Creating a Business Plan
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1 Creating a Business Plan
2 Welcome and Purpose We are about to take the exciting step of finalizing your business plan! This is an important part of starting your business and getting funding. The purpose of this packet is to help you create a formal business plan so that you can present it to funders.
3 Business Plan A business plan is a written document that outlines a business's objectives and the strategy and tactics that it will use to achieve those objectives over a three to five year period of time.
4 How to use this packet 1. This packet includes the 10 key components for a formal business plan. 2. While reading this packet, create a Microsoft Word document and type each of the 10 sections in order. 3. When finished, go back and answer each question. 4. Have a teacher proofread your plan. 5. Put together your presentation!
5 Parts of a Business Plan 1. Cover page 2. Executive Summary (Introduction) 3. Business Description 4. Management and Operations 5. Products and services 6. Industry and Competition 7. Customers 8. Marketing and Sales strategy 9. Financial Plan 10. Appendices
6 Executive Summary/Introduction Describe who you are, your business name, and how much funding you need, along with what the funding will do to grow your business. Key questions to answer: What does your business do? What market need does your business solve? What are the 4-7 reasons why your business will be successful? How much capital, if any, are you seeking for your business? What are you going to use the capital for?
7 Company profile: Business Description What is the name of your business? Do you have a logo, mission, vision, tagline? What date was the business established? Where are you located? Please provide the exact address. What is your legal entity form?
8 Business Description (continued) Company Mission/Vision Statement What does your company do? What goals is your company trying to achieve? Company Timeline Company History (for ongoing companies) Start-up Plan for new companies
9 Management & Operations Management Team Members Who are the owners? Who manages/will manage the business? Include the resume(s) of each key staff member Staff Analysis Who do you still need to hire
10 Management & Operations (cont.) Advisory Committee Do you have an Advisory committee? Who would be a good mentor for the business? Operations What are the days/times and locations you are open? Are there any other sales opportunities (website, etc.)?
11 Products & Services Products/Services details Please list your products and services (attach your menu, brochure, etc.) Please include the price for each product/service Provide information or packages that will help determine the cost of goods or services sold.
12 Industry & Competition Market Need What customer need(s) are you fulfilling? Market fundamentals Industry/Market overview In what industry do you compete? Describe what market your business serves. Market/Industry trends What are the key market trends and how do they affect you? Relevant Market size How large is your target market (the # of customers who can realistically buy from you)?
13 Industry & Competition (cont.) Competitive Analysis Who are your direct competitors? Please include the name of the business, location, products/services they sell and the price range. What are their strengths and weaknesses? Competitive Advantage What are your competitive advantages? How are you different or better? Based on your industry competition, describe how your business is uniquely qualified to succeed.
14 Type(s) of Customers Customers Does your business serve business clients, consumers, government? Or all of the above? Customer Profile What does your ideal/potential customer look like (create a profile of who your business services, including lifestyle, disposable income, education, etc.) Do you see any trends within your consumer base?
15 Strategy Marketing & Sales Strategy How do/will you promote your products/services to create sales? What type of advertising/marketing strategies are you using? How much do/will you spend on marketing and sales? Branding Based on your customer profile, how is/will your brand related to your customer?
16 Financial Plan Financial Situation (personal & business) If you are a startup, please provide your personal financial information. This includes your monthly expenses and income (all of it). List your bank accounts and include the business tax return information. If you are an established business, provide the same as above and your business financials.
17 Financial Plan (continued) Financial Situation (personal & business) Based on the monthly statements, please answer the following: What are your past and current sales? What is your projected monthly revenue? What are your past fixed and variable costs? What are your projected monthly expenses? If you are an established business, provide the same as above and your business financials.
18 Financial Plan (continued) Financial Statements (personal & business) Remember you are building a case for funding your business. Include 3 months of financials: Business budget (Profit & loss, cash flow statement) Household budget Project expense list Funding Requirements/Use of funds How much money do you need to start and/or run your business? What are the primary uses of these funds?
19 Appendix The appendix is used to support the rest of your business plan. So the more details the better: Projected income statements, balance sheets, and cash flow statements Key staff resumes Customer lists Brochures, marketing documents, photos, etc. Product/service details Partnership/Customer letters
20 Next Steps Register your business with Bexar County: Get an Employer Identification Number: n-employer-identification-number-ein-online Get a Sales Tax Permit: Where to get a business loan: LiftFund at LiftFund or Small Business Administration at the Small Business Administration Website or More small business/startup info:
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