Writing a Business Plan these days is tough, venture capitalists are busy and there are so many ideas to choose from. Bankers want a tight, sweet and to the point business plan. Family Members who may lend you money are generally worrisome due to lawsuits and liability. This is why you need to pay particular attention to the Legal Section of your Business Plan.
Below is a sample legal section of a business plan written for a mobile car wash company, which is part of a franchise system. Now that is a truly simple business, but it serves also as a very good sample in that it is easy to follow. I recommend that you print this article and make notes in the margins about your own business concept and then modify this sample to fit your business. In doing so you can create a strategic plan and legal strategy, which can protect your assets and put your investors at ease.
- - - - - - - - - - - - - - - - - - - - - - - -
LEGAL STRATEGIES:
Licensing
All city and county licenses will be acquired and paid for by the franchisor as part of our turn-key franchise package. This will include:
City Business License
County Permits
Fictitious Business Name Statement
Home Occupation Permit
Soliciting Permit (If Applicable)
Regulations
There are presently some state requirements for discharging water into storm drains. These regulations are locally regulated and mandated as part of the Federal Clean Water Act. These regulations are now administered by California's Regional Water Quality Control Boards. They can be viewed in the California Water Code books under sections 13.260.1-13.263.4. Although cities cannot enforce the California Water Code, they can deny a business license application or a home occupation permit. Many counties have adopted "Best Management Practices" for wastewater run-off. Usually counties have chosen not to try to regulate mobile car washers or mobile detailers because they use biodegradable products, which are harmless to the environment and they are considered non-point source discharges. Nevertheless, some agencies feel it is in their power to protect themselves by simply denying everything that has a discharge.
The Car Wash Guys have received the only letter of exemption to section 13.260 of the California Water Code from the chairman of a regional board. This was a major accomplishment for the founder of Car Wash Guys International, Inc. after a three year legal battle started in 1990.
Insurance
As specified in the Franchise Offering Circular, we must maintain certain insurance policies. The standards and specifications of these policies are set forth in our borrowed copy of the confidential operations manual. These policies include the following limits of liability and comprehensive coverages:
1) Comprehensive General Liability Insurance in the amount of $1,000,000 bodily injury per occurrence and $500,000 property damage
2) Vehicle Insurance in the amount of $1,000,000 single limit, including comprehensive and collision
3) Worker's Compensation and Employer's Liability Insurance
4) Equipment Insurance for the value of all The Car Wash Guys equipment
Our franchisor will help us secure this insurance and will make the initial monthly payment to start the policies. As per our Franchise Agreement, our franchisor will be named as additionally insured.
We expect to pay between $250.00-$500.00 per month for this coverage the first year. We don't expect any claims so our insurance will drastically be reduced at the end of our first year. Claims in our industry are very rare.
"Lance Winslow" - If you have innovative thoughts and unique perspectives, come think with Lance; www.worldthinktank.net/wttbbs
Lincoln Stretch rentals Alsip ..Conventional wisdom has it that there are only three ways... Read More
With the help of balanced scorecard strategy map, it is... Read More
I read once that something like 30 percent of all... Read More
The current state of the available technology at the disposal... Read More
One of the key challenges for any business is to... Read More
Writing a business plan to help you direct and manage... Read More
Note to Rite Aid and CVS: It's not about the... Read More
Imagine spending the same amount of money on marketing and... Read More
Strategic planning and consulting is the strategy roadmap to manage... Read More
Most companies that are worthy of raising venture capital have... Read More
ACTION PLANNING: Action Planning is a process to develop strategies... Read More
Business seems to drop, slow or even stop during the... Read More
Private equity firms have raised so much capital over the... Read More
Every business experiences slower periods. For some, they sell more... Read More
Business owners and entrepreneurs are, by nature, risk takers and... Read More
The foundation of any business transaction is the promise of... Read More
Last week we talked about a few of the ways... Read More
A survey released by the American Institute of Certified Public... Read More
I recently took an organizational behavior class where my professor... Read More
Whether you are seeking capital for your company or are... Read More
1. Largest Selection -One way that you can make your... Read More
In 1997, David Steele was making the transition from a... Read More
To stop a computer virus you must understand how it... Read More
A business plan precisely defines your business, identifies your goals,... Read More
Do you work in or own a business that's affected... Read More
Western Springs shuttle limo ..Please take a moment before you read any further and... Read More
Strategic planning and consulting is the strategy roadmap to manage... Read More
I recently took an organizational behavior class where my professor... Read More
Every new business owner knows that a business plan is... Read More
If you own the mid-size business and actively work in... Read More
When looking at Akron carefully one cannot help but notice... Read More
Cassy was an employee of a nonprofit who had been... Read More
These may sound like no brainers, but you'd be surprised.... Read More
Twice a year, Bill Gates goes to a remote island... Read More
In this small article we'll concentrate on farmers associations and... Read More
Business owners and entrepreneurs are, by nature, risk takers and... Read More
Fun From The StartFor those with the will to start... Read More
With a heightened awareness of opportunity, ideas can often be... Read More
Why cut costs now? Efforts are multiplying to cut costs... Read More
1. Attempt Succession Planning Without Other Strategic Plans. Succession plans... Read More
All investors greatly desire and are motivated by a clear... Read More
Regroup?is this a new management trend? Not a chance! Regroup... Read More
Here's a really simple way to make sure your plans... Read More
Microsoft Great Plains fits multiple services market niche and healthcare... Read More
Ask Yourself three simple questions that affect your strategy planning...... Read More
If you are in the parking business and own or... Read More
If ever there were an industry where we want zero... Read More
Is there a 'magical' way to exponentially grow your business?It's... Read More
"Most great plans aren't. They are just nice, high-level ideas."That's... Read More
The goal of almost every business owner is to generate... Read More
Strategic Planning |