Let’s learn and explore more about the first part of a Business Plan.

Let us start with the INTRODUCTION/EXECUTIVE SUMMARY, here are some of the tips on what should be
found in this section.

It is where you explain the general idea behind your company, It’s where you give the reader
(most likely the investor, or someone else you need on board) a clear indication of why you’ve sent
them the Business Plan.
Note that, while the entire Business Plan should be well-written, this section must really
demonstrate excellent composition and grammar. This is the first part of the BP that anyone will read,
so it’s important that it really “sings”.
Also, in this section, the following questions should be answered by an executive summary.

 What products or services do you offer?

 What sector do you operate within?
 Who is your target audience?
 What is the future outlook of the marketplace?
 What makes your offer unique?
 Who’s the boss?
 Why did your company start?

Next part is the BUSINESS DESCRIPTION

The business description usually begins with a short description of the industry. When
describing the industry, discuss the present outlook as well as future possibilities. Detail whether the
business is a sole proprietorship, partnership or corporation, who its principals are, and what they will
bring to the business.
What to Include
The exact elements included in your company description can vary, but some elements are
more common than others and most likely should be part of the section:
1. Company name: The official name of your business as registered in the state where you do
business.
2. Type of business structure: Sole proprietorship, LLC, partnership or corporation.

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 3. Ownership/management team: Names of the key people behind the company.
4. Location: Where is the company headquartered?
5. Company history: When was the business started, what inspired you to start the business,
what need does your company fulfill?
6. Products/services and target market: A brief overview of what you plan to sell and to whom.
7. Objectives: An outline of what you want to accomplish in the immediate future based on the
data in the rest of the business plan as well as future growth goals.
8. Vision statement: A statement about how you envision the future of the company.

Writing Your Company Description

Once you've organized the key information that you want to include, you need to write the
section in a way that will be appealing to readers. Follow five steps to help create a successful
company description.

1. Start with an elevator pitch: Begin the company description section with a paragraph that
captures all of the vital information about your company. Imagine you are giving an elevator
pitch about your company and want to express the key characteristics in just a few sentences.
Use the same thought process for your introductory paragraph.
2. Stick with high-level information: Some of the information in your company description will
be included in other sections of your business plan. For these parts, provide only a high-level
overview and leave all of the specific details for the related section.
3. Show your passion: Let your passion and excitement show in the company description
section as you explain why you started the company and what you hope to accomplish. Your
excitement should show in the tone of your writing, and your aim should be to get the reader
interested in reading the rest of the business plan.
4. Do a length check: When you're writing about the passion and excitement that led you to start
your company, it can be easy to get carried away and use more words than necessary to get
your point across. Once you've drafted your company description, go back and cut out any
unnecessary parts or redundant information to make it clear and concise.
5. Have it proofread: Ask someone who hasn't seen various drafts of the company description
to review it for typos, grammatical errors, or flow problems that could hurt the impact it has on
the reader.

Next is the INDUSTRY ANALYSIS

The industry analysis that you performed before sitting down to write your business plan can
be incorporated into it to provide data on the industry and markets in which your company conducts
business. Drawing upon the data you collected by using the various industry analysis resources
mentioned earlier allows you to identify the risks and opportunities confronting the company as it
prepares to enter the marketplace with its products or services. This information permits you to develop
strategies to take full advantage of the opportunities presented to business while minimizing or avoiding
the identified risks.

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 When written as a section of a company’s business plan, an industry analysis can be presented as a
five-step process.
Step 1: Give a brief overview of the industry. Define the industry in terms of historical background, the
geographic area it services and the products it offers.
Step 2: Review trends and growth patterns that have existed within the industry.
Step 3: Identify factors that influence the industry. These might include government regulatory policies
and competitive practices of other businesses.
Step 4: Using data gathered through research, forecast anticipated growth of the industry. The
predictions should be both long- and short-term.
Step 5: Describe how your company will position itself within the industry. Focus on how your company
can take advantage opportunities identified within the industry.

One way to analyze the industry is the use of SWOT Analysis (Strength, Weaknesses, Opportunity and
Threats).

And lastly, MISSION STATEMENT

Why do businesses need a mission statement?

A well-crafted mission statement focuses the business for both employees and the target
audience. It serves as a framework, giving everyone involved a launching point to build from when
establishing the brand. For consumers, it sets the company apart from the competition without limiting
the business purpose.
Tips for Creating an Effective Mission Statement
There are many schools of thought on how to go about creating the perfect mission statement,
but there are some clear do's and don’ts to consider.
1. Do keep it short and concise. Sum up the company’s mission in just a few sentences.
2. Don’t write an essay. That is not the purpose of this brand building tool. You want the mission
statement to be tethered to the brand and that means it must be memorable. Long drawn out
prose is rarely memorable.
3. Do think long-term. The mission statement is an investment in your company’s future, so
keep it open enough to reflect your long-term goals.
4. Don’t make it too limiting. We want to provide the best products ever to the town of
Elmwood. Do you only see the business selling to the residents of one small town or do you
hope to expand at some point?
5. Do find out what your employees think of the mission statement. This is a tool designed
with them in mind, too, so get their opinion. Ask how they would improve it and what they
dislike about it.
6. Don’t be afraid to change it. Things change in the business world. If the mission statement
no longer represents the company, it is time for a rewrite.

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Suggested links:

How to write a Business Plan?

https://www.discoverbusiness.us/resources/business-plans/

How to write an effective Executive Summary?

https://articles.bplans.com/writing-an-executive-summary/

How to write a Business Description?

https://www.thebalancesmb.com/how-to-write-a-company-description-2951558

How to write an Industry Analysis?

https://www.discoverbusiness.us/resources/business-plans/#10

How to write a powerful Mission Statement?

https://www.bigcommerce.com/ecommerce-answers/how-to-write-a-powerful-effective-mission-statement/