Writing a Business Plan these days is tough, venture capitalists are busy and there are so many ideas to choose from. Bankers want a tight, sweet and to the point business plan. Family Members who may lend you money are generally worrisome due to lawsuits and liability. This is why you need to pay particular attention to the Legal Section of your Business Plan.
Below is a sample legal section of a business plan written for a mobile car wash company, which is part of a franchise system. Now that is a truly simple business, but it serves also as a very good sample in that it is easy to follow. I recommend that you print this article and make notes in the margins about your own business concept and then modify this sample to fit your business. In doing so you can create a strategic plan and legal strategy, which can protect your assets and put your investors at ease.
- - - - - - - - - - - - - - - - - - - - - - - -
LEGAL STRATEGIES:
Licensing
All city and county licenses will be acquired and paid for by the franchisor as part of our turn-key franchise package. This will include:
City Business License
County Permits
Fictitious Business Name Statement
Home Occupation Permit
Soliciting Permit (If Applicable)
Regulations
There are presently some state requirements for discharging water into storm drains. These regulations are locally regulated and mandated as part of the Federal Clean Water Act. These regulations are now administered by California's Regional Water Quality Control Boards. They can be viewed in the California Water Code books under sections 13.260.1-13.263.4. Although cities cannot enforce the California Water Code, they can deny a business license application or a home occupation permit. Many counties have adopted "Best Management Practices" for wastewater run-off. Usually counties have chosen not to try to regulate mobile car washers or mobile detailers because they use biodegradable products, which are harmless to the environment and they are considered non-point source discharges. Nevertheless, some agencies feel it is in their power to protect themselves by simply denying everything that has a discharge.
The Car Wash Guys have received the only letter of exemption to section 13.260 of the California Water Code from the chairman of a regional board. This was a major accomplishment for the founder of Car Wash Guys International, Inc. after a three year legal battle started in 1990.
Insurance
As specified in the Franchise Offering Circular, we must maintain certain insurance policies. The standards and specifications of these policies are set forth in our borrowed copy of the confidential operations manual. These policies include the following limits of liability and comprehensive coverages:
1) Comprehensive General Liability Insurance in the amount of $1,000,000 bodily injury per occurrence and $500,000 property damage
2) Vehicle Insurance in the amount of $1,000,000 single limit, including comprehensive and collision
3) Worker's Compensation and Employer's Liability Insurance
4) Equipment Insurance for the value of all The Car Wash Guys equipment
Our franchisor will help us secure this insurance and will make the initial monthly payment to start the policies. As per our Franchise Agreement, our franchisor will be named as additionally insured.
We expect to pay between $250.00-$500.00 per month for this coverage the first year. We don't expect any claims so our insurance will drastically be reduced at the end of our first year. Claims in our industry are very rare.
"Lance Winslow" - If you have innovative thoughts and unique perspectives, come think with Lance; www.WorldThinkTank.net/wttbbs
|
|
|
|
|
|
|
|
|
|
|


How are you feeling today? Good, not so good, great?... Read More
Six Sigma is becoming a proven approach for businesses and... Read More
A significant advantage of some business ideas is that the... Read More
The day you decide to take the plunge and work... Read More
No matter what business you plan to start in your... Read More
Can you imagine going on a road trip without knowing... Read More
Ask Yourself three simple questions that affect your strategy planning...... Read More
The new check cashing instant clearing will take some time... Read More
I am surprised how few sales professionals, independent consultants, and... Read More
Writing a business plan for a franchised outlet of a... Read More
The University of Exeter in the United Kingdom recently published... Read More
Canada's lean leaders need to look beyond the horizon and... Read More
"Bozo" ? A clown with a forlorn look, always finding... Read More
Succession planning, like any business acumen, is both an art... Read More
Business planning is widely acknowledged as one of the keys... Read More
A strategic alliance is when two or more businesses join... Read More
ACTION PLANNING: Action Planning is a process to develop strategies... Read More
This week I coached a wonderfully lovely woman I'll call... Read More
Scenario OneDuring a recent presentation, a business owner was given... Read More
The current state of the available technology at the disposal... Read More
Every decade we seem to come up with a buzz-word... Read More
Writing a business plan is no easy task, sure you... Read More
Have you ever done a SWOT analysis? No, it's not... Read More
Microsoft Great Plains does wonderful ERP job for horizontal markets... Read More
What do Mark Victor Hansen, Robert Allen, Anthony Robbins, Andrew... Read More
You have invested a lot of time and energy on... Read More
There is so much small business information available today that... Read More
It doesn't take a Terrorist Act, Tsunami or Earthquake to... Read More
Writing a Business Plan these days is tough, venture capitalists... Read More
Many of Ohio's downtown areas are in need of upgrading... Read More
Before becoming a netpreneaur, I was an entrepreneur. First, I... Read More
Business owners and entrepreneurs are, by nature, risk takers and... Read More
Business plan financial projections seem daunting because they are so... Read More


When looking at Akron carefully one cannot help but notice... Read More
In 1989, Sony founded its Institute of Wisdom at the... Read More
The Accountability/Alignment Process: Three Steps to an Accountable Organization Generating... Read More
Writing a business plan for a franchised outlet of a... Read More
A business plan precisely defines your business, identifies your goals,... Read More
How important is a vision statement to your company or... Read More
When in doubt, cut that out! Yeah, yea, doubting Thomas... Read More
Succession planning requires the owner of a small or medium-sized... Read More
Many business start-up kits or consultants will tell you one... Read More
Last week we talked about a few of the ways... Read More
Business owners and entrepreneurs are, by nature, risk takers and... Read More
We all know that nothing runs without a plan, and... Read More
The University of Exeter in the United Kingdom recently published... Read More
In this small article we'll concentrate on farmers associations and... Read More
Writing a business plan is an essential part of the... Read More
If you own a mobile car wash business or auto... Read More
For many consumers and producers, MSP is an acronym for... Read More
I read once that something like 30 percent of all... Read More
Writing a business plan to help you direct and manage... Read More
How are you feeling today? Good, not so good, great?... Read More
While writing an article recently on effective ways to bridge... Read More
One Research Scientist at the Hewlett-Packard (HP) Imaging Systems laboratory... Read More
Six Sigma is becoming a proven approach for businesses and... Read More
Building a dynamic small business is a constantly evolving, increasingly... Read More
This will make some people angry as hell, but it's... Read More
If you are a manufacturer wanting to use your business... Read More
So what makes a vision successful? Everyday companies try to... Read More
From time to time there seems to be a flurry... Read More
There's nothing automatic about corporate growth, particularly in the information... Read More
Microsoft Business Solutions Great Plains serves mid-size and large clients... Read More
People often ask "What makes a good business plan? Or,... Read More
Business plan financial projections seem daunting because they are so... Read More
Note to Rite Aid and CVS: It's not about the... Read More
Strategic Planning |