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 an independent title insurance company while showcasing the expected financials and operations over the next three years. Title Insurance Company, Inc. (“the Company”) is a New York based corporation that will provide sales of title insurance products (among a number of carriers). The Company was founded by John Doe.

1.1 Products and Services

Title Insurance Company, Inc. is actively engaged in the business of providing services relating to the closing of real estate transactions in Orlando and throughout the State of New York. The business provides title searches, closing document preparation, title endorsements, notary services, and title insurance policy underwriting. Management uses a broad network of accountants, attorneys, real estate agents, and mortgage firms for referrals. The third section of the business plan will further describe the services offered by the Title Insurance Company.

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 Title Insurance office location. • Financing for the first six months of operation. • Capital to purchase a company vehicle. Mr. Doe will contribute $10,000 to the venture.

1.3 Mission Statement

It is the goal of the Company to provide clients with the highest quality title insurance available to people within its target market.

1.4 Mangement Team

The Company was founded by John Doe. Mr. Doe has more than 10 years of experience in the title insurance and real estate 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 individuals and real estate agents within the target market.

2.0 Company and Financing Summary

2.1 Registered Name and Corporate Structure

Title Insurance Company, Inc. The Company is registered as a corporation in the State of New York.

2.2 Required Funds

At this time, the Title Insurance Company 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 Title Insurance Company, 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 Title Insurance Company. 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 title insurance services offered by the Title Insurance Company.

3.1 Title Insurance

Primarily, Title Insurance Company performs title searches, examination, and endorsements. This will ensure that any possible errors and omissions related to the title insurance policy are reduced to an absolute minimum. These title searches verify all public records of the deed for a specific property and that there are no existing liens or claims against the deed. The business also offers title endorsements, which are designed to improve the coverage policy offered by the underwriter. These endorsements allow for expansions of the title policy for real estate transactions that are more complicated than the simple transfer of a deed to another party. The fees for these endorsements will vary depending on the complexity of the specific real estate transaction.

3.2 Notary and Miscellaneous Services

As part of the legal real estate closing process, Title Insurance Company also provides notary and document preparation services to ensure that the real estate closing is done within the complete letter of the law.

4.0 Strategic and Market Analysis

4.1 Economic Outlook

The business of title abstract and policy underwriting services is a relatively straightforward business that has moderate operating concerns. The business’s revenues are directly tied to the strength of the national real estate markets, and as such, there are several concerns that need to be addressed as the Company progresses through its business operations. Currently, the housing market (and the general economy) is going through a major pricing correction, although there are many indicators showing that the market is hitting its bottom. Last year, there was an unexpected increase in new housing starts and housing sales. Additionally, real estate investors have begun to buy many undervalued properties on a nationwide basis with the assumption that housing prices have declined past their true intrinsic value. This presents companies like Title Insurance Company with the opportunity to capitalize on not only on the housing foreclosures that must have title searches, but also among real estate buyers that need title searches to facilitate purchases.

4.2 Industry Analysis

Title search and insurance companies provide services that are extremely important to any real estate closing. Every lender requires that a title search and title policy be performed before any real estate closing can occur. As such, these businesses maintain a strong economic position within the real estate market. Nationwide, there are over 25,000 businesses that act as agent for title insurance underwriters. These businesses usually maintain several satellite offices. Each year, these businesses generate in excess of $5 billion dollars of revenue from title insurance premiums, abstract searches, endorsement fees, document preparation, and notary fees. Additionally, the barriers to entry among these businesses is very low, and new market agents can enter markets quickly after filing the proper documentation and receiving the proper licensure in any given jurisdiction.

4.3 Customer Profile

Title Insurance Company’s average client will be a middle to upper middle class man or woman living in the Company’s target market. Common traits among clients will include: • Is purchasing a home with a value of $200,000 to $400,000 • Title insurance is required by their lender • Household income of $65,000 to $100,000

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

Title Insurance Company 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 Title Insurance Company.

5.1 Marketing Objectives

• • Establish relationships with accountants and attorneys.

• • Implement a local campaign with the Company’s targeted market via the use of flyers, local newspaper advertisements, and word of mouth.

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

5.2 Marketing Strategies

At the onset of operations, Mr. Doe intends to develop/expand his referral network from local accountants, attorneys, and regional real estate brokerages that will continually refer customers to the Title Insurance Company. Additionally, Management expects that local word-of-mouth referrals will also be an immense asset to the business as the Company expands its market reach into other areas of the target market. The business will also develop numerous relationships with local businesses and professional organizations. Management will also focus on developing the business name within the community by sponsoring a number of local events and remaining active in the community. The Title Insurance Company will also advertise via the Internet and through traditional print media for the local markets. This strategy will include listings in the local phone books and newspapers.

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 Title Insurance Company 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

The Title Insurance Company’s revenues are sensitive to the general condition of the economy. The Company’s services demand that real estate transaction close in order to generate revenue. In times of low sales (like the current economic climate), the Company is certain to have a decrease in its top line income. However, the Company’s gross margins in relation to the operating costs of the business are extremely low, and the business will be able to survive a substantial decrease in business before the Company becomes unprofitable. However, this is unlikely as the real estate market has begun to show signs of correction.

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