Tuesday, August 10, 2010
CHECKLIST: Basic Parts of a Business Plan: Part 8 Start Your Small Business Now
In the previous post, you learned how to make your very own business plan. Detailed steps are discussed there and it's very helpful to small business enthusiasts like you. In this article, checklist will be given to you so that you will know if you missed something or you've had everything written. Entrepreneur Magazine Philippines shared you the checklist or what we call the basic parts of a business plan. Read on and learn.
A basic business plan has the following parts:
Right from the start, make sure that your business plan reflects your business. There is no need for a complicated or an overly decorative cover, but make sure that the cover is presentable and entices the reader to open the document and read on.
2. Executive Summary
Aside from summarizing the business plan, the executive summary should contain important contact information.
3. Table of Contents
While this might be optional, a TOC shows consideration for the reader.
4. Information on the Company
This should contain factual and other background information on the company: year the company was established; whether the company is a sole proprietorship, partnership or corporation; the names of the founders, owners, partners and incorporators; history of the company and company profile; and mission of the company.
5. Information on the Industry and Business Environment
This part of the business plan will allow potential investors and lenders to compare and analyze facts and figures. From these information, they will be able to determine your company's chances at success, which will in turn determine whether they would invest in your company or not. Remember that they have their own sources of information, so make sure that your information is solid.
6. Information on the Management Team
Build on the strengths of your people, but again do not make false claims in this part of the business plan.
7. Marketing Plan
After introducing your company and the people behind it, say how you intend to promote your product or service, the cost of promotion and how you intend to compete with your rivals.
8. Financial Statements
It is good to present your projected finances on a quarterly basis, until such time you foresee making a profit.
Continue on Part 9 of Start a Small Business Now: ABOVE ABOARD
Rewrite from Entrepreneur Philippines
January – February 2010 issue. All rights reserved.