Thesis: Business planning in a credit institution
In the article, we have collected expert recommendations on drawing up a business plan for obtaining a bank loan to develop a business and start from scratch. Also in the article there are 5 examples of business plans.
What is a business plan
To get a bank loan for the needs of a company, you need to draw up a competent and economically sound project on paper.
A business plan for obtaining a loan is a type of document in which all opportunities to start or expand your business are analyzed and described.
In the plan, you should describe how you intend to use the funds received.
Differences from a regular business plan
There are a number of differences:
- In a business plan for a loan, you justify your need for financing, in a specific time period;
- you need to prove that borrowed funds are needed specifically for business development;
- the developed document must confirm that its owner is solvent and will be able to make payments on the loan in due time.
The plan should demonstrate to the bank's specialists that it is safe to lend money to you. For this, it will be analyzed and evaluated.
When a business plan is needed by a lending institution
The document will be requested from the credit institution if:
- you are an individual entrepreneur;
- loan funds are needed for a substantial period (more than 3 years);
- there is no sufficient collateral ;
- the company has been operating for less than six months;
- you are applying for preferential credit terms.
Sample business plans for a bank loan
You will learn about the current changes in the CC by becoming a participant in the program developed jointly with Sberbank-AST JSC. Students who have successfully mastered the program are issued certificates of the established form.
The program was developed jointly with Sberbank-AST JSC. Students who have successfully mastered the program are issued certificates of the established form.
Draft Ordinance of the Bank of Russia "On the procedure for drawing up business plans of credit institutions and criteria for their assessment" (as of)
This Directive has been developed on the basis of the Federal Law "On Banks and Banking Activities" (as amended by Federal Law No. 17-FZ of February 3, 1996) (Bulletin of the Congress of People's Deputies of the RSFSR and the Supreme Soviet of the RSFSR, 1990, No. 27, Art. 357; Collected Legislation of the Russian Federation, 1996, No. 6, Art. 492; 1998, No. 31, Art. 3829; 1999, No. 28, Art. 3459, 3469; 2021, No. 26, Art. 2586, No. 33, Art. 3424; 2021, No. 12, Art. 1093; 2021, No. 27, Art. 2700, No. 50, Art. 4855, No. 52, Art. 5033, 5037; 2021, No. 27, Art. 2711, No. 31, Art. 3233; 2021, No. 1, Art. 18, Art. 45, No. 30, Art. 3117; 2021, No. 6, Art. 636, No. 19, Art. 2061, No. 31, Art. 3439, No. 52, article 5497; 2021, No. 1, article 9, No. 22, article 2563, No. 31, article 4011, No. 41, article 4845, No. 45, article 5425, No. 50, article 6238; 2021, No. 10, Art. 895, No. 15, Art. 1447; 2021, No. 1, Art. 23, No. 9, Art. 1043, No. 18, Art. 2153, No. 23, Art. 2776, No. 30, Art. 3739, No. 48, Art. 5731, No. 52, Art. 6428; 2021, No. 8, Art. 775, No. 19, Art. 2291, No. 27 Art. 3432, No. 30, Art. 4012, No. 31, Art. . 4193, No. 47, Art. 6028; 2 011, no. 7, art. 905, no. 27, art. 3873, art. 3880, no. 29, art. 4291, no. 48, art. 6728, art. 6730, No. 49, Art. 7069, no. 50, art. 7351; 2021, no. 27, art. 3588, no. 31, art. 4333, no. 50, art. 6954, no. 53, art. 7605, art. 7607; 2021, no. 11, art. 1076, no. 19, art. 2317, art. 2329, no. 26, art. 3207, no. 27, art. 3438, art. 3477, no. 30, art. 4084, no. 40, art. 5036, no. 49, art. 6336, no. 51, art. 6683, art. 6699; 2021, no. 6, art. 563, no. 19, art. 2311, art. 2317, no. 26, art. 3379, no. 30, art. 4219, no. 40, art. 5317, art. 5320, no. 45, art. 6144, art. 6154) (hereinafter referred to as the Federal Law "On Banks and Banking Activities") and determines the procedure for drawing up a business plan of a credit institution (hereinafter referred to as a business plan), its submission to the Bank of Russia, as well as the criteria for its assessment.
1. ... A business plan is a document containing the proposed action program of a credit institution for the next two calendar years, including parameters (indicators) and expected performance results.
A credit institution (founders of a credit institution) has the right to draw up a business plan for a longer period.
1. ... If a business plan is submitted that does not meet the requirements of this Directive, the Bank of Russia has the right to refuse:
a newly created credit institution in the state registration and issuance of a license to carry out banking operations;
a credit institution whose bankruptcy proceedings were terminated due to the repayment of its obligations by shareholders (participants) or a third party (third parties), in the issuance of a banking license;
a credit institution in expanding its activities by obtaining licenses to carry out banking operations (hereinafter - expanding the activities of a credit institution, a credit institution expanding its activities);
in changing the status of a credit institution from a non-bank credit institution to a bank (hereinafter referred to as a change in the status of a credit institution);
[no_toc] When lending to legal entities and individual entrepreneurs, especially long-term or for certain investment projects, credit institutions require a business plan as additional guarantees for the payment of funds. This document is extremely important both for the approval of the application and for the subsequent smooth repayment of the loan.
When can a bank request a business plan
The main task of the bank is to extract the maximum profit from its own funds without losing part of it due to the late fulfillment of obligations by borrowers.
Additional losses of the so-called “lost profits” arise with large amounts of reservation.
According to the standards of the Central Bank, the amount of the reserve in the absence of a business plan for an organization that is just starting its activities ("start-up" loan) is at least 21% of the amount of the loan. If the loan is large, the reserve becomes a rather serious burden for the bank.
Other cases in which the bank may request a business plan:
- Long-term lending (on average, from 3 years).
- Use of credit funds for investment purposes (purchase and construction of fixed assets - buildings, land plots, equipment).
- Lack of sufficient collateral.
- Short term of the enterprise (less than 6 months).
- Obtaining loans on favorable terms (for example, subsidizing agricultural producers).
A business plan may also be required when obtaining a standard loan. In this case, the entrepreneur can provide it as additional information about the business to reduce the risks of the bank and, therefore, the interest rate on the loan.
Are there any differences in the requirements for BP for individual entrepreneurs and legal entities
The main task of the business plan is to forecast the results of the economic activity of the enterprise for the crediting period. To do this, the market conditions, internal financial and operating flows, management staff, etc. are studied.
1. Strategic planning: goals, objectives
1. The concept of a business plan, its place and role in the strategic planning of a credit institution
1. Business planning as a factor in the internal development of the banking sector
2. Development of a business plan by a credit institution
2. Principles and main stages of business planning in a credit institution
2. Bank business plan development methods
2. The main sections of the business plan of a credit institution
3. Business plan of LLC KB "Region", its assessment
3. Directions for improving business planning in credit institutions
The economic situation in Russia and the world is constantly changing. The situation on the banking products market is also developing very dynamically. There is a redistribution of the shares of this market between the participants, their number and composition change, the level of demands from customers is significantly increasing, new services and methods of their provision enter the market, the state periodically improves its policy in the field of regulating market relations. Any credit institution, if it intends to continue its activities, must adequately respond to changes. And if, in addition to survival, the bank faces the task of developing and achieving leading positions in the market, then in addition to promptly responding to the economic situation, it is necessary to constantly forecast changes and plan appropriate measures to achieve the set goals.
Business plan - a plan, a program for the implementation of business operations, actions of the company, containing information about the company, the product, its production, sales markets, marketing, organization of operations and their effectiveness.
A business plan is a short, accurate, accessible and understandable description of the prospective business, the most important tool when considering a large number of different situations, allowing you to choose the most promising desired result and determine the means to achieve it. A business plan is a document that allows you to manage a business, so it can be presented as an integral part of strategic planning and as a guide for execution and control. It is important to consider the business plan as the planning process itself and as a tool for internal management.
A business plan is a document in which the goals of the enterprise are formulated, their rationale is given, the ways of achieving the funds necessary for the implementation and the final financial performance indicators are determined. As a rule, it is developed for several years (more often for three to five years) with a breakdown by year. At the same time, data for the first year are usually given with a breakdown by months, and for subsequent years - on an annualized basis. Often, when drawing up plans for operating enterprises, a rolling schedule is used, in which a detailed plan for the coming year is developed annually, as well as the general business plan is revised and extended for another year.
The purpose of a business plan is to show the real chances of implementing a business idea. He not only gives a true assessment of the opportunities and risks, but shows the need (or lack thereof) in attracting additional investments, opening credit lines. In fact, a business plan shows the success of the management and the way of development of the enterprise to achieve the set goal.
The business plan has two groups of users - internal (initiator of a business idea, founders and staff of the firm) and external (potential investors, creditors, partners).
The business plan serves three main purposes:
- he gives the investor an answer to the question of whether it is worth investing in this investment project;
- serves as a source of information for persons directly implementing the project;
- the lender, when making a decision to issue a loan, receives comprehensive information about the existing business of the borrower and its development after receiving the loan.
The business plan helps to solve the following main tasks:
- a clear formulation of the company's goals, the definition of specific quantitative indicators of their implementation and the timing of their achievement;
- to determine specific areas of the firm's activities,
- target markets and the place of the firm in these markets;
- formulate the long-term and short-term goals of the firm, the strategy and tactics for achieving them, determining specific quantitative indicators of their implementation and the timing of their achievement.
- identify persons responsible for implementing the strategy; choose the composition and determine the indicators of goods and services that will be offered by the firm to consumers.
- to assess the production and trading costs for their creation and implementation;
- to identify the compliance of the existing staff of the company, the conditions for motivating their work with the requirements for achieving the set goals;
- to determine the composition marketing activities of the company for market research, advertising, sales promotion, pricing, sales channels, etc.
- assess the financial position of the company and the correspondence of the available financial and material resources to the possibilities of achieving the set goals; foresee difficulties, "pitfalls" that may interfere with the practical implementation of the business plan;
- organize a system of control over the progress of the project.
Business plans are divided into the following types:
- business plan of investments - presentation for a potential partner or investor of the results of marketing research, substantiation of a market development strategy, expected results;
- business plan for the development of a company or firm - a plan for the development of the organization for the upcoming planning period;
- a business plan for the development (creation) of a separate division of the enterprise;
- a business plan for obtaining a loan from a bank or for participating in a tender.
A business plan must meet a number of requirements:
- be written in simple and understandable language using concise and clear wording;
- its volume should not exceed 20-25 typewritten pages;
- be inclusive, i.e. include all information on the project that is of interest to the investor;
- be based on real facts and reasonable proposals;
- be complete, i.e. contain a strategy for achieving the set goals;
- have complexity, i.e. contain production, marketing, organizational, financial support;
- have a promising nature, i.e. ensure the possibility of developing further plans on its basis while maintaining the continuity of development;
- have flexibility to make adjustments to the developed programs;
- have a controlling nature associated with a clear description of work schedules, control timing and indicators.