Business/Project Plan

• A business plan is a document that

summarizes the operational and financial
objectives of a business and contains the
detailed plans and budgets showing how the
objectives are to be realized. It is the road
map to the success of your business. For
anyone starting a business, it's a vital first
step.
 What Are the Components of a Business Plan?

• When writing a business plan, the Industry

section is best organized as two parts: an
overview of the industry and a summary of your
business' position within the industry.
• Before writing this section of the business plan,
use these questions to focus
 Industry Overview
• What is the size of your industry?
• What sectors does this industry include?
• Who are the major players in this industry?
• What are the markets and customers for this
industry?
• What are the industry's estimated sales this
year? Last year? The year before?
 Industry Overview
• What national/economic trends might affect it in
the future and how?
• What is the long-term outlook for this industry?
• Writing a Business Plan: Position in the Industry
• What products or services will your business be
selling?
 Industry Overview
• What is your Unique Selling Proposition ?
(What is it about your business that makes it
unique and sets it apart from competitors?)
• What are the barriers to entry in your industry?
• How will you overcome these barriers?
• Who are your competitors?
• What is the market share of your competitors?
 Industry Overview
• What is your business' competitive advantage
(i.e. your market niche or estimated market
share)?
• What is your target market?
• How are you protecting your product or
process (i.e. patents, copyrights, trademarks,
franchise rights that you either hold or plan to
acquire)?
 Industry Overview
• Once you have all this information, you'll write
this section of the business plan in the form of
several short paragraphs. (Remember, each of
these paragraphs is a summary, not a detailed
point-by-point explanation.) Use appropriate
headings for each paragraph.
•  
 Market Analysis

• When writing a business plan, the focus of the

Market Analysis section is a thorough
examination of your target market, those people
that you intend to sell your products or services
to.
• Then you need to make some projections about
your target market, in terms of how much of
your products or service they might buy, and
how they might be affected by trends and
policies.
 Market Analysis
• To define your target market, you need to ask the
specific questions that are directly related to your
products or services.
• For instance, if you plan to sell computer-related
services, you need to know things such as how
many computing devices your prospective
customer owns.
• If you plan on selling garden furniture and
accessories, you need to know what kinds of
garden furniture or accessories your potential
customers have bought in the past, and how often.
 Marketing Plan
• The marketing plan section of the business plan
explains how you're going to get your customers
to buy your products and/or services. 
The marketing plan, then, will include sections
detailing your:
• Products and/or Services and your 
Unique Selling Proposition
• Pricing Strategy
• Sales/Distribution Plan
• Advertising and Promotions Plan
 Management Plan 
• When writing the business plan, the
Management Plan section describes your
management team and staff and how your 
business ownership is structured. People
reading your business plan will be looking to
see not only who's on your management team
but how the skills of your management and
staff will contribute to the bottom line.
 Management Plan
• A convenient way to organize the Management
Plan section is to break it into sections detailing
your:
• Ownership Structure
• Internal Management Team
• External Management Resources
• Human Resources Needs
 Operations Plan
• When writing the business plan, the
operations plan section describes the physical
necessities of your business's operation,
• such as your business's physical location,
facilities and equipment.
• Depending on what kind of business you'll be
operating, it may also include information about
inventory requirements and suppliers, and a 
description of the manufacturing process.
 Financial Plan
• It's at the end of your business plan, but
the financial plan section is the section
that determines whether or not your
business idea is viable, and is a key
component in determining whether or
not your plan is going to be able to
attract any investment in your business
idea.
 Financial Plan
• Basically, the financial plan section consists
of three financial statements, the income
statement,
• the cash flow projection 
• and the balance sheet 
• and a brief explanation/analysis of these
three statements.
 Financial Plan
• Think of your business expenses as broken
into two categories; your start-up expenses
and your operating expenses.
• All the costs of getting your business up and
running go into the start-up expenses
category. These expenses may include:
 Financial Plan
• business registration fees
• business licensing and permits
• starting inventory
• rent deposits
• down payments on property
• down payments on equipment
• utility set up fees
Operating expenses are the 
costs of keeping your business running. Think of these as
the things you're going to have to pay each month. Your list
of operating expenses may include:
•salaries (yours and staff salaries)
•rent or mortgage payments
•telecommunications
•utilities
•raw materials
•storage
Distribution cost
•Promotion cost
•loan payments
•office supplies
•Maintenance