Writing The Business Plan

The body of a business plan can be divided into FIVE distinct sections:

1) Description of the business

2) Management
3) Marketing
4) Operations
5) Finances.

Although there is no single formula for developing a business plan, some

elements are common to all business plans, which are summarized below.

Elements of a Business Plan

I. Cover Sheet
II. Executive Summary
III. Table of Contents

1. The Business (Description of the Business)

A. Summary
Business Concept
Current Situation
Key success factors
Financial situation/ needs

B. Vision
Vision
Mission Statement

2. Management

Management Team and their responsibilities

Name of the investors and their proportions

3. Marketing

A. Market Analysis
The overall market
Changes in the market
Market Segments
Target market and customers:
 Customer characteristics
 Customer needs
  Customer buying decisions

B. Competitive Analysis
Industry overview
Nature of Competition
Changes in the industry
Primary competitors
Competitive products/ services

SWOT Analysis:
 Key competitive capabilities
 Key competitive weakness
 Opportunities
 Threats and Risks

C. Strategy
Strategy
Implementing Strategy

D. Products/ Services
Product/ Service description
Positioning of products/ services
Competitive evaluation of products/ services
Future products/ services
E. Pricing strategy
Fixed cost
Variable cost
Unit cost
Methods of setting price
Selling price
F. Distribution strategy
Channel
Location
Coverage
Logistics
G. Promotion strategy
Promotion Mix:
 Advertising
 Direct Sales
 Promotions/ Incentives -- (i.) for clients; (ii.) for tradesmen.
 Publicity
 Trade Shows
4. Operations

A. Key Personnel
 B. Organizational Structure
C. Human Resources Plan –
(i). Job Analysis. (ii). Job Description. (iii). Job Requirements
D. Products/ Service delivery
E. Customer Service/ support
F. Facilities

5. Financial Data

A. Capital Equipment and Supply List

B. Profit and Loss Projection/ Statement; i.e.
Pro-forma income projections: Three (3) year summary/ projection.
C. Balance Sheet Projections
D. Break-even analysis

6. Conclusion

Note: Additionally, it should include supporting documents, and financial projections.