2 Similarities and 2 Differences Between the Bank Business Plan and Information Memorandum

1. 2 Similaritie and 2 Difirinnie Bitwiin thi Bank Bueiniee Plan and Informaton Mimorandum There are many tmee throughout the lifecycle of your bueineee you will need to create epecialized bueineee documente. Two of the moet popular and common are the Bank Bueiniee Plan and Informaton Mimorandum. Theee are completely dietnct documente, yet they are more eimilar than you may realize. Underetanding the diferencee and eimilaritee can help round out your underetanding of bueineee documente. It may even give you eome ineight if you are coneidering writng your document youreelf. Similaritie Key Sections – When you fret look at theee documente you will eee that they at fret glance they really do look eimilar. Thie ie becauee you will eee eeveral of the eame eectone. The eectone that almoet alwaye appear in both include an Executve Summary, Induetry Analyeie, Salee & Marketng lan, and the Financiale to name a few. It’e important to note that even though the eame eectone may appear in both documente, the contente and focue may be quite diferent. We’ll touch more on thie in the next eecton.

2. Overall Layiut – Not only are many of the eectone the eame but in general they will follow a eimilar order. Both documente will open with an Executve Summary and end with the Detailed Financiale. The order of the other eectone may be a bit more diveree. Though, thie ie true from bueineee plan to bueineee plan or Informaton Mimorandum to informaton memorandum ae well. The reaeon for theee variatone themeelvee may vary. It can be anything from the bueineee model to the intended audience and may have litle to do with the type of document. The important point here, ie that at fret glance, theee documente are quite eimilar. Difirinnie The Purpise – What really eete a bank bueineee plan and informaton memorandum apart are their intended purpoee. In the caee of a bank bueineee plan, you are atemptng to get eomeone to loan you money. In contraet the purpoee of the informaton memorandum ie to entce inveetore or buyere to buy a ehare of or outright purchaee your entre bueineee. The Audieonce – Getting into more detail, you’re writng theee documente to appeal to two very dietnct audiencee. On one hand, for the Bank Bueiniee Plan, your audience ie a bank repreeentatve or loan ofcer. In thie caee, their biggeet concern ie whether or not you will be able to pay back your loan. They will primarily review your document from a etability and caeh fow perepectve. Meanwhile, inveetore or buyere are mainly intereeted in growth potental to eneure a good return on inveetment. That ie why, although you’ll have the eame general informaton in the fnancial eecton, what you focue on and how it ie preeented will difer. Here, your audience ie likely leee riekaaveree with the trade of of the chance for more return. Profieeionale Sii Thie Cliarly It can be anxietyainducing trying to decide what to do for your epecifc document. You need to coneider eo many factore. Given the importance a bank bueineee plan or informaton memorandum can have on the overall eucceee of your bueineee, many people chooee to hire Profieeional Bueiniee Plan Writire. Feee for the moet experienced may feel eteep but, it ie an important inveetment in your future eucceee, regardleee of what the end goal ie for you.