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Free VC Directory

With any B-Plan Purchase
425 Page Capital Directory
Through June 30


Business Plan Writer
$425 Flat Rate
No Templates Used
7 Day Turnaround

All Purchased Plans
Are Updated for 2017

Read Our Reviews
All Plans Available on Amazon

Free Direct Mail Service Business Plan
For Raising Capital from Investors, Banks, or Grant Companies!

Please note that the financials in this complete free business plan are completely fictitious and may not match the text of the business plan below. This free business plan demonstration purposes only. If you are interested in purchasing the completed editable MS Word and Excel documents for this business plan, please click the button below! Also, the text of the business plan is formatted with a fully automated table of contents.



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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
  • FREE 30 Page Sample Private Placement Memorandum
  • FREE PowerPoint Presentation for Banks, Investors, or Grant Companies!

1.0 Executive Summary

The purpose of this business plan is to raise $125,000 for the development of a direct mail business while showcasing the expected financials and operations over the next three years. Direct Mail Company, Inc. (“the Company”) is a New York based corporation that will printing services, mass mailing services, and graphic design services to customers in its targeted market. The Company was founded by John Doe.

1.1 Products and Services

As stated above, the Company will operate in a multifaceted capacity by providing local and regional businesses with services that revolve around mass mailing. These services will not only include the mass mailing preparation and distribution, but also the printing and graphic design services that accompany a mass mailing marketing campaign. The Company will earn substantial margins on the printing and graphic design services that are offered in-house and through subcontractors associated with the Company. The third section of the business plan will further describe the services offered by the Direct Mail Company.

1.2 The Financing

Mr. Doe is seeking to raise $125,000 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.

1.3 Mission Statement

Direct Mail Company’s mission is to develop a comprehensive line of services for business customers that are seeking a one-stop-shop for their graphic design, printing, and mass mailing needs.

1.4 Mangement Team

The Company was founded by John Doe. Mr. Doe has more than 10 years of experience in the direct mail 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 businesses within the target market.

2.0 Company and Financing Summary

2.1 Registered Name and Corporate Structure

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

2.2 Required Funds

At this time, the Direct Mail 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 Direct Mail 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 Direct Mail 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 direct mail services offered by the Direct Mail Company.

3.1 Mass Mailing Services

The primary revenue stream for the business will be the preparation of mailing lists, printing of mailing labels, and mailing of post cards, brochures, and other advertisements on behalf of business clients (and political clients during elections). The Company will earn gross margins of approximately 20% on each dollar of revenue generated through this service aspect of the business.

3.2 Printing and Graphic Design Services

The Company’s secondary and tertiary revenue streams will generate the most profits for the business. The Company’s printing services will provide customers with the ability to have their mass printing needs completed by Direct Mail Company, Inc. The business will maintain state of the art printing presses to ensure that mailers are of the highest graphical quality. Additionally, the Company will offer design and development of mailers to customers. Mr. Doe is currently sourcing a number of graphic design firms that will provide this service to the Company on behalf of its clients. The Company will mark up the cost of its graphic design costs by 100% over their direct cost.

4.0 Strategic and Market Analysis

4.1 Economic Outlook

This section of the analysis will detail the economic climate, the direct mail industry, the customer profile, and the competition that the business will face as it progresses through its business operations. Currently, the economic market condition in the United States is in recession. This slowdown in the economy has also greatly impacted real estate sales, which has halted to historical lows. Many economists expect that this recession will continue until mid-2010, at which point the economy will begin a prolonged recovery period.

4.2 Industry Analysis

Within the United States, there are more than 3,500 businesses that provide direct mail services to companies and political organizations throughout the United States. Each year, these businesses aggregately generate more than $12 billion of revenue while providing jobs to 80,000 people. Annual payrolls in each of the last five years have exceeded $3 billion. The growth of this industry is expected to remain in lockstep with the general economy, as this is a mature industry.

4.3 Customer Profile

The Direct Mail Company’s average client will be a small to medium sized business within the Company’s target market. Common traits among clients will include: • Annual revenues exceeding $200,000 • Lives or works no more than 15 miles from the Company’s location. • Will spend $500 to $5,000 per month on direct mail services with the Direct Mail Company.

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

Direct Mail Company, Inc. 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 Company.

5.1 Marketing Objectives

  • • Establish relationships with local advertising agencies and marketing firms.

  • • 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

Mr. Doe intends on using a number of marketing strategies that will allow the Direct Mail Company to easily target small and medium sized businesses within the target market. These strategies include traditional print advertisements and ads placed on search engines on the Internet. Below is a description of how the business intends to market its services to the general public. Direct Mail Company will also use an internet based strategy. This is very important as many people seeking local services, such as direct mailing businesses, now the Internet to conduct their preliminary searches. Mr. Doe will register Direct Mail Company with online portals so that potential clients can easily reach the business. The Company will also develop its own online website, which will showcase Mr. Doe’s experience in the mass mailing industry, contact information, and preliminary pricing information. The Company will maintain a sizable amount of print and traditional advertising methods within local markets to promote the mass mailing services that the Company is selling. Mr. Doe will also develop ongoing relationships with advertising agencies and local marketing firms that may outsource their clients mass mailing needs to the Company.

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



6.3 Management Biographies

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

  • • Direct Mail Company, Inc. will have an annual revenue growth rate of 10% per year.

  • • The Owner will acquire $125,000 of debt funds to develop the business.

  • • The loan will have a 10 year term with a 9% interest rate.

7.2 Sensitivity Analysis

In the event of an economic downturn, the business may have a decline in its revenues. Businesses may scale back on certain forms of advertising in order to cut costs during times of revenue declines. However, the high margin revenues generated by the business will ensure that the Direct Mail Company can remain profitable and cash flow positive in any economic climate.

7.3 Source of Funds


7.4 General Assumptions

7.5 Profit and Loss Statements 

7.6 Cash Flow Analysis

 

7.7 Balance Sheet

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7.8 General Assumptions

7.9 Business Ratios

Expanded Profit and Loss Statements

Expanded Cash Flow Analysis