The plan solidifies your research that shows your company will succeed and gives you a sound document to present to interested investors. The plan is meant to be a living document and should be updated at least on a quarterly basis, with new financial reports and future forecasts.
Location Means of doing business Internet, storefront operation, mail order Operations Plan. Offer an explanation describing how the business will function, including the physical setup and responsibilities for specific tasks.
Include an overview of the market as a whole, with specific data and charts or graphs, if appropriate.
Define your target market and your plans for catering to this specific audience. Describe the products manufactured or sold or the services offered. Classify the different types of products or services and provide a brief description of each. Outline pricing and sales information.
Include rationalizations for why your audience will buy your products or services and how you will reach them through marketing and advertising efforts. Demonstrate how you will gain a competitive edge against your competition. Provide pertinent, concise background information on all key players involved in the business.
Include all financial information, from startup costs to balance sheets.
The financial section should outline: The amount necessary to start or maintain the business The amount needed over the next two, three, and even five years Plans to use funds Anticipated need for additional funding Ongoing business expenses, including salaries, insurance costs, promotional expenses, etc.
Provide projected income statements and balance sheets for at least two or three years.An executive summary of a business plan is an overview. Its purpose is to summarize the key points of a document for its readers, saving them time and preparing them for the upcoming content.
With a business plan for an existing company, you’ll include between two and five years of historical financial results, while future projections ought to cover five years of data.
A balance sheet, income statement, and statement of cash flows will be among the basic financial information, along with debt financing and repayment schedules. A business plan is used to provide a statement of goals and strategies for use by company outsiders, The financial plan section of a business plan should include balance sheets and income statements on Business plans should provide facts to support the statements and not just tell a story.
If you do business internationally, a business plan provides a standard means of evaluating your products' business potential in a foreign marketplace. Business Plan Outline.
The following pages provide a suggested outline of the material to be included in your business plan. Developing A Business Plan. Overview. The importance of planning should never be overlooked. For a business to be successful and profitable, the owners and the managing directors must have a clear understanding of the firm's customers, strengths and competition.
They must also have the foresight to plan for future expansion. Every wholesale, retail, and/or service business can benefit from the preparation of a carefully written business plan. There are two main purposes for writing that plan. There is an additional benefit if you do business internationally.