Reviewed by
You've just applied for a Small Business Administration (SBA) loan. The lender asks for a business plan, and you've no idea if that means they want three pages or 30.
I've spent my career helping small and midsize businesses (SMBs) access financing, and I get this question all the time. In my experience, a business plan template can save you a lot of time. Below, I share free templates for three kinds of business plans. You'll also find a financial projections template and an action plan template.
When your plan is ready, you can apply today.
| Template | Format | Best for |
|---|---|---|
| One-page business plan | Google Docs | Simple planning and quick overviews |
| SBA-loan-ready business plan | Google Docs | SBA loan applications |
| Startup business plan | Google Docs | Pitching investors |
| Financial projections template | Google Sheets | Forecasting revenue, costs, and cash flow |
| Business action plan template | Google Sheets, Excel, Word | Turning goals into tasks and milestones |
The Sections of a Business Plan
There are two main types of business plans recommended by the U.S. Small Business Administration (SBA). A traditional business plan goes deep into every part of the business. A lean startup plan is a one-page business plan that hits just the key points.
Here's the difference.
Traditional business plan
This is a detailed business plan that includes a standard structure. Common sections include an executive summary, a market analysis, a company description, five years of financial projections, and more. These often run for dozens of pages and take some time to write.
Lean startup plan
This is a one-page business plan that is more high-level. It can include sections on partnerships, activities, revenue streams, and resources. It should include a clear value proposition that explains what your business brings to the market.
A traditional business plan includes the business plan sections listed below.
Executive summary
A brief overview of your company, mission statement, and leadership. Make sure to include your financing ask and growth plans.
Company description
This section should include the problem you solve, the customers you serve, and your competitive advantage in the market.
Market analysis
A review of your target market. It should include an industry outlook and market research on your competitors.
Organization and management
This should include your org chart, your management team, and legal structure.
Products and services
Explain what you sell, how it helps customers, and any intellectual property you own.
Marketing and sales strategy
This section is an overview of your marketing plan and how you turn leads into customers.
Funding request
This is your financing ask. Explain your funding requirements clearly and include how you'll use the money and repay it.
Financial projections
Include your income statement, balance sheet, and cash flow statement forecasts.
Appendix
Any supporting documents that help your business case. This could include licenses, permits, or contracts.
Where Lenders Look First
The first place most lenders tend to look is the funding request and financial plan. They want to see an exact dollar amount with a clear use case and that your cash flow can cover the payment.
Next, they typically look at the management team section. Lenders want to understand who operates the business day-to-day.
A Simple Business Plan Outline
Our simple business plan template fits on one page. It includes the basics, like what your business does, the problem you're looking to solve, and how much funding you need.
This is a great place to start if you just need a simple plan or if you're trying to better understand your market. Though if you're applying for financing, lenders typically want more information about your business.
An SBA-Friendly Business Plan Outline
SBA loans offer competitive rates and long repayment terms, which help keep monthly payments low. These loans also come with more paperwork than most.
Through Clarify Capital's lender network, SBA loans are typically funded in 30 to 90 days, and lenders review your business plan before they approve.
Our SBA-loan-ready business plan template can help you organize your business plan for an SBA loan. Here are the pieces lenders ask about the most:
Loan request
This section should cover how much you need, the type of loan you're applying for, the term, and how you plan to spend the money.
Collateral
Do you own any assets you could pledge as collateral? List them in this section alongside their worth.
Repayment plan
Lenders want to see that you can cover your monthly payment with the current cash flow from your business.
Owner finances
List your personal assets, debts, and credit score. Owners with 20% or more of the business typically sign a personal guarantee.
Lenders tend to spend the most time on the repayment plan section. Before approving you, they want to make sure that your cash flow can cover a new payment with room to spare.
Read more about SBA loan requirements before you apply.
Startup Business Plan Outline
The most detailed plan of the three is a startup business plan outline. This is an investor-ready template that covers the full set of traditional business plan sections, including a market analysis, competitor breakdown, and financial projections.
Market size
Estimate the total market for what you sell and the share that you reach.
Traction and milestones
Show what you've accomplished so far, including sales, key partnerships, and your plan for the future.
Funding request
This section should show how much you're raising, the business's pre-investment worth, and how you'll spend the money.
Exit strategy
Explain how investors could cash out down the road. This could be through a sale of the business or another funding round.
Most lenders require some time in business before they'll approve a new business for financing. Clarify Capital's lender network requires at least six months for some financing types. SBA loans through Clarify Capital typically require at least two years in business.
What To Bring With Your Plan
Your business plan is just one part of the total application. Here are the other documents you need and what lenders typically use them for.
| Document | What lenders use it for |
|---|---|
| Profit and loss statement, balance sheet, and cash flow statement | Checking current financial health (current within 60 to 90 days) |
| Profit and loss statements for the last three fiscal years | Spotting revenue and profit trends |
| Signed business and personal tax returns | Verifying income (often the last three years) |
| Business bank statements | Confirming cash flow (often the last three months) |
| Current loan and lease agreements | Seeing what debt you already carry |
| Business license and proof of a business checking account | Confirming the business is legitimate |
| Personal financial information and credit score | Weighing a personal guarantee |
Paperwork requirements vary by loan type. Our overview of small business loan requirements goes more in-depth on what you need to know.
Minimum Qualifications
For Financing Through Clarify Capital
$10,000 in monthly revenue
Your business must earn at least $10K per month in a business bank account.
500+ credit score
You can get approved with any credit score. But the better your credit rating, the better interest rates lenders offer. Your FICO score should be above 500.
Minimum six months in business
Your company should be operational for a minimum of six months. This shows business lenders that your company is sustainable and won't go out of business.
Have a business bank account
Your Clarify advisor will need three or four months of your most recent bank statements to verify income. This is just to see you're actually making $10K+ month in revenue.
Free Financial Projections Template
Financial projections are required for some types of financing. They show a lender how your business plans to earn money and pay its bills over the next few years. Our free financial projections template covers the statements that lenders want to see most often.
Here's a quick breakdown:
| Statement | What it shows | Question it answers |
|---|---|---|
| Income statement (profit and loss) | Revenue, costs, and profit over a period | Does the business make money? |
| Cash flow statement | Cash coming in and going out each month | Can you pay your bills on time? |
| Balance sheet | Assets, liabilities, and equity at one point in time | What does the business own and owe? |
Filling out the template is simple. Start with your revenue. Multiply the number of units you expect to sell by your price for the month. Next, add the cost of goods sold, your operating expenses, and any one-time purchases. Split your expenses into fixed and variable costs. These costs will help the template build your income statement.
Then you can map out your cash flow by recording when customers actually pay you and when your bills are due. Fill in the balance sheet and run a break-even analysis. Then re-run this once a quarter to keep your projections current.
Formulas Behind the Template
The template runs these formulas for you. It still helps to know what each one tells you.
| Formula | How to calculate it |
|---|---|
| Gross profit | Revenue minus cost of goods sold |
| Net income | Revenue minus all expenses |
| Working capital | Current assets minus current liabilities |
| Owner's equity | Total assets minus total liabilities |
| Break-even point in units | Fixed costs ÷ (price per unit minus variable cost per unit) |
| Break-even point in sales dollars | Fixed costs ÷ contribution margin |
A quick tip is to keep your projections close to what your bank statements already show. A forecast that shows a major increase in revenue with no clear reason will raise questions.
Free Business Action Plan Template for 2027
An action plan is more like an operational plan. It includes the steps, people, and milestones that help you reach your business goals. Here's a free action plan template that you can use to get started today.
Step 1: Set SMART goals
SMART goals are specific, measurable, achievable, relevant, and time-bound. A sample SMART goal would be increasing revenue in a new geographic area by 15% in 12 months.
Step 2: Research one strategy
Pick a single strategy to hit your goal. Do market research and compare findings to your sales data.
Step 3: Model costs and returns
Calculate an estimate of what it will take to launch after a pilot. Plug these numbers into the financial projections template above.
Step 4: Assign owners and deadlines
Develop a list of tasks that reflect your goals. Pick someone on your team to lead the project and establish milestones. Give each task a clear deadline.
Step 5: Pilot, measure, and scale
Test your plan on a small scale before committing. Track metrics and results against your targets.
Step 6: Review every quarter
Check in with your team on a regular basis. Adjust the plan when results are below target.
Here's what an action plan looks like for a business owner deciding if they should expand into a new market.
| Task | Owner | Due date | Milestone |
|---|---|---|---|
| Run a survey of demand and competitor pricing in the new county | Owner | Month 1 | Go or no-go decision |
| Build cost and revenue projections | Bookkeeper | Month 2 | Break-even point set |
| Secure financing and equipment | Owner | Month 3 | Funding in place |
| Use one crew to run a three-month pilot | Operations manager | Months 4 to 6 | Pilot hits 50% of revenue target |
| Expand to full service in the new area | General manager | Months 7 to 12 | 15% revenue growth |
For more ideas, explore our page on business growth strategies.
Step 1:Apply online
It takes about two minutes. You'll need your business's legal name, EIN, time in business, monthly revenue, requested loan amount, owner contact information, and a credit authorization.
Step 2:Connect with a lending advisor
A U.S.-based Clarify Capital lending advisor reviews the application, runs a soft credit pull (no impact to your score), and requests 3 to 4 months of recent business bank statements.
Step 3:Get matched and funded
Clarify Capital works with 75+ vetted lenders and matches your profile with the right financing. Approvals often get a same-day offer (SBA loans can take longer).
Working With Clarify Capital
Clarify Capital works with a network of 75+ vetted, reputable lenders across 7+ financing types. We've financed more than 50,000 small and midsize businesses across 1,000+ industries through our network.
When you apply, a U.S.-based lending advisor reviews your application. You'll never be routed through a call center or a chatbot. Your advisor can review your financial projections and give you options that fit your numbers.
We also hold a 5.0 Trustpilot rating, the highest trust rating in the industry. Checking your options won't affect your credit score.
Pick the Right Template and Fill In Real Numbers
Pick the template that matches your business needs. A one-page plan is a good place to start for early planning. Once you're ready to apply for financing, a traditional business plan suits most potential lenders.
A strong business plan gives lenders a clear reason to say yes. When your business plan is ready, apply today to see what you qualify for.
Frequently Asked Questions
Can ChatGPT Write a Business Plan?
ChatGPT and AI tools can help draft a version of your business plan. They can also help tighten your writing. That said, these tools don't know your actual business numbers, so they will fill in gaps if you don't provide that information. Treat AI as a draft starting point and replace each number with your own figures.
What Are the Three C's of a Business Plan?
The three C's of a business plan are concept, customers, and cash. Concept refers to what your business does, and the customer is whoever buys your products or services. Cash covers how the business makes money.
How Do You Make a Very Simple Business Plan?
Start with a one-page business plan and answer the following questions about your business: What do you sell? Who buys it? How do you reach them? What does it cost to run your business? Then, add up your top goals for the year, and you have a working business plan.
Is There a Free PDF Business Plan Template?
Yes. Any of the Google Docs templates above is free. You can copy or download them as a PDF and fill them out with your numbers.
Is My Information Secure When I Apply With Clarify Capital?
Yes. Clarify follows SOC 2 security principles to protect the financial and personal information you share during the application process.
Michael Baynes
Co-founder, Clarify
Michael has over 15 years of experience in the business finance industry working directly with entrepreneurs. He co-founded Clarify Capital with the mission to cut through the noise in the finance industry by providing fast funding and clear answers. He holds dual degrees in Accounting and Finance from the Kelley School of Business at Indiana University. More about the Clarify team →
Related Posts
