Business Plan Outline
A business plan can be used for a few key reasons: 1. 2. To state your objectives so that you have a clear picture of where you want your business to go To be used as a financial proposal
A business plan is a working document and will continue to evolve with time. In order to maximize our time during the counseling session it is important that you review and provide brief answers to the questions below. Focus on those aspects of your business you feel most comfortable with and begin to come up questions for those issues you would like to address during our session. I. Summary Objectives – why are you creating a plan? Description of the business – who are you, when did you start, what do you offer to who and where? II. Company III. Products Description – specific outline of what you sell Features and comparison – what are the benefits and compare them to what your competition offers? Research and development - what have you done to research your product/service (industry studies, local surveys, etc) Ownership – name principals and the experience they bring to the business. Location and facilities – where, why did you choose it and describe its benefits? History – where have you been with this business and what have you done to grow? Goals and milestones – what are your goals and when do you expect to achieve them? Products and Production - describe what you offer and how you deliver it. Marketing Strategy – who is your customer and how do you reach them? Management – who runs the company? Finances – a brief description of where you are financially and where you want to be.
IV. Production Plan Personnel – what positions are required now, their responsibilities and what you expect to need in the near future? Suppliers –list key suppliers and why you chose them Equipment – what equipment do you need and/or have critical to the growth of your company Property and facilities – specifically describe your facility and how it is used. Subcontractors – describe, if applicable, the use of sub-contractors, how they are obtained, retained a and paid. Manufacturing costs – If applicable, describe the manufacturing path from start to finish
V. Market Research and Analysis Target market - Who exactly are your customers? Market survey – How did you determine where they are and what they need from you? Industry analysis – Any reports to support your information? Competition – List Direct and indirect competition and how they compare to your operation.
VI. Marketing Strategy Sales and distribution – How will you deliver your product or service?
VII. Management
Advertising and public relations – How will you be promoting your company? Positioning – How are positioned in the market? Pricing – How did you determine your pricing and how does it compare in the marketplace? Strategic alliances – Have you aligned yourself with partners or suppliers? If so, who and how?
Description of management team – list who, their background, and the responsibilities they will assume in the company. Remuneration – How much will management and staff be paid Shareholders – Outline, if applicable any shareholders and their positioning in the company Consultants- Indicate what type, how many and what responsibilities will be of consultants used for the operation of your company. VIII. Financial Strategies Accounting Management Capital equipment and supply list - List what you have in major equipment and supplies Balance sheet Breakeven analysis Pro-forma income projections (profit & loss statements) o Three-year summary o Detail by month, first year o Detail by quarters, second and third years o Assumptions upon which projections were based o F. Pro-forma cash flow
Loan Applications Reason for financing – Briefly describe the use of the loan and what you expect to achieve with the aid of the loan Sources of financing – Identify the sources you have used of your own in addition to the those you are seeking Financial package
IX. Budget X. Supporting Documents Tax returns of principals for last three years Personal financial statement (all banks have these forms) For franchised businesses, a copy of franchise contract and all supporting documents provided by the franchisor Copy of proposed lease or purchase agreement for building space Copy of licenses and other legal documents Copy of resumes of all principles Copies of letters of intent from suppliers, buyers, etc
.