You would first do a P&L for the present year for your existing business and the first year and as many years after as you would like to have your plan cover. Your existing business financials will be the foundation for building yourself a business plan for as many years out as you want. This data will tell you a number of things but first if you want to build your plan around what you want in life, you would need to decide some things about your life: 1. You would need to decide how much income you would like to have for yourself for each of the years you plan for. 2. You would need to determine what kind of profit margin you would want from your business for each of the years. 3. And by combining these 2 things into a P&L format you can develop a financial business plan that can extend as for into the future as you would like. 4. The first thing it will show you is how much sales you would need each year to give you the income and profit you would like. Once you see the sales needed, if you know your business well enough, you should be able to estimate those additional expenses needed to overcome capacity constraints that will occur as your business grows. With this information you can actually predict not only what your sales will be, but you can see how much your fixed and variable expenses will be, what your labor cost will be, your material cost, and your profit.
Figure Out How to Do It _ Every entrepreneur has a very idealistic image in their mind of the kind of business that they want. Getting to that point is a process though and you need to work out a path to get there. One great way to figure out how you will proceed is to first write down what you want to do. Next, write down as many questions as you can about how you are actually going to do it. These will include questions like 'Will I do on_site or off_site catering?', 'How will I get access to kitchen facilities?' or 'How many catering jobs will I need to land each month to break even?'. As you slowly work out the answers to the problems that you come across you can write them down in the appropriate sections of your business plan.