It should be noted that there is no special software required to use these templates. All business plans come in Microsoft Word and Microsoft Excel format. Each business plan features:

• Excecutive Summary
• Company and Financing Summary
• Products and Services Overview
• Strategic Analysis with current research!
• Marketing Plan
• Personnel Plan
• 3 Year Advanced Financial Plan
• Expanded Financial Plan with Monthly Financials
• Loan Amortization and ROI Tools
• FREE PowerPoint Presentation for Banks, Investors, or Grant Companies!

1.0 Executive Summary

The purpose of this business plan is to raise $100,000 for the development of a gift card distributor while showcasing the expected financials and operations over the next three years. Gift Card Distributor, Inc. (“the Company”) is a New York based corporation that will provide a number of different gift card products to retail customers in its targeted market. The Company was founded by John Doe.

1.1 Products and Services

The Gift Card Distributor is a business that specializes in the distribution of stored value cards from retail locations and major payment processors. The Company will actively distribute its acquire gift card inventories to retail businesses throughout the New York Metropolitan area. The business will also earn substantial secondary incomes from ancillary distribution fees and services rendered to customers that operate outside of the Company’s target market radius. The third section of the business plan will further describe the products offered by the Gift Card Distributor.

1.2 The Financing

Mr. Doe is seeking to raise $100,000 from as a bank loan. The interest rate and loan agreement are to be further discussed during negotiation. This business plan assumes that the business will receive a 10 year loan with a 9% fixed interest rate. The financing will be used for the following: • Development of the Company’s location. • Financing for the first six months of operation. • Capital to purchase the Company’s inventory of gift cards. Mr. Doe will contribute $10,000 to the venture.

1.3 Mission Statement

Gift Card Distributor’s mission is to become the recognized leader in its targeted market for gift card products.

1.4 Mangement Team

The Company was founded by John Doe. Mr. Doe has more than 10 years of experience in the general distribution industry. Through his expertise, he will be able to bring the operations of the business to profitability within its first year of operations.

1.5 Sales Forecasts

Mr. Doe expects a strong rate of growth at the start of operations. Below are the expected financials over the next three years.

1.6 Expansion Plan

The Founder expects that the business will aggressively expand during the first three years of operation. Mr. Doe intends to implement marketing campaigns that will effectively target retail locations within the target market.

2.0 Company and Financing Summary

2.1 Registered Name and Corporate Structure

Gift Card Distributor, Inc. The Company is registered as a corporation in the State of New York.

2.2 Required Funds

At this time, the Gift Card Distributor requires $100,000 of debt funds. Below is a breakdown of how these funds will be used:

2.3 Investor Equity

Mr. Doe is not seeking an investment from a third party at this time.

2.4 Management Equity

John Doe owns 100% of the Gift Card Distributor, Inc.

2.5 Exit Strategy

If the business is very successful, Mr. Doe may seek to sell the business to a third party for a significant earnings multiple. Most likely, the Company will hire a qualified business broker to sell the business on behalf of the Gift Card Distributor. Based on historical numbers, the business could fetch a sales premium of up to 4 times earnings.

3.0 Products and Services

Below is a description of the products offered by the Gift Card Distributor

3.1 Gift Card Products

Management is currently in the process of sourcing a number of companies that produce and market gift cards for selected retail stores as well as general stored value cards offered by Visa, MasterCard, and American Express. The Company will acquire wholesale inventories of gift cards with the intent to resell them among retail locations. There is a strong demand among individuals that want to provide a gift to a person, but do not know exactly what to get them. Management anticipates that the Company will be able to mark-up our purchased inventory 65% of its actual cost.

4.0 Strategic and Market Analysis

4.1 Economic Outlook

This section of the analysis will detail the economic climate, the stored value card industry, the customer profile, and the competition that the business will face as it progresses through its business operations. Currently, the economic market condition in the United States is in recession. This slowdown in the economy has also greatly impacted real estate sales, which has halted to historical lows. Many economists expect that this recession will continue for a significant period of time, at which point the economy will begin a prolonged recovery period.

4.2 Industry Analysis

Over the past few years the stored value card industry has experienced significant growth. Seven years ago only a handful of financial institutions offered debit card programs and now virtually every bank and credit union is offering a similar program. Financial institutions see the opportunity to leverage these products to tap the nearly 50 million “unbanked” and credit challenged consumers in an effort to bring them back into the mainstream financial system with hopes of up selling into other financial products such as new accounts, credit cards, mortgages or other services. In addition, merchant acceptance, convenience and cost effectiveness have been the major factors, as the “credit like” ease of use, zero finance charges, and ATM withdrawal capabilities has made it very attractive to consumers. Facts about the industry conclude that: • Over 50 million prepaid debit cards will be issued in 2009, and within five years, projections are that more than 300 million will be in use • Similarly, by 2009 over USD 72 billion in prepaid transactions are expected, up from the 2006 total of USD 42 billion, largely because of the low-risk, cost-efficient proposition and ease of qualification. • The U.S. stored-value/debit (prepaid) card market will be worth USD 290 billion by 2010. With the broad applications of stored value cards, they are very valuable to the financial industry in that they are able to support a variety of services such as healthcare, payroll, international remittance, insurance and basic everyday financial transactions such as ATM and POS (Point of Sale) purchases

4.3 Customer Profile

Gift Card Distributor’s average end user will be a middle to upper middle class woman living in the Company’s target market. Common traits among clients will include: • Annual household income exceeding $50,000 • Will spend $25 to $100 on a gift card distributed by the Company.

4.4 Competitive Analysis

This is one of the sections of the business plan that you must write completely on your own. The key to writing a strong competitive analysis is that you do your research on the local competition. Find out who your competitors are by searching online directories and searching in your local Yellow Pages. If there are a number of competitors in the same industry (meaning that it is not feasible to describe each one) then showcase the number of businesses that compete with you, and why your business will provide customers with service/products that are of better quality or less expensive than your competition

5.0 Marketing Plan

The Gift Card Distributor intends to maintain an extensive marketing campaign that will ensure maximum visibility for the business in its targeted market. Below is an overview of the marketing strategies and objectives of the Gift Card Distributor.

5.1 Marketing Objectives

• • Develop an online presence by developing a website and placing the Company’s name and contact information with online directories.

• • Implement a local campaign with the Company’s targeted market that will connect the business to retailers.

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5.2 Marketing Strategies

Mr. Doe intends on using a number of marketing strategies that will allow the Gift Card Distributor to easily target retail stores within the target market. These strategies include traditional print advertisements and ads placed on search engines on the Internet. Below is a description of how the business intends to market its products to retail locations. The Gift Card Distributor will also use an internet based strategy. This is very important as many people seeking local products, such as gift card distributors, now the Internet to conduct their preliminary searches. Mr. Doe will register the Company with online portals so that potential retail customers can easily reach the Gift Card Distributor business. The Company will also develop its own online website. The Company will maintain a sizable amount of print and traditional advertising methods within local markets to promote the gift cards that the Company is selling.

5.3 Pricing

In this section, describe the pricing of your services and products. You should provide as much information as possible about your pricing as possible in this section. However, if you have hundreds of items, condense your product list categorically. This section of the business plan should not span more than 1 page.

6.0 Organizational Plan and Personnel Summary

6.1 Corporate Organization

6.2 Organizational Budget

In this section of the business plan, you should write a two to four paragraph biography about your work experience, your education, and your skill set. For each owner or key employee, you should provide a brief biography in this section.

7.0 Financial Plan

7.1 Underlying Assumptions

• • The Gift Card Distributor will have an annual revenue growth rate of 16% per year.

• • The Owner will acquire $100,000 of debt funds to develop the business.

• • The loan will have a 10 year term with a 9% interest rate.

7.2 Sensitivity Analysis

In the event of a more severe economic downturn, the business may have a decline in its revenues. However, the high gross margins generated by the business will ensure that the business will maintain profitability despite deleterious economic conditions.

7.3 Source of Funds

7.4 General Assumptions

7.5 Profit and Loss Statements 

7.6 Cash Flow Analysis

7.7 Balance Sheet

7.8 General Assumptions

7.9 Business Ratios

Expanded Profit and Loss Statements

Expanded Cash Flow Analysis