Business Plan Template

Does your Business need a Business Plan Template ?

Of course you need a Business Plan Template. Every business, whether a home business or a big business does.

I'll explain some of the chapter titles in greater detail, but first, let me elaborate upon the reasons for proper organisation of your business plan.

Having a set of questions to answer about your business, forces you to take an objective and critical look at your ideas.

Putting it all down on paper allows you to change, erase and refine everything.

You will be able to spot weaknesses and strengthen them before they develop into major problems.

Overall, you'll be developing an operating manual for your business, a valuable tool which will keep your business on track, and guide you in the profitable management of your business.

Business Plan Template

Title Page,

Statement of Purpose,

Table of Contents,

Business Description,

Market Analysis,

Competition,

Business Location,

Management,

Current Financial Records,

Explanation for Plans of Growth,

Projected Profit and Loss/Operating Figures,

Explanation of Financing for Growth,

Documentation,

Summary of Business

Personal References

This is a logical organization of the information every businessplan should cover.

Statement Of Purpose

In any business plan template there should be following your title page a page for your statement of purpose. This should be a simple statement of your primary business function.

From, and within this sub-heading, you can briefly explain your statement of purpose. The Why’s and How’s.

Point to remember, Keep it short. Very few business purposes explanations are justifiably more than half a page long.

Contents Page

Next comes your table of contents page. Don't really worry about this one until you've got the entire plan completed and ready for final typing.

It's a good idea though, to list the subjects (chapter titles), then check off each one as you complete that part of your plan.

By having a list of the points you want to cover, you'll be able to skip around and work on each phase of your business plan as the idea or the interest in organising that particular phase, stimulates you.

In other words, you won't have to make your thinking or your planning conform to the chronological order of the "chapter" of your business plan.

What Is The Best Way To Describe Your Business ?

In describing your business, it's best to begin where your statement of purpose leaves off.

Describe your product, the production process, who has responsibility for what, and most importantly, what makes your product or service unique

What gives it an edge in your market.

You can briefly summarize your business beginnings, present position, and potential for future success, as well.

The Market Place

Next, describe the buyers you're trying to reach - why they need and want or will buy your product, plus the results of any tests of surveys you may have conducted.

Once you've defined your market, go on to explain how you intend to reach that market.

How you will alert these prospects to your product or service, and more importantly, induce them to buy.

You might want to break this chapter down into sections, such as publicity, and promotions, advertising plans, direct sales force, and dealer/distributor programmes.

Each section would then be an outline of your plans and policies.

The Competition !!

Moving into the chapter on competition, identify who your competitors are, their weaknesses and strong points.

Explain how you intend to capitalise on those weaknesses, and match or better the strong points.

Talk to as many of your "indirect" competitors as possible.

How Do You Obtain Inside Information On The Competition?

One of the easiest ways of gathering a lot of useful information about your competitors is, by developing a series of survey questions and sending these questionnaires out to each of them.

Later on, you might want to compile the answers to these questions into some form of directory or report on this type of business.

Contact the trade associations and publications serving your proposed type of business.

For information on trade associations and specific trade publications, visit your public library, and after explaining what you want, ask for the librarian's help.

Management

The chapter on management should be an elaboration on the people operating the business. Those people that actually run the business - their job titles, responsibilities, and background details.

It's important that you paint a strong picture of your top management people because the people coming to work for you or investing in your business, will be "investing in these people" as much as your product ideas.

Individual tenacity, mature judgement under fire, and innovative problem-solving have "won over" more people than all the AAA credit ratings and astronomical sales figures put together!

People becoming involved with any new venture want to know thatthe person in charge, ie, the person running the business knows what he or she is doing!

Following on to the other key positions within your business; who the persons are you have selected to handle those jobs, and the sources as well as availability, of any other help you might need.

Financial Aspect

If you've been in business on any kind of scale, the next chapter is a picture of your financial status.

A review of your operating costs and income from the business to date.

Generally, this is a listing of your profit and loss statements for the past six months, plus copies of your business income tax records for each of the previous three years the business has been going.

What About Future Growth?

The chapter on the explanation of your plans for the future growth of your business is just that, an explanation of how you plan to keep your business growing.

A detailed guide of what you're going to do, and how you're going to increase your profits.

These plans should show your goals for the coming year, two years, and three years.

By breaking your objectives down into annual milestones, your plans will be accepted as more realistic and, be more understandable as a part of your ultimate success,

Following this explanation, you'll need to itemise the projected cost and income figures of your three year plan.

It'll take a lot of research, and undoubtedly a good deal of erasing, but it's very important that you list these figures based upon thorough investigation.

You may have to adjust some of your plans downward, but once you've got these two chapters on paper, your whole business plan will fall into line and begin to make sense.

You will have a precise "map" of where you're headed, how much it's going to cost, when you can expect to start making money, and how much.

Extra Finance!

Now that you know where you're going, how much it's going to cost and how long it's going to be before you recoup your investment, you're ready to talk about how and where you're going to get the money to finance your journey.

Unless you're independently wealthy, you'll want to use this chapter to list the possibilities and alternatives.

Make a list of friends you can approach, and perhaps induce to put up some money as silent partners.

Make a list of those people you might be able to sell to as stockholders in your company.

Make a list of relatives and friends that might help you with an outright loan to furnish money for the development of your business.

Also look for venture capital organisations, visit high street banks, insurance companies, anyone who offers loans and development capital.

With a listing of all the options available to your needs, all that's left is the arranging of these options in the order you would want to use them when the time comes to ask for money.

When you're researching these money sources, you'll save time by noting the "contact" to deal with when you want money, and whenever possible, by developing a working relationship with these people.

Documentation

In your documentation section, you should have a credit report on yourself.

Use the yellow pages or ask your bank for the address of one of the credit reporting agencies.

When you get your credit report, look it over and take whatever steps are necessary to eliminate any negative comments.

Once these have been taken care of, ask for revised copy of your report and include a copy of that in your business plan.

Conclusion

In conclusion, write out a brief, overall summary of your business.

When the business was started, the purpose of the business, what makes your business different, how you're going to gain a profitable share of the market, and your expected success during the coming 5 years.

Courtesy Page

The last page of your business plan is a "courtesy" page, listing the names, addresses and phone numbers of personal and business references.

Persons who've known you closely for the past five years or longer,and companies or firms you've had business or credit dealings with during the past five years.

Finally

Congratulations, that's it - your complete business plan. Before you have it formal typed up, read it over once a day for a week or so.

Take care of any changes or corrections, and it may be a good idea to have it looked at by your accountant.

Now you're ready to have it typed, printed, and published for whatever you have planned for it.

Now you can relax, take a break and feel good about yourself.

You have a complete and detailed business plan with which to operate successfully your own business.

A plan you can use as a basis for any financing proposal you may want to submit ... and a precise road-map for the attainment of real success, and those Profits!!

Now you just need to present it!

Othe Business Plan Sections

Business Plan Introduction

What are the benefits ?

What should be included ?

Your Summary Page

What are your products ?

Have you identified your Market Place ?

How good is your team's skills ?

Your Operations

Have you thought through your Financial Forecast ?

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