Professional Documents
Culture Documents
W5 The Business Plan
W5 The Business Plan
W5 The Business Plan
minimize/remove risk of losing money business strategies, target market, value proposition of product/services that may
increase the company sales
avoid costly mistakes
Market Analysis
organize the activities beforehand
Marketing and Sales Strategies
assess actual performance against set goals
Product/Service Characteristics
apply for financing from lending institutions
Pricing Policy
1. Executive Summary
found at beginning but last to be accomplished since it synthesizes the whole plan Market Analysis
Needed Information: divide total market into smaller groups with similar needs and wants (Market
Segmentation) and the characteristic analysis of the business in relation internal
description of proposes business and business model and external factors (SWOT Analysis)
description of market opportunity you want to capture or market problem the
Marketing and Sales Strategies
business solves
product PUSH
reasons why its an attractive business opportunity
3 Characteristics that persuade customers:
key distinctions/differentiators of business vs competitors
1. Temporary- sales promo at short periods create urgency on customers
overview of the sales, marketing and operations strategy plan
2. Better value- sales promo used to create short-term differentiation by offering a
description of executive planning timeline better product value.
overview of projected financials containing revenues, cost, profit, and
3. Beneficial- sales promo promote growth even at artificial level
assumptions
Needed Information: value proposition- answers why should customers buy from you and not from other
similar businesses
company name, logo, address
Pricing Policy
vision and mission
price of product/service. quality and price can’t be separated in marketing
key personnel
Sales Projection
organizational chart
Sales forecast/prediction of amount of revenue to earn some point in the future
ownership capitalization, compensation, incentives
Needed Information:
Start-up costs requirements
Purpose of Product or Service
expenses needed during the course of creating new business
Product/Service’s Unique Features
Financial Projections
Material Requirements and Sources of Supply
estimates of future profits and expenses
Processing Equipment that will be used to manufacture the product/render the
service Break-even analysis
production/service process and control financial tool that help determine at what stage your company will start gaining
profit
distribution logistics
Budget
regulatory and other compliance issues
Amount needed for business operations as well as sources of such funds (equal
shares or through a creditor)