Does a lender need a full business plan or will a one-pager do?

For facilities up to approximately £250,000, a well-structured one or two-page summary with supporting financials is usually sufficient for an initial credit assessment. Larger or more complex facilities, or those requiring committee approval, typically require a fuller document. Ask your lender what their minimum requirement is before investing time in a lengthy document.

Should financial projections be audited?

No — forward projections cannot be audited as they are inherently uncertain. Lenders understand this. What matters is that assumptions are documented, internally consistent, and that historic figures reconcile to filed accounts. A note from your accountant confirming the historic base figures are consistent with filed accounts adds credibility.

One-page business plan outline

Section 1: Business overview

State what the company does, when it was incorporated, where it trades, and who owns and runs it. Include Companies House registration number, registered address, and SIC code. Two to three sentences is sufficient — lenders can verify the basics; the purpose of this section is orientation, not marketing.

Note the legal structure (private limited company), whether the company is VAT-registered, and any group structure if relevant. If the company is part of a group, identify the ultimate parent and any cross-guarantees.

Section 2: Trading model and market position

Explain how the business generates revenue: what it sells, to whom, on what terms, and through what channels. Be specific — "B2B software licences sold direct to UK SMEs on 12-month contracts with monthly invoicing" is more useful to an underwriter than "a technology company."

Include your main customer concentration: what percentage of revenue comes from the top three customers? A business where one customer represents more than 30 % of turnover carries concentration risk a lender will want to understand. Note any contractual revenue, frameworks, or long-term supply agreements that underpin forward income.

Section 3: Financial summary

Present three years of key figures in a simple table: turnover, gross profit (and margin), EBITDA, net profit, and closing net assets. Use filed accounts for historic years and management accounts for the current year. Add a one-line note if any year was materially affected by an exceptional item.

Below the historic table, add a forward projection for the next two to three years, with a brief note on the main assumptions driving growth. Be conservative: an underwriter will stress your numbers — submitting optimistic projections that cannot withstand scrutiny damages credibility. These figures are illustrative; apply your own trading data.

Section 4: Funding requirement

State the amount sought, the purpose (as specifically as possible), the preferred term, and the proposed repayment mechanism. If the loan will fund a specific asset, contract, or acquisition, name it. If the primary repayment source is trading cash flow, reference the cash-flow forecast and confirm where a copy is attached.

Note any security being offered: a first charge over property, a debenture over company assets, or a personal guarantee from directors. If a personal guarantee is being offered, state whether it is limited or unlimited and to what value.

Section 5: Management and ownership

List directors and senior managers, their roles, and relevant experience in no more than two lines each. For early-stage businesses or where management experience is a key underwriting factor, note previous companies founded or senior roles held. Include the full shareholder register: name, percentage held, and whether any shareholder is also a director.

If there are planned changes to the management team or ownership structure in the near term, note them here. Undisclosed changes discovered during due diligence delay decisions; transparency is faster.