Business Plan Key Elements
I would suggest that the key elements that should comprise the business plan are as follows: 1. An executive summary of the business plan, suggested length Maximum two to three pagesa) What is the businessb) What is the marketc) Potential for businessd) Forecast profit figurese) Likely investment requiredf) Potential for purchasers and finance providers2. The Evolution of the business idea Single pagea) Why the market existsb) How you anticipate the market will developc) Barriers to entry (e.g. competition, funding etc).3. Key Personnel and Management As many pages as neededa) Full details of all key personnel including i) academic history and relevant achievements ii) Practical experience in relevant fieldsiii) weakness in management and intended remedies 4. Your products/services Maximum two pages a) A simple description of the products/services you offer b) Key features and, more importantly, the unique selling point of your products/services c) Brief evaluation of competitiond) Service users and potential development 5. Marketing Two pages a) The market, size, past and future growth b) Sector analysis c) Potential customers, size, buyer behaviourd) Competitors, who are they, size, position, likely response to your challenge 6. Selling Two pages a) Promotional advertising b) Who will sell?c) Sales planning 7. Operational Details Two pages a) Location, premises etc.b) Key Suppliers if anyc) Equipment operated if any 8. Financial Analysis Summaries plus detailed appendices a) Summary of projections b) Monthly profit and loss projections (18 months to two years)c) Monthly cash flow projections (18 months to two years)d) Balance sheet projectionse) Key projection assumptionsf) Sensitivity analysis (i.e. if we have over-budgeted sales by 10, will the business still be profitable) 9. Prospects one or two pages a) Objectives - short and long term b) Capital structurec) Investor prospectsOne of the mian reason a business will fail is due to lack of a sound business plan. As you can see, writing a good business plan will usually mean doing your market research and informaionm gathering which in itself, will prepare you for a highr degree of success.The Self Improvement Centre offers a free business appraisal. To find out more, please visit http://www.self-improvement-centre.co.uk .
About the Author
Paul Flintoft is the marketing executive at the Self Improvement Centre, who provide business and personal development resources to help small and growing businesses start, manage and expand their business. The site contains books, audio programmes, library services, articles, coaching, free downloads and access to hundreds of useful resources. He is also one of the top distributors for UK based network marketing company Kleeneze - http://www.kleeneze-information.co.uk .
Tell others about
this page:
Comments? Questions? Email Here