Posted on: 15 January 2020
In any business, drawing up a proposal to show a potential lender is a necessary part of trying to obtain funding, and in the veterinary business, it is no different. Lenders need to see a proposal to learn pertinent information about the business and the potential for profit the business has. This information allows them to assess the risks of lending and make an informed decision about offering financing.
Even though veterinarians are a necessary public service, obtaining financing still means that you have to show a lender you have a good business model. When you are working to draw up a proposal to take to a lender, there are certain things that you should include.
Include a cover letter in your proposal.
Your cover letter acts as an executive summary of the proposal, and it will be the single most important thing to include when you visit a lender. The lender can look at this and decide right off if you are a worthy investment. The cover letter should include:
- A brief explanation of the business
- A brief description of why it is you need funding
- Information about the expected return with the funding you are requesting
It is important that you do not go overboard here and include everything. Keep the cover letter short and simple, easy to read, and insightful for the best outcome.
Include a detailed look at your personal and business finances.
Your personal and business finances are one of the most important things that you can include in your proposal. Your business finances are definitely important, but it is also important for the bank to see that you have been responsible with your personal finances. Lenders want to see your financial records from both sides because if your business seems to be doing good financially, but your personal finances are not great, it can be indicative that there are unseen issues there at play. Make sure you include both in your proposal for funding.
Include a brief explanation of your business model.
Veterinary services are fairly straightforward in their operation; they provide medical care for animals within the community. However, there are attributes about your veterinarian office that can make it more successful. For example, if you will provide care for exotic animals when other veterinarians in the community will not do the same, this would be something good to notate in your proposal.
For more information, contact a lender that offers veterinary office small business financing.Share