It saves them time because they can read your plan and get a quick overview of the business, how you plan to run it, and how much money you will make.

The reason bankers and investors like business plans is it is in a format that they are familiar with and provides them with the information they need to make a lending decision. It also serves as 'disclosure' document and a reflection of your knowledge of the business. A business plan is essential when going for financing. Do you really need to borrow money to get started?

In Most cases You Are Better Off Not Borrowing a Dime

I know this is not what you want to hear but even with capital intensive businesses you can start your business without borrowing money, just one problem. You to be willing to work your ass off to make it happen but you will not owe a dime to anyone.

Yea, right! I know what you are thinking...

"I have to buy equipment and the bank is going to ask me for a business plan."

With a bunch of creativity and willingness to work you can do it without borrowing but you will have to change the way you think about business.

Flawed Thinking

What is the purpose of a business? If you answered, "Make a profit." you are wrong. The purpose of a business is to create and service customers. A business without enough customers is a business losing money or soon to be out of business.

Obviously you need to be profitable to stay in business but if you are unable to create and keep customers you do not have a business - you have a pipe dream.

When Is Writing a Business Plan a Distraction?

Anything that distracts you from creating and keeping customers is a distraction and no business plan or any amount of borrowed money is going to be able to solve that problem.

You do not need anything that is going to stop you from doing what you need to do to make money. This includes a business plan, staff member, or partner. Because you need to become today what you want to be tomorrow.

Mirror The Future You Want - Get Creative

You can start any business without much money and here is how. Let's say you want to open up a landscaping service.

You make arrangements with a local landscaping company and arrange to resell their services. They will do it because you are bringing them the business and they do not have to do any sales work - they can discount it to you.

Then you get appropriately dressed and take your camera to a location where they are working. You take a few pictures of staff sitting on a lawn mower or using equipment. Then you take pictures of yourself standing in front of a job with the equipment in the background.

Then create some nice business cards and brochures with your picture and then start pounding the pavement.

Create the Customer

Then you go knocking on doors asking for business, it would go something like this. "My name is Greg, I am doing landscaping in your area and I am looking for a small group of customers who might be tired of yard work and might consider working with my company. I take on a limited number of customers and will work closely with you to make your yard a source of pride and joy. I guarantee my work and your satisfaction."

So when you get a new client signed up you subcontract the work to your landscaper and supervise the work onsite. Do that enough times and save your nickels and dimes and you will eventually be able to buy your own used equipment, for cash.

As crazy as it may seem, it's common for entrepreneurs to overlook the need for major marketing investment from day one. "We're just starting up," they think. "We need to get on our feet and then we'll have the money to invest in things like marketing and advertising."

But whether it's old-fashioned meatloaf or brand new technology, no matter how good your product or service is, it won't sell itself. If you can't afford a marketing budget you can't afford to open your doors. Via Business Week

This same model could easily be used to start a limousine service, catering business, or pizza delivery. You name it, if you are willing to work hard and smart and save your money you can do it. Plus you learned the most important business lesson of all. How to create and keep customers.

Now that sounds like a profitable business doesn't it?

What business startup ideas do you have?

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Greg Balanko-Dickson is a Business Performance Coach, Author and Entrepreneur.