Perspective business owners are prone to many mistakes when starting up a new business. One very common mistake is writing a bad business plan. At times, they fill the business plan with what they think investors or banks want to see instead of what will realistically happen. Then, when the bank turns them down, they sit back and wonder why. Here are five of the most common mistakes business owners make when writing an internet business plan template and ones that you would do well to avoid.

· Dismissing losses during the early stages of the business – losses are part of starting up new business, everyone knows it, and it is expected. Concentrating the business plan on only long-term profits will bring more questions than confidence. The first year of the plan should be laid out in full detail, including expected losses. However, the business should show reasonable progress over that time, even if it means the business will continue to lose money for a short period thereafter.

· Thinking your business is totally unique – few businesses created today are not already in circulation. However, improving on an already existing concept is what can turn a loser into a winner. Trying to sell investors on a “one-of-a-kind” business will have them running for the door. Show previous models and show how your business will improve upon its weaknesses.

· Painting an unrealistic picture of yourself – while this may fool investors, it will not help the overall success of the business. It is better to actually admit your own shortcomings and show how they will be overcome. Mention hiring someone to fill a specific role because it is not your strength. Doing that will work much better than being asked a question about something you claim to be an expert on and then stammering your way through the answer.

· Being overly negative during the early years – while we do not want you to expect to turn an immediate profit, nor should you overestimate losses just to play it safe. If projections have the business making money in the second year, state exactly that. Just make sure the figures are accurate, well researched, and not over-exaggerated in either direction.

· Expect you business plan to be perfect – while we would all like to think we are perfect, there will be weaknesses to the business plan. However, this offers an opportunity to shine. This ties into not painting a picture that you are the all-knowing new business owner. Put the weaknesses out in the open, because they will be found if you don’t. Admit that you know certain areas are suspect, but present a plan to find a possible solution to the problem.

The internet poses enough of a challenge to new businesses, so don’t compound the problem by making one of these mistakes when creating your internet business plan template.