THE BUSINESS PLAN
, THE BUSINESS PLAN
INTRODUCTION
SECTION OVERVIEW
This section introduces the concept of a business plan, explains why a business plan is
valuable for both start-ups and existing businesses, and outlines the information that should be
included in the executive summary.
LEARNING OBJECTIVES
To understand the many topics that should be addressed in a business plan.
To realize business plans are helpful for both start-ups and existing businesses.
To be able to write a business plan that could be submitted to a bank or investor for
financing.
SECTION OUTLINE
I. What Is a Business Plan?
A. Definition
1. A business plan is a comprehensive document that helps the
entrepreneur analyze the market and plan business strategy.
, 2. A business plan for an existing business ensures that growth is
properly managed.
3. If the plan is prepared for a start-up it helps to prevent costly mistakes.
B. Use in Financing
1. A business plan is often required by bankers, venture capitalists, and
investors.
1. The business plan provides evidence of the entrepreneur’s ability to
plan and manage the company.
II. How Do Plans for Existing Business and Start-ups Differ?
A. Existing Businesses
1. The plan states the current situation and where it wants to be in three
to five years.
2. It also states what it will take to reach those goals.
B. Start-ups
1. There is more emphasis on the first few years.
2. Less emphasis is placed on the future.
III. What Is Included in the Business Plan?
A. Follow the Checklists
, B. Major Topic Headings
1. Executive Summary
2. Mission Statement
3. Business Environment
4. Marketing Plan
5. Management Team
6. Financial Data
7. Legal Considerations
8. Insurance Requirements
9. Suppliers
10. Risks
11. Assumptions/Conclusions
IV. Executive Summary
A. Format
, THE BUSINESS PLAN
INTRODUCTION
SECTION OVERVIEW
This section introduces the concept of a business plan, explains why a business plan is
valuable for both start-ups and existing businesses, and outlines the information that should be
included in the executive summary.
LEARNING OBJECTIVES
To understand the many topics that should be addressed in a business plan.
To realize business plans are helpful for both start-ups and existing businesses.
To be able to write a business plan that could be submitted to a bank or investor for
financing.
SECTION OUTLINE
I. What Is a Business Plan?
A. Definition
1. A business plan is a comprehensive document that helps the
entrepreneur analyze the market and plan business strategy.
, 2. A business plan for an existing business ensures that growth is
properly managed.
3. If the plan is prepared for a start-up it helps to prevent costly mistakes.
B. Use in Financing
1. A business plan is often required by bankers, venture capitalists, and
investors.
1. The business plan provides evidence of the entrepreneur’s ability to
plan and manage the company.
II. How Do Plans for Existing Business and Start-ups Differ?
A. Existing Businesses
1. The plan states the current situation and where it wants to be in three
to five years.
2. It also states what it will take to reach those goals.
B. Start-ups
1. There is more emphasis on the first few years.
2. Less emphasis is placed on the future.
III. What Is Included in the Business Plan?
A. Follow the Checklists
, B. Major Topic Headings
1. Executive Summary
2. Mission Statement
3. Business Environment
4. Marketing Plan
5. Management Team
6. Financial Data
7. Legal Considerations
8. Insurance Requirements
9. Suppliers
10. Risks
11. Assumptions/Conclusions
IV. Executive Summary
A. Format
