Business Plan Outline For Small Business Start-Ups

Business plans are not just necessary for getting loans from a bank or an investor. Even startups and small businesses can benefit a lot when they have a detailed plan for starting and running the business. A business plan also helps entrepreneurs in every step of the way and in determining the performance of the startup.

If you are only creating a business plan for yourself, then it is not necessary to prepare a highly detailed one that is better suited to smaller organizations like yours. But this document is instrumental in plotting your business’ course from conceptualization to its daily operations. A lean business plan, with the most essential points, is very helpful for internal use.

Writing Your Business Plan

The presentation of the business plan might follow a certain flow or outline, but it is not necessary to write it in this order. For some people, beginning with the strategy is easiest but some might prefer doing the numbers first. Moreover, the business planning process might require you to actually go back to other parts and make changes if necessary.

Simple Business Plan Outline

  1. Executive Summary

Though this appears first, you should write it last, so that you know the points mentioned in the other parts of your business plan. If you are preparing your plan for an investor, then this is the most important part of your plan. It will give them a clear idea of whether your idea is worth their time or not.

This part should also be as brief as possible and discuss the problem you want to solve, your idea, the target market, and your forecast financially.

  1. Opportunity

This is the part where you discuss the problem that you want to solve for your customers. The solution that you will propose, of course, is either your product or your service. Try to approach it from the perspective of the customer, so that they can appreciate your products and solutions. Basically, you want to convince them that what you are selling fulfills the customers’ needs and explain how it can do this.

  1. Market Analysis Summary

This is where you identify your target market, specifically the kinds of customers who will benefit from your product or service. This part of the business plan will discuss the needs of the customers, as well as identify how to reach them and deliver the goods they need. Beyond that, you want to discuss competitors already out there in the market, comparing yourself and your product. You will want to prove that there is room for you in the market and that people will buy from you.

  1. Execution

This section outlines the sales and marketing plan, including logistics needs that are necessary to run the business. If there is some technology you want you to use, as well as special equipment, then this is where you discuss it. You want to also talk about the location of your business and any other necessary facilities. Lastly, here is where you identify the metrics you will measure to check whether your business is performing well or not.

  1. Company And Management Summary

You will want to present who you are and other key players in the business. Other important information like when the company was founded and where you operate go here as well. Moreover, you want to summarize your and your team’s expertise and background, but keep the full resumes for the appendix.

  1. Financial Plan

For investors, this is a crucial section of your business plan, where you talk about your projections of profit and loss, as well as your business’ cash flow. Other key data include your sales forecast, balance sheet, business ratios, and the break-even analysis. You will also need to include any loans or sources of money to start and launch the business.

A simple business plan is suitable for small businesses as it includes all pertinent information to start and operate. Even the entrepreneur himself should use this document as his guide to his day-to-day operations and assess how the business is doing. By laying everything out on this document, there are also no gray areas or aspects that have not been thought about before you open shop. For more information, you may also see your startup business plan sample.

Post Navigation