business plan basics · business plan basics by amy demchak. getting started •assign employees to...
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Business Plan Basics
By Amy Demchak
Getting Started
• Assign employees to work on business plan
– Executive Officers and possibly a few support staff
from the sales/financial departments
• CEO responsibilities
– Create a Google Doc
– Use the VE Written Business Plan Rubric to list all parts
of the business plan
– Assign an employee to each part
– Print Gotham Enterprises example,
available on Portal
Deadlines
• Assign due date for rough drafts
– Allow yourself 1-2 days to read and make comments
– Grade rough drafts taking points off for late
submittals
• Assign due date for final draft that is 2-3 days
prior to VE submittal date
– Grade final drafts taking points off for late submittals
Business Plan Components
• Cover Page
• Table of Contents
• Executive Summary
• Company Summary
• External Environment
• Marketing Plan
• Financial Plan
• Appendix – bank statement, contracts with non-virtual entities, loan amortization, works cited or notes
Optional Additional Components – not required in rubric
• Technology Plan
– Web Plan Summary
– Website Description
– Innovation Research
• Corporate Social Responsibility
Document Format
• 12 point font
• 1 ½ or double spaced
• 20 pages maximum
• Cover page, table of contents, executive summary, and appendix items with up to 5 additional pages of supporting documents will not count towards 20 page limit
• All required financial statements included in 20 page limit
Cover Page
• Branding
• Visually appealing
• Business name and logo
• Optional – address, phone, website, email
Executive Summary
• Overview of plan
– Mission
– Product/service offerings
– Growth goals
– Company strengths
– Financial highlights
• Creative & enticing – tell the story of your
company; engage the reader
Example:
Example:
Company Summary
• Company Overview
– Business description, industry, legal description, location, history (existing company)
• Mission Statement
• Management Functions
– Planning
– Organizing
– Directing
– Controlling
• SWOT Analysis
External Environment
• Economic conditions – employment levels, interest
rates, GDP, inflation/deflation, balance of trade,
exchange rates, etc.
• Industry analysis – real and virtual
– Number of competitors
– Projected profitability/demand
– Financial condition of prospective customers
• Competitive analysis – real and virtual
Marketing Plan
• Target market & market segmentation
– Demographics, geography, psychographics, benefits,
etc.
• Marketing mix
– Product, price, placement, promotion, positioning
• Discussion of business risks
– Identify risks and develop strategies for dealing with
risks
Example:
Example:
Financial Plan
• Break-even analysis
• Income statement
• Balance sheet
• Cash budget
• Financial summary
• Include footnotes explaining assumptions made
and/or methods used
Sales Projections Example
Financial Indicators Example (Helios: Solar Industry Firm)
Feasibility – bonus points
• I would invest in this company (5 pts)
• I would consider investing but need more detail
or further development (2 pts)
• I would not invest in this company (0 pts)
Visuals
• Color scheme – branding
• Borders
• Logo
• Charts/graphs
• Tables
• Maps
Questions?