The Sources and Uses of Capital, or Sources and Uses of Funds, section shows the reader how you will get the funds, and how you will use the funds to either start a new company or expand an existing one.  This is an important section for outside investors and lenders because they will want to see how their loan or investment will be used.  A sample sources and uses table is provided in the example plan.

If this is a new business, you should state the total amount of capital required to begin operations, separated into the amount the owner(s) will contribute and the amount you are seeking from outside source(s).

If this is an existing business, you normally state the amount of capital you are seeking from outside source(s) to expand or make improvements.