BUSINESS PLAN

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BUSINESS PLAN
• A written document that outlines the future
activity for an existing or proposed business
venture
• It is the formal written expression of the
entrepreneurial vision
• A document that brings together the key
elements of a business that include details about
the products and services, the cost, sales, and
expected profits
• Blueprint

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Know where you want the
company to go and spell
out a route to get there

-Melvin J. Gordon, CEO of

Tootsie Roll
 Research
Ideas

Finances
Will

Business Plan
What is the purpose of a business
plan?
PURPOSE OF A BUSINESS PLAN
A business plan acts as a
roadmap for establishing
and developing new
businesses
PURPOSE OF A BUSINESS PLAN

A thorough business plan is

necessary for raising capital
I. Cover page/Title Page
II. Table of Contents
III. Executive Summary
IV. General Company Description
V. Products and Services
VI. Marketing Plan
VII. Operational Plan
VIII. Management and Organization
IX. Financial Plan
X. Funding Requirement/Capitalization
XII. Appendices

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Is a business necessary?
A business plan illustrates:
• where the owners currently are, where the
business currently stands, where the owners
and the business would go
• also serves as a safety net between the
now, the future, and for the times when the
road gets bumpy
Are there companies that have
been successful with a minimal
business plan or none at all?

Yes

What's the catch?

These companies either had an
idea that changed the world or were
really lucky

Is it worth the risk?

Not unless you are
independently wealthy
A closer look at the parts of a business
plan
REMINDER
• Write your entire plan in the 3rd person.
• Refer to the business - the owner, ABC
Company, The Company, The Store, etc.
• DO NOT use I, we, our, mine, my or any
other possessive terms when writing your
business plan.
• Accentuate the positives.
• Avoid “Wishing and Hoping”. Change
words like “think” to “know”, change “if” to
“when”, change “hope” to “will” etc.
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I. Cover Page

Important contact information should be placed here

Legal business name

Owner
Address
Telephone number
Email Address

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II. Table of Contents

• Serves as a reference for quickly identifying

and finding portions of business plan

• All portions of the business plan should be

listed

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III. Executive Summary

• It appears first but it is actually the final section to

be written.
• Not longer than two pages, contains only a
paragraph or two
• Make it dynamic and exciting to capture the
reader's interest
• Summarizes the whole plan
 Business ideas and goal - Overview of the
business
 Marketing - Products and services being sold
 Operations - Business location and staff
 Finances - Breakeven period, finances required
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III. Executive Summary

• Written in the third person

• Clear, concise and easy to understand
• Market yourself here

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IV. General Company Description

• Section where you introduce the business in a

more detailed manner
• Outline the type of business
• Company history (if existing)
• Products and Services
1. Business Overview
 Description of the business and where it fits in
the market place

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 IV. General Company Description
1. Business Overview
 Describe what needs/wants/problems the business will
be filling and how it will go about filling them
 Describe the markets that will use your business and
any business history

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IV. General Company Description

2. Company Structure
Outline the corporate structure
Legal form of the business
List any shareholders, partners and incorporation
information

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 IV. General Company Description
3. Location
Describe the location, its benefits, amenities, and accessibility to
customer traffic.
Indicate freight routes, traffic statistics (municipality), area
demographics, and growth rate.
Details of parking
Cost of lease or mortgage
Why did you choose the location
Outline any renovations or alterations to be done

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 IV. General Company Description
4. Key Personnel
Include a brief profile of all key partners and employees outlining
their duties and experience
Include their resumes in the appendix
Highlight their relevant education and expertise, business
qualifications, work history and references
Include yourself

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 IV. General Company Description
5. Goals and Objectives
Outline the objectives and goals of the company
State long and short term goals
Make them SMART goals

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 IV. General Company Description
6. SWOT Analysis
What will be the strengths of the business?
DO NOT include marketing strengths and weaknesses as they will
be covered in the marketing section
Discuss any weaknesses and vulnerabilities of the business and
what the plan is for mitigating or overcoming them.
Stress the opportunities and the threats.

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 IV. General Company Description
7. Mission and Vision Statements
Mission statement describes the company phiosophy in very
few sentences.
Mission statement shows your commitment to the business
and its customers and provides a written promise for you to
uphold.
Study other mission statements and design one that is
uniquely yours.
Vision statement describes how you see the company in the
future.

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