Free Magazine Publisher 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.
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 $250,000 for the development of a magazine publishing business while showcasing the expected financials and operations over the next three years. The Magazine Publisher, Inc. (“the Company”) is a New York based corporation that will distribute a general commentary and current events based magazine on a nationwide basis. The Company was founded by John Doe.
1.1 Products and Services
The Magazine (published by the Magazine Publisher) is a specialized publication that focuses its attention on the political and economic issues in the United States. The core objectives for the magazine are to provide an outlet for reporting the activities and politics in the US, to provide insightful stories/opinions/editorials regarding the political environment, and to act as a platform for the study economic issues and development strategies for the country. Mr. Doe has developed an extensive model for the magazine’s content and how it will be distributed among the United States and certain international communities. The third section of the business plan will further describe the services offered by the Magazine.
1.2 The Financing
Mr. Doe is seeking to raise $250,000 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
The Magazine Publisher’s mission is to develop and distribute a magazine that will have an appeal to a diverse audience of readers on a nationwide basis.
1.4 Mangement Team
The Company was founded by John Doe. Mr. Doe has more than 10 years of experience in the publishing 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
As time progresses, the Magazine Publisher intends to continue to build its marketing reach by developing and expanding its presence on the Internet. The business will also acquire relationships with US based and international distributors that will purchase and distribute the Magazine to large scale metropolitan markets. Additionally, the Company will develop large scale public relations campaigns that will attract celebrities, academics, and other well known individuals and groups to contribute to monthly articles.
2.0 Company and Financing Summary
2.1 Registered Name and Corporate Structure
Magazine Publisher, Inc. The Company is registered as a corporation in the State of New York.
2.2 Required Funds
At this time, the Magazine Publisher requires $250,000 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 Magazine Publisher, 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 Magazine Publisher. Based on historical numbers, the business could fetch a sales premium of up to 7 times earnings.
3.0 Products and Services
Below is a description of the content and advertising services offered by the Magazine Publisher.
3.1 Magazine Content
The Magazine Publisher’s flagship publication will be a complex publication that integrates issues of the United States with social, political, and economic stories and commentary. The content developed the by the Magazine Publisher will primarily come from contracted reports, the Company’s editorial and writing staff, and news from wire services. As time progresses and the Magazine Publisher increases its content capabilities, the Company will hire more renowned authors and writers to contribute the Company’s publications.
3.2 Print Advertising Sales
Within each magazine, the Company dedicates approximately 30% of the magazines pages for print advertisements which are sold on a monthly basis. Once the business receives its capital, Management intends to hire several independent sales executives that will sell advertising space (for both the print and online version of the magazine) to advertisers throughout the United States. The business will also promote new advertising sales by partnering with major marketing and advertising firms that will place new advertisements within the Company.
4.0 Strategic and Market Analysis
4.1 Economic Outlook
This section of the analysis will detail the economic climate, the magazine publishing industry, the customer profile, and the competition that the business will face as it progresses through its business operations.
4.2 Industry Analysis
There are approximately 2,900 book and magazine publishers in the United States. The last economic census indicates that the industry generates gross receipts in excess of $22 billion dollars a year. Publishers also employ more than 91,000 people, and provide average annual payrolls of $3.7 billion dollars. This trend is expected to increase as the number of writers that are opting to use self publishing services is increasing. The Internet has allowed many writers that would not normally have access to self-publishing businesses, the ability to print and sell copies of their work as they are ordered. The industry has also changed significantly because of the Internet. There are now a number of magazines that operate solely through online media content. Denver Life Magazine intends to fully engage and embrace the Internet as an additional source of readership and advertising sales.
4.3 Customer Profile
In this section of the analysis, you should describe the type of customer you are seeking to acquire. These traits include income size, type of business/occupation; how far away from your business is to your customer, and what the customer is looking for. In this section, you can also put demographic information about your target market including population size, income demographics, level of education, etc.
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
The Magazine Publisher intends to maintain an extensive marketing campaign that will ensure maximum visibility for its publications in its targeted market. Below is an overview of the marketing strategies and objectives of the Company.
5.1 Marketing Objectives
• Establish relationships with advertising agencies and marketing firms that are seeking to target the demographics of the Company’s readership.
• Develop an online presence by developing a website and placing the Company’s name and contact information with online directories.
5.2 Marketing Strategies
Management intends to use a number of marketing and sales strategies so that the Magazine Publisher’s operations can reach its intended audience. This campaign will include the use of traditional print and media advertising as well as the Internet. The business will also use several promotional strategies including large scale kick-off and magazine launch events that will attract a significant amount of publicity. Publicity activities will be designed to generate ongoing coverage about the Company and its associated writers in targeted media by providing writers and editors with newsworthy releases, features, stories, briefs, and visual material for their columns and stories about the political environment and American culture. In depth coverage may also be obtained about the Company by hosting in-house interviews to be conducted by Mr. Doe. Management will also seek to interview and develop relationships with well known and successful members of the American political and economic scene including businesspeople and cultural experts that are renowned throughout the United States. This will greatly help to expand the visibility of the magazine and its content. Timely coverage of the Magazine Publisher (and its related publications) will be further directed through ongoing press relations, and news releases.
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
• The Magazine Publisher will have an annual revenue growth rate of 16% per year.
• The Owner will acquire $250,000 of debt funds to develop the business.
• The loan will have a 10 year term with a 9% interest rate.
7.2 Sensitivity Analysis
The Magazine Publisher’s revenues are sensitive to the overall condition of the economic markets. Magazines are nonessential items, and in the event of economic recession, Management does expect that there will be a slight decline in gross revenues. However, the prices of media, magazine, books, videos, and software has remained relatively price inelastic, and as such, the Company does not feel that it would have to significantly lower price in order to maintain sales levels. The business will also be able to continually generate predictable streams of revenue from advertising sales.
7.3 Source of Funds
7.4 General Assumptions
7.5 Profit and Loss Statements
7.6 Cash Flow Analysis
7.7 Balance Sheet
7.8 General Assumptions
7.9 Business Ratios
Expanded Profit and Loss Statements
Expanded Cash Flow Analysis