Putting the Pieces Together
Starting a Business Venture
Parts of a Business Plan
Resources for Small Businesses
Starting a New Venture
• Determine the products or services you
• Determine what type of business you
Buy an existing business
Create a business from ground up
• Create a business plan
Role of Small Business Today
In 2002, there were approximately 22.9
million small businesses in the United
Small businesses employ 99.7% of
Most small businesses are service-
Women and minority-owned business
are growing at a fast rate.
What is a Business Plan?
A written document that describes
all the steps necessary in opening
and operating a successful
Purpose of Business Plan
Business plan serves three primary purposes:
1. Explains the idea behind your business
and how your product or services will be
produced and sold.
2. Sets specific objectives and describes
how your business expects to achieve
3. Describes the backgrounds and
experience of the people who will be
running the business.
Sections of a Business Plan
Business plans should include some basic
information in the following areas:
History and Background of your idea
Goals and Objectives
Product(s) or Service(s) you will offer
Form of Ownership
Management and Staffing
Sales and Marketing Plan
Section 1: The Executive Summary
Usually a one page description of the
Provides a snapshot or brief overview
of the business plan.
Section 2: History & Background
Describes how you came up with your
May include your business philosophy
or mission statement.
Section 3: Goals & Objectives
Your business plan should outline your:
Describes your vision of where you
want your company to be in the future.
Section 4: Products & Services
• Describes the industry you will operate
Externalfactors affecting your business
Growth potential of the industry
Economic trends of the industry
• Describes the location of your business
Lenders want to know exactly where your
business will be located because location is
often a critical factor in operating a
Section 5: Forms of Ownership
Section 6: Management & Staffing
People who manage your business are
critical to its success.
This section of the business plan should
show that you and the employees of
your business are highly qualified to
run the business.
Section 7: Sales & Marketing Plan
• This part of the plan includes the
Who are your prospective customers
How large is the market for your product
How you plan to enter the market
• You should list your company’s
advantages over the competition.
Section 8: Financial Plan
Identification of risks associated with
Current and projected financial
statements based on projected
revenues and expenses.
Funding request and return on
Resources for Small Business Owners
Small Business Development Centers
Provide one-on-one assistance in developing a business plan
Chambers of Commerce
Supports local business owners by hosting training workshops
Small Business Administration (SBA)
Governmental agency concerned with helping small U.S. firms
and advocates for small businesses within the U.S. government
Provides financial assistance in the form of loans
Young Entrepreneur’s Organization (www.yeo.org): global non-
profit organization for today’s leading business owners
National Federation of Independent Business (www.nfib.org):
largest advocacy organization representing small and independent
businesses in the US.
Creating an Effective
Research the Business Plan
Use printed resources to gather information—
books, magazines, etc.
Access online resources using the internet.
Seek assistance from resources such as Small
Business Development Centers, professional
• Put Your Plan Together
Type your business plan
Include introductory elements such as a cover
letter, table of contents, etc.