Contents of a Typical Business Plan Executive summary. This summary is one to three pages in length and highlights all the key points of the plan in a way that captures the reader’s interest. This section stresses the business concept and not the numbers. It’s the unique value proposition and business model that really matters. Company description. This short section describes the company’s business, form of organization, location, structure, and strategy. It provides a summary of the company’s capabilities and its goals and plans for the next five years. Products and services. This overview explains what products or services the company will sell; it also discusses why customers will want the products or services, what problems the offerings will solve and what benefits they will deliver, and how much customers are likely to pay for them (i.e., the willingness-to-pay criteria). Market analysis. This section identifies the need or demand for the product, who the target customers will be, and why the customers will buy the product. The section also includes a discussion of the company’s competitors or potential competitors, and why the product or service will have a competitive advantage over similar offerings from competitors. It also addresses the barriers to entry in this market that may prevent the entry of new competitors, such as high capital costs, difficulty in reaching customers or persuading them to switch loyalties, hard-to-get employee skills, and so forth. Proprietary position. If the new venture will rely on patents or licenses to patents, this section discusses how these patents will contribute to the company’s competitive position and assesses whether other patents (i.e., competitors or otherwise) might limit the company’s ability to market its products. If similar products don’t already exist, it discusses the alternative means by which customers are likely to meet the needs the product addresses. Marketing and sales plan. This part shows how the company plans to attract and maintain customers and discusses product pricing promotion and positioning strategy. Management team. The plan also describes the members of the management team, emphasizing its track record at accomplishing tasks similar to those the company will face. Investors view the management team as the most important asset that will lead to company growth and help respond to unexpected changes. Operations plan. Next, the plan describes how the business will operate on a day-to-day basis, explaining how the key assets (labor, processes, and tools) will be used to produce and deliver the products and services. This section includes a description of where the company will be located and where it will do business. Finances. This section identifies the capital that will be required to build the business and how it will be used. It includes projections of revenues and expenses that show investors how they will get their money back and what return they can expect on their investment. From: 2012books.lardbucket.org/books/challenges-and-opportunities-in-international-business/s15-global-entrepreneurship-and-in.html
Posted on: Sat, 10 Jan 2015 09:30:35 +0000
Trending Topics
© 2015