HOW TO WRITE A

WINNING BUSINESS PLAN

 What is a Business Plan?
Vehicle to:
• Assess the current and future states of an
organization and its environment
• Delineate long range and short range objectives
based on this assessment
• Develop appropriate action guidelines to achieve
these objectives
Guidelines for Developing Business Plan
1. Keep it Short & Crisp
2. Keep it Simple
3. Organize it Appropriately
4. Identify a Target Market
5. Demonstrate the Benefits of Product/Service
6. Orient the Plan towards the Future
 Continue….
7. Don’t be too Optimistic
8. Highlight Current & Potential Problems
9. Demonstrate that you have an effective
Management Team
10. Demonstrate How the Investors can get their
Money out
Cover Page
Should Include:
• Company Name
• Company Logo
• Address & Phone number
• Name & Position of Contact person at your company
• Date of establishment of business
• Name of Company from which you are seeking
funding
• Date of Application
• Copy Number of the Report
Table of Contents
• Executive Summary (Page no in Roman numerals)
• Background & Purpose (Decimal System)
• Objectives
• Market Analysis
• Development & Production
• Marketing
• Financial Plans
• Organisation & Management
Executive Summary
• Written last
• Appealing & Convincing
• 1-3 pages proposal
• At the top of the page:
 Company Name, Address & Phone Number
 Name & position of Contact Person at your
company
 Date of Application
•
Continue….
Description of Business
• Strategic Direction
• Market
• Management
• Financial Features
• Exit
•
Continue….
Ownership
• Critical Risks & Problems
• Summary & Conclusions
• Appendices
Background & Purpose
History
Current conditions
What , where , who ?
Accurate description
Tests conducted & results
 Concept
 Key factors + examples
 Uniqueness
 Strategy
Objectives
Overall Objectives
Specific Objectives
Next 2 to 5 years
Sales
Profitability
Market share/standing
Social concern/responsibility
Market Analysis
Objectives:
To gain substantial market share in a growing industry
To achieve desired sales in face of competition
1. Overall Market and 2. Specific Market Segment
Present and Projected
Produce a best-case, worst-case and most-likely case
estimate of sales potential
Market Analysis
3. Competitive Factors
Existing rivals
Entrants
Buyers
Suppliers
Substitutes
Market Analysis
4. Other Market Influences
Economic factors
Seasonal fluctuations
Government influences
Social factors
Random, unexpected disturbances
Development and Production
1. Production Process
Outline the basic stages of the process
Allocate resources: time and money
Identifying difficulties and risks
In-house production vs. sub-contracting
Development and Production
2. Production Requirements
Raw materials
Labor
Plant facilities, Equipment
R&D
3. Contingency Plans
Alternative sources of material
Provisions for additional workers and overtime
Marketing Plans
A. Marketing Orientation
 Customer & Commitment

B. Marketing Strategy
 Description of product or service, Competitors
 Target market, Market research, Segmentation
 Positioning, Value-added Services
 Pricing Strategy, credit policy
 Channels of Distribution
 Advertising techniques
 Branding, Packaging and Labeling
- Guarantee/Warranty

C. Sales Forecast
 Projection for 5 years
 Best, worst and most likely

D. Contingency Plans
Financial Plans
Evaluation of Investment opportunity

A. Financial Statements
 Performances and Ratios
 Start-up costs
 Projections of P&L statement
 Projections of Cash flow
 Balance Sheet
 Sources of Funds and Allocation
 Collateral
 Break-even estimates
 Debts, Accounts Payable
 Receivables, Bad Debts
 Unusual items in statements
 Monitoring & Controlling funds
Organization and Management
Key personnel
Providing organizational chart
Proving chart of key executives
Board of directors
Various associations
Other personnel
No. of employees hired , future prospects
Local labor market
Regulations in hiring
Staffing process
Performance assessment
Profits sharing

Contingency plans
Ownership
Critical Risks and Problems
Summary
Scheduling
Appendices
Thank you!