Introduction, Executive Summary

and Company Description

Section III: Preparing a Business Plan
Chapter 4
Week 4 / Session 5
 Outline

Cover Page and Table of Contents

Executive Summary

Company Description

Selecting the Name for a Business

COVER PAGE AND TABLE OF
CONTENTS
 Cover Page

• The cover page should include

– the name of the company,
– street address,
– e-mail address,
– phone number (land based and cell),
– the date,
– the contact information for the lead entrepreneur
– the company’s website address if it has one.
• This information should be centered at the top of the page.
• The bottom of the page should include information alerting the
reader to the confidential nature of the plan.
• If the company already has a logo or trademark, it should be
placed somewhere near the center of the page.
 Table of Contents

• A table of content should follow the cover

page.
• It should list the main sections, subsections,
and appendices to the plan along with their
corresponding page numbers.
• The goal is to make it easy to find anything in
the plan.
 Table of
Contents
EXECUTIVE SUMMARY
 Executive Summary

• The executive summary is the first item that

appears in a business plan.
• This short overview of the entire plan provides a
busy reader with everything that needs to be
known about the new venture’s distinctive
nature.
• Format
– An executive summary shouldn’t exceed two single –
spaced pages
– The topics should be presented in the same order as
they are presented in the plan.
 Executive Summary

• Content
– Each section of the executive summary should
contain a short synopsis of the material that’s
provided in the same section of the broader
plan.
– To fit all of the material into two pages, each
section must be crisp and concise.
– The section headings should be labeled in
boldfaced type to allow them to stand out from
the text.
COMPANY DESCRIPTION
 Company Description

• The main body of the business plan begins with a general

description of the company. Although at first glance this
section may seem less critical than others.
• It is extremely important. It demonstrates to your reader
that you know how to translate an idea into a business.
• There are two important points to be mindful of as you
start writing this section and prepare to tackle the rest of
the plan.
– a business plan is at its core a story about an opportunity and
how a person (or group of people) plans to start a business to
take advantage of the opportunity.
– you build credibility with your readers by backing up
assumptions with facts and research
 Company Description

• Company History
– The Company History section should be brief. but should explain where the
idea for the company came from and the driving force behind its inception.
If it is a startup, simply mention that the company is in the startup stage.
• Mission Statement
– A mission statement defines why a company exists and what it aspires to
become.
– Your mission statement should:
• Not be a mini-overview of the business
• Describe what makes your company different
• Be honest – don’t claim to be something you aren't
• Convey passion and stick in the mind of the reader
• Define your “reason for being"
• Be risky and challenging but achievable
• Use a tone that best reflects your company’s culture
• Be some thing that everyone involved with the firm can relate to
• Involve everyone in your team in its creation
 Company Description

Facebook
Facebook’s mission is to make the world more open and connected.
Starbucks
Our mission is to inspire and nurture the human spirit – one person, one cup, and one
neighborhood at a time.
New Balance
New Balance aims to become recognized as the world’s leading manufacturer of high-
performance footwear and apparel, by conducting out internal and external relationships to
three core values – Teamwork, Total Customer Satisfaction, and Integrity.
Amazon.com
We seek to be Earth’s most customer-centric company for four primary customer sets:
customers, sellers, enterprises, and content creators.
Twitter
To instantly connect people everywhere to what’s most important to them.
 Company Description

• Products and Services

– The Products and Services section should
include an explanation of your product or
service, beyond what you said in the executive
summary. Include a description of how your
product or service is unique and how you plan to
position it in the marketplace.
– A product or service’s position is how it is
situated relative to its rivals.
 Company Description

• Current Status
– The Current Status section should reveal how far along
your company is in its development.
– Three issues are particularly important for this section:
• The current composition of your management team,
• Early customer reaction to your product or service,
• Your company’s financial status.
• Legal Status and Ownership
– The Legal Status and Ownership section should indicate
who owns the business, how the ownership is split up if
more than one individual is involved, and whether a
founder’s agreement has been set up.
SELECTING THE NAME FOR A
BUSINESS
 Selecting the Name for a
Business
• A company's brand is the unique set of attributes that
allow consumers to separate it from its competitors.
• Primary consideration in naming a business
– Customer-driven companies
– Product-or service- driven companies
– Industry-driven companies
– Personality-or image-driven companies
• Legal issues
– The general rue for business names is that they must be
unique
– Careful to pick a name that won’t be a problem in a foreign
culture if your business expands.
 Source

• Bruce R. Barringer. (2015). Preparing

Effective The Business Plans: An
Entrepreneurial Approach. 02. Pearson
Education Limited. Essex. ISBN:
9781292059334
Thank You