sell your business one day.
You can call the Counselors of America's Small Business Owners for one-on-one counseling, or you can opt to attend workshops. You may even choose to partner with a mentor who has been in your industry. Through this mentoring relationship, you can fondly pick your mentor's brain over and over again and gain valuable insight on how to go about planning a successful enterprise.
The SCORE organization is one of those beautiful things we pay for with our government tax dollars, so use them. Visit the organization online at score.org.
Value of Business Planning
SCORE sums up the value of a business plan beautifully: "The real value of creating a business plan is not in having the finished product in hand; rather, the value lies in the process of researching and thinking about your business in a systematic way. The act of planning helps you to think things through thoroughly, study and research if you are not sure of the facts, and look at your ideas critically. It takes time now, but avoids costly, perhaps disastrous, mistakes later."
Beginning of Independent Wealth
Remember, though it can be arduous, this necessary road map you will create during the planning phase can be the beginning of independent wealth for you as a new business for the rest of your life. Good luck as you roll up your sleeves and get started planning your foreclosure cleanup business.
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Cassandra Black is a Foreclosure Cleanup Business Consultant, the Author of How to Start a Foreclosure Cleanup Business, and several foreclosure cleanup industry Guides, Reports and Forms. She is also CEO of Foreclosure Cleanup, LLC and a Real Estate Investor and Landlord. Follow Cassandra and Foreclosure Cleanup, LLC on Twitter. Check back often for more How to Start a Foreclosure Cleanup Business: FREE Articles & Advice posts.