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HOW TO WRITE A BUSINESS PLAN

SECTION 1. EXECUTIVE SUMMARY

This is the most important part of the Business Plan. It contains the following
  • Brief explanation of what your company intends to do.
  • Things your company has that ensures its success.
  • Financial projections, expenses and profits for the next 3 and five years and how much is your financial requirement.

SECTION II. COMPANY OVERVIEW

The Company Overview provides a brief history of your company. It includes the

  • Type of business entity, dates and location.
  • Key accomplishments of the company so far and reasons it has potentials for success.

SECTION III. INDUSTRY ANALYSIS

The Industry Analysis presents the Market Overview and the Market Size for the product/services. It includes

  • Market size of the education industry if you are a school. It discusses the occupational outlook and labor market for your programs.
  • Annual revenue of your school if it could attain its market share. Include your tuition fees and other expenses.

SECTION IV. CUSTOMER ANALYSIS

The Customer Analysis presents your Target Customers and Customer needs. It includes:

  • Your current or intended customers and demographics are discussed in the Target Customers.
  • In the Customer Needs Section, discuss the reasons these target customers want or need your services and enroll in your programs. What do customers really need that you are addressing.

SECTION V : COMPETITIVE ANALYSIS

The Competitive Analysis section discusses your Direct and Indirect Competitors and your competitive advantage. You present them in 3 parts.

  • Identify the companies that provide the same services and products. If you are a Phlebotomy school, identify other Phlebotomy schools. What are the good and the weak points of your competition.
  • Identify the companies that provide similar services and products. For our example, identify the schools that offer allied-health programs. What are the good and their weak points?
  • After identifying the above competition, discuss what your company offers that will let your customers choose you over the

SECTION VI: MARKETING PLAN

The Marketing Plan sections discusses how to let your market know your products and services. It is composed of 3 parts.

  • Products & Services. Describe in detail your products and services.
  • Pricing. How much are your products and services in comparison to your competition.
  • Promotions Plan. How to attract your customers. What advertising campaigns are you going to use. Will have you radio or TV ads, brochures? Where will your services be available to the customers.

SECTION VII: OPERATIONS PLAN

There are two subsection.

  • Key Operational Processes : Your Key Operational Processes are the daily functions your business must conduct. In this section, you will detail these functions. For example, will you maintain a Customer Service department? If so, what specific role will it fill? By completing this section, you’ll get great clarity on the organization you hope to build.
  • Milestones: In this section of your business plan, list the key milestones you hope to achieve in the future and the target dates for achieving them.
  • Here is where you set goals for specific and critical undertakings, such as when a new product will be created and launched, by when you plan to execute new partnerships, etc.

SECTION VIII: MANAGEMENT TEAM

Your Management Team section has three sub-sections as follows:

  • Management Team Members . This section details the current members of your management team and their backgrounds.
  • Management Team Gaps. Particularly if you’re a startup venture, you will have holes in your team; roles that you’d like to fill later. Identify such roles here, and the qualifications of the people you will seek later to fill them.
  • Board Members. If you maintain a Board of Advisors or Board of Directors, detail your Board members and their bios in this section.

SECTION IX: FINANCIAL PLAN

Your Financial Plan section discusses everything about revenues, requirements and funding.

  • Revenue Model: This is the section where you give details of revenue generation. Do you sell your products or services?
  • Financial Highlights: Include the revenues, expenses and projected net income for the next 3-5 years or up to 10 years.
  • Funding Requirements/Use of Funds: Specify the amount of fund requirements and their usage.
  • Exit Strategy: This is the final part of the business plan. Discuss your long term plans such as are you going to let it run dry, sell your shares, liquidate, go public or sell?

SECTION X: APPENDIX/EXHIBITS

This section contains all supporting documents particularly your financial statements.

ARE YOU READY TO WRITE YOUR BUSINESS PLAN?  Learn More


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