Crafting a Business Plan

• The business plan must be a logical, realistic idea for an entity
• It communicates market research, analysis of factors, organizational fit, what the business is about
• It communicates operational plans
• It communicates mission, long term vision, and financial details

Guidelines for introduction

• Reality Check helps in determining what is realistically achievable
• The template acts as a guide
• Syndication involves sharing the workload with specialists and seeking feedback
• Time Management involves adhering to a strict schedule

Key Points for main steps

• Follow the template outline to fill in the main, minor areas
• Take it from rough to final draft
• The core is the market analysis
• Research available and potential markets
• Map all revenue streams to company coffers
• Formulate a plan that best matches market needs and realistic offerings
• Determine the type of legal entity including HR required
• Remember not to imply statements that involve funding without a reflection in the financial section
• Determine key financial reports and statements required
• Minor sections involve the executive summary
• Use a second file for all required supporting documents

Template information

• Use subheading to cross reference
• Team leader should get all sections from members
• Each member reviews for inaccuracies
• Maintain changes in document
• Format the business plan
• Table of contents, subsection dividers, page numbers and headers all need to be included

Key Requirements Template

• Acceptable format to present the Business Plan
• There are 8 sections that must be followed

Executive Summary

• A minute is the average time attention span, use the minute to grab attention
• Summary should contain the most compelling aspects of the plan
• Should describe the product or service, the market targeted and the management background

Executive Summary Basic format

• Problem or proposal is to provide the company name and plan to solve the problem
• Background information is a description of the entity's gearing, services and management structure
• Concise analysis involves a description of forecasting, analysi, and a clear statement
• The main Conclusion involves clear goals with timelines and measurable data (SMART goals)

Mission Statement

• Describes CURRENT steps to achieve the goals in the vision statement, while defining the entity’s purpose

Vision Statement

• Describes the future state or benefits to achieve by doing mission aspects usually for a 5 year timeline frame

SMART goals requirements

• Encompass ALL elements
• The smart goal statements are indicate specific relevant goals
• The goals can be measured and are realistic

Market Analysis

• Focus on target market with product/service to get
• Prove how you discovered the number of people you can get to
• Ensure entity/idea in the right place among the audience of users
• Research market and establish the needs, fit between concept and wants, risks, and establish what they need
• Prepare the market survey that must carefully ask both demographic and primarily psychographic questions
• Know what the attitudes, interests, needs, values, opinions, and lifestyles of target market as well as data relating to population, age, race, sex and income
• Consider growth rate per annum

General to Specific

• Use elimination process to determine the size of the market
• Determine what part is relevant
• Must successfully fill all identified areas

Research Result

• Use analyse guide to what you can offer to the market and project future adds
• Clearly define type of sandal and ensure survey asks what sandals do people want with extras
• Identify exact profile of target market

Market Factors Analysis

• Consider what will influence you target market and look at existing research into the areas of:
• Competition
• Customers
• Market Trends

Considerations for Market Factors

• Can competition steal customers and how many
• Discuss survey findings with strengths with data as well as word format
• Do the market analysis to determine how people are with product/service

Market Research requirements

• Customer Analysis includes listing what the research finds with specific market trend numbers, demographics, psychographics and customer importance
• Industry Analysis includes researching target market and industry type, as well as complete industry statistics
• Competitive Analysis proves you have knowledge of the competitions with strengths and weaknesses that are truthful and unbiased
• Company Analysis has a time-stamped list of milestones and achievements to prove proficiency for company and management
• The data must also utilize discussing technology or the company’s unfair competitive advantages

Survey Data

• Graphs presenting the survey results must be included along with customer needs data

SWOT Data

• A key component to market analysis in order to draw up good marketing and defensive strategies
• SWOT analyzes Strengths, Weaknesses, Opportunities, and Threats
• Each are HELPFUL or HARMFUL and ask if it is INTERNAL Or EXTERNAL to your entity

Definitions for SWOT

• HELPFUL and INTERNAL = STRENGTH, HELPFUL and EXTERNAL = OPPORTUNITY
• HARMFUL and INTERNAL = WEAKNESS, HARMFUL and EXTERNAL = THREAT

The Strategies

• Leverage the strengths and opportunities
• Some strategies will counter or mitigate risks/weaknesses

Goal Achievement with SWOT

• Strategies that maximize opportunity means attack and success
• Those that counter weaknesses need reinforcing and adaptation
• Strategies used to minimize threats need defending and reaction
• Those to counter weaknesses and threats need retreat and survival

Regulatory Restrictions

• Research and consider restrictions in the market

Section Three Entity Description

• This section provides an overview of your business by answering these questions:
  • Who and where are you, what do you plan to do
  • Business model/culture/values
  • Legal and partnership structure
  • Unique competitive advantage

Business Model requirements

• Provides a specific market description
• What methods of distribution are used
• How is value proposition promoted to the consumer

Background information

• Discuss industry trends including target and growth range
• Have market offering details including vision/mission/smart goals
• Value and Culture proposition with a statement of faith in non-religious

Legal and Business Structure

• Business framework (sole proprietorship/partnership)
• Also whether your registered as non profit - must be detailed in praticalities file

Strategical Positioning

• There must be three overarching factors: cost leadership, differentiation, and segmentation

Organization Management

• Business plan provides the readers with the management side of company so have job descriptions and a organizational design

The organization design includes

• overall design with roles and responsibilities along with a chart of the management
• The job description and CVs need to be provided
• the management needs to be experienced in starting young businesses

Management qualifications

• Successful at the beginning and maturing company
• Experienced in the same positions they fill in the company
• Can use resources and connections to build the company
• Reputable backgrounds

Major Risks with teams

• Are the position needing to be filled as important to gurantee growth?

Internal Risk Considerations

• Need the COO or Director to have financial knowledge
• Need 3 way signing power
• Need governance processes put into place that mitigate mismanagment

Marketing and Sales Strategies

• Analyze research while considering target audience

Customer Segmentation

• Determine ideal data and info that will give a proper estimate
• Consider their living/age/education/behavior

Other Market Info

• Make supposition based on product and services
• Make contact with potential customers using Marketing plan

The Marketing Mix

• Quality, design, branding
• Payment style with discounts and periods
• Advertising public relation with market content placement

Location information

• Find suppliers.production
• Provide the production
• Detail warehouse
• What equipment

Provide differentiation with what will entity offer?

• Make plans for current and future research

Price of products?

• Factor cost in the funding decisions by telling customers where the income goes

Promotional Information

• Will to allow to provide serivce?
• State penetration with launch acitviites

Ansoff Information

The framework should show how entity will launch to become known

New Market Options

• Market develop with product service and consumers
• Diversify with brand

Steps for Marketing and Advertising

• Activity means it will help with sale while improving management

Regulatory Data

• Have marketing material while ensuring they have quotes

Finance Tips

• Fundraising to do with budget

Financial Information

• The income is the earnings before any COS expsnes
• Direct Expenses or the production

Three Steps of Income

• Gross margin to see earning with all expense
• Look at payroll
• Other expense helps balance statement

Statements

• Remember what they stand for and what help with

Four Key Financial Assumptions

• Must provide these
• • 1- Assumtion for income expenses
• • 2- Budgets
• • 3- Data reports
• • 4- Analysis

Budgeting Steps

1 : Cost based on the spending based on what will be use - helpful before sale ### Pre- Launch budget and steps

• • 1- Team note time
• • 2 - List what finances
• • 3: Prepare quartlet

Requirements for expeses budget

• All costs to income
• COS items and months
• cost of all materirals
• all expenses

Budget tips

• cover all espenses and sources
• show months

Final tips

Required Outcome 2: The CapEx Budget: This will be used to make it more stable

Process for expenditure

1 Get needs

Needs for Budget

• Budget
• Market place

Step to find the correct balance

1- list how your data with show you numbers formula 100%

Financials Tips

1: Check what the plans should 2: The list to follow will allow you to hit each action and not over inflate

Time

To the end to where these items come from in action of follow the template it what help hit the marks

Teaming Steps

1: There will b times were your group won't be the best

2: What your team make work the bigger picture

In conclusion

• Each has its parts and how much it's worth to be the full goal