Business Plans Good Business Plans are Practical Taken from
http://www.bplans.com/hurdleonline
http://www.sba.gov/starting/indexbusplans.html
Slide 2
Planning is a Process
Slide 3
Four Elements Supporting Successful Plan Implementation 1. Is
the plan simple, easy to understand and to act on? Does it
communicate its contents easily and practically? 2. Is the plan
specific? Are its objectives concrete and measurable? Does it
include specific actions and dates of completion, specific persons
responsible and specific budgets?
Slide 4
Four Elements Supporting Successful Plan Implementation (cont.)
3. Is the plan realistic? Are the sales goals, expense budgets, and
milestone dates realistic? Nothing stifles implementation like
unrealistic goals. 4. Is the plan complete? Requirements of a
business plan vary, depending on the context. There is no
guarantee, however, that the plan will work if it doesn't cover the
main bases.
Slide 5
Use of a Business Plan Define and fix objectives, and programs
to achieve those objectives Create regular business review and
course correction. Support a loan application Define agreements
between partners Set a value on a business for sale or legal
purposes Evaluate a new product line, promotion, or expansion
Define a new business (this will be our use)
Slide 6
No Time to Plan? Not enough time for a plan. I can't plan. I'm
too busy getting things done. A business plan now can save time and
stress later. Too many businesses make business plans only when
they have to. The busier you are, the more you need to plan.
Slide 7
Business Plans Donts Don't use a business plan to show how much
you know about your business Nobody reads a long-winded business
plan: not bankers, bosses, nor venture capitalists (50 pages
max)
Slide 8
Simplified Business Plan Outline Executive Summary Company
Summary Product Description Market Analysis Summary Strategy and
Implementation Summary Management Summary Financial Plan
Slide 9
Initial Business Plan Assignment Mission/Objectives whats the
true nature of your business (dont be too narrow), how will you
build customer satisfaction, what is your workplace philosophy,
what value to the customer do you offer Keys to success limit to
three and focus on those Target Market good educated guess
Competitive Advantage what distinguishes you and your product Basic
Strategies how will you develop the company and products
Slide 10
Use of Graphics Tables and charts present information in visual
formats with greater impact that words alone Plan should include
graphs, bar charts, and pie charts to illustrate cash flow (single
most important numerical analysis in a plan) sales forecast with
break-even info profit and loss statements projected balance sheet
projected business ratios market analysis
Slide 11
Examples
Slide 12
More Examples
Slide 13
Still More Examples
Slide 14
Break-Even Analysis Need to know Average per-unit sales price
Average per-unit cost Monthly fixed costs Projection of unit
sales/month