A business plan is a written description of your businessâ€™s future. Itâ€™s a document that tells what you plan to do and how you plan to do it. Business plans are inherently strategic. You start here, today, with certain resources and abilities. You want to get to there, a point in the future (usually three to five years out) at which time your business will have a different set of resources and abilities as well as greater profitability and increased assets. Your plan shows how you will get from here to there.
Business plan contains:
Executive summary: Within the overall outline of the business plan, the executive summary will follow the title page. The summary should tell the reader what you want. This is very important. All too often, what the business owner desires is buried on page eight. Clearly state what youâ€™re asking for in the summary.
Business Description: The business description usually begins with a short description of the industry. When describing the industry, discuss the present outlook as well as future possibilities. You should also provide information on all the various markets within the industry, including any new products or developments that will benefit or adversely affect your business.
Marketing Strategy: Market strategies are the result of a meticulous market analysis. A market analysis forces the entrepreneur to become familiar with all aspects of the market so that the target market can be defined and the company can be positioned in order to garner its share of sales.
Development: The purpose of the design and development plan section is to provide investors with a description of the productâ€™s design, chart its development within the context of production, marketing and the company itself, and create a development budget that will enable the company to reach its goals.
Operations and Management Plan: The operations and management plan is designed to describe just how the business functions on a continuing basis. The operations plan will highlight the logistics of the organization such as the various responsibilities of the management team, the tasks assigned to each division within the company, and capital and expense requirements related to the operations of the business.
Financials: Financial data is always at the back of the business plan, but that doesnâ€™t mean itâ€™s any less important than up-front material such as the business concept and the management team.
Financial PlanÂ : Developing a personal financial plan will not only allow you to control your financial situation, but can enhance your quality of life by reducing the uncertainty you feel about money-related issues and future needs.