Business Plan: Funding Request
What is included in the funding request?
The Funding Request outlines the total amount of funding you are seeking and the specific ways those dollars will be used. It should state whether you are requesting a loan or another type of financing, the preferred terms and time frame, and a clear breakdown of how funds will be allocated across expenses such as equipment, working capital, staffing, or marketing. By tying each line item to a business objective, this section shows that the funding is necessary, intentional, and directly connected to your growth plan.
Why is it important?
A detailed and specific funding request demonstrates that the financial needs have been thoughtfully planned. Providing specific detail adds credibility to the business plan, showing the lender that the business understands has a specific plan for using the funding to achieve business goals. By clearly outlining the amounts needed, the purposes for which the funds will be used, and how they align with the overall strategy, the funding request reduces uncertainties and minimizes the number of questions or concerns lenders might raise. This clarity establishes more trust and confidence that the business will not misuse the funding and ultimately fail to implement the plan. By having a vague funding request, it forces the lender to ask question and any hesitancy with any of those answers may reduce the chances of being fully or partially funded.
Key considerations for the funding request
Be precise rather than leaving the amount open‑ended. Specify the full amount you are requesting, then internally plan how you would adjust operations if a smaller amount is approved, explaining briefly how you would prioritize spending or phase projects if needed. This level of detail demonstrates that you have carefully thought through both best‑case and constrained scenarios—for example, describing how a request for $30,000 would accelerate hiring and marketing, while a minimum of $15,000 would still allow a leaner version of the plan to move forward.