Wheatmead Funding, a small-business funding broker in Eau Claire, Wisconsin, explains how to write a business plan for a loan. Partners read the use of funds, the repayment source and the financial projections closely. Local Census figures, such as Eau Claire County's 2,753 employer establishments in 2023, belong in the market section, labelled by source.
The three sections partners read
- Use of funds. Exactly what the money buys, with quotes attached.
- Repayment source. Which income pays the installments, and why it will be there.
- Projections. Twelve to thirty-six months of revenue and costs, with the new payment included.
Everything else in the plan supports these three. A partner who cannot find them in the first pages may not look further.
A loan proposal, not a pitch
How to make a business loan proposal comes down to tone: write for someone measuring risk, not someone looking for upside. Show the downside case. State what happens if sales come in 20 percent below plan, and how the payment would still be met.
Local figures worth citing
| Figure | Value | Source |
|---|---|---|
| Employer establishments | 2,753 | CBP 2023 |
| Under five employees | 45.2% | CBP 2023 |
| Businesses with no payroll | 7,411 | NES 2024 |
| Self-employed residents, county | 8.4% (+/- 0.8) | ACS 2020-2024 |
| Retail employers | 382 | CBP 2023 |
| Food service employers | 263 | CBP 2023 |
Cite the geography and year with every figure, and do not describe the City of Eau Claire with county numbers; the city spans Eau Claire County and Chippewa County. The full set is on the Eau Claire, WI page.
Matching the plan to the structure
A plan for a fit-out or expansion usually supports a business term loan: one budget, one schedule. A plan for a single machine needs less, because the equipment secures it. A plan for a line of credit focuses on the cash cycle rather than a project.
How to prepare a business plan for a bank loan, and for other partners
Banks and non-bank partners read the same three sections, but banks tend to ask for more history, more collateral detail and personal financial statements. Non-bank partners lean more on recent bank statements. Write the plan once, in enough detail for the stricter reader.
What partners check the plan against
- Bank statements: do recent deposits support the revenue the plan starts from?
- Tax returns: does last year's profit match the plan's history section?
- Quotes: does the use of funds add up to the amount requested?
- Existing debt: are current payments included in the projections?
A plan that disagrees with the statements is worse than no plan, because it raises a credibility question the partner then has to resolve.
Plans for businesses outside the county
A business in Chippewa Falls, WI or Menomonie, WI should not cite Eau Claire County figures in its market section; those towns are in Chippewa County and Dunn County. Use the ZIP figures instead, labelled as ZIP counts: ZIP 54729 had 886 employer establishments in 2023 and ZIP 54751 had 592 (U.S. Census Bureau, ZIP Code Business Patterns 2023). Our service areas page has figures for nearby towns.
Free help reviewing the plan
Owners here search for the small business development center in Eau Claire, WI. Our Chippewa Valley resources guide lists that and other free advisers who review plans, with a note on checking each one.
When the plan is ready, how a request moves shows where it fits in a request. More Chippewa Valley posts are collected on the blog.
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