GROUP 1

Introduction to
Business Plan
Preparation
Learning Outcomes:
At the end of this lesson, the learner should be able to define business plan

Specify the different sections of the business plan, and

Identify the information included in the Introduction section of a business plan

Definition of Business Plan 01

Major Parts of a Business Plan 02

Introduction of a Business Plan 03

Introduction of a Business Plan
03
a. Background of the study.
b. Proposed Name of the Business
1. Characteristics of a business name
c. Address of the Business
d. Name of the owner or owners
e. Description of the business
MVGO, Value Proposition
f. Location of the Business
1. Address of the business and Location of
the business
2. Factors to consider in choosing the location
g. Funding requirement and source
1. Production breakdown or allocation of cost
2. Sources of funds

h. Statement of Confidentiality
Planning is bringing
the future into the
present so that you
can do something
about it NOW.

- Alan Lakein
 Business Plan
● It is the road map of the new business and of the
entrepreneur.
● Detailed and integrated written document that describes
the various activities in opening and operating a new
entrepreneurial venture.
● In case the business project is large in terms of financial
requirements, entrepreneur seeks assistance with
consultants.
I. Definition of ● A more detailed discussion of the data presented in the
a Business
Plan feasibility study.
Why is a Business Plan
important?
Developing a business plan resembles creating a strategic roadmap for either commencing a new
enterprise or expanding an existing one, offering directional guidance.

While the entrepreneur's vision remains crucial, soliciting feedback from stakeholders such as
customers, creditors, and employees assumes significant importance.

Before creating the business plan, it's essential to conduct thorough research and evaluate if the
business idea will work out.
Types of Business Plan

9
Product/Service Concept Development
PRODUCT DEVELOPMENT STAGES

1. Idea Generation
2. Feasibility Study
3. Development and Testing of Product Design
4. Final Design and Process Plans

10
 IDEA GENERATION

11
 PRODUCT DEVELOPMENT PROCESS

Suppliers R & D Customers

Marketing Idea Generation Competitors

Product Concept
12
Making an Effective Written Presentation

13
BUSINESS PLAN FORMAT
• Font Size: 11
• Font: Bookman Old Style
• Single Spacing
• 1.5” left margin, 1” top, bottom and right margin
• A4 Size Bond Paper

14
MAJOR PARTS OF A BUSINESS PLAN

01 INTRODUCTION 06 PRODUCTION PLAN

02 EXECUTIVE SUMMARY 07 OPERATION PLAN

03 ENVIRONMENTAL ANALYSIS 08 MARKETING PLAN

04 BUSINESS DESCRIPTION 09 FINANCIAL PLAN

05 ORGANIZATION PLAN 10 APPENDIX

 Introduction
● Presents the general perspective of the business. It may
consist of one to two pages.
● Includes the following sections:
1. Background of the Study
2. Proposed name of the business
3. Address of the business
4. Name of the owner or owners
5. Description of the business (MVGO, Value Proposition)
I. Introduction 6. Location of the business
7. Funding requirement and sources
 ● Statement of Confidentiality is
added as the last section when
the consulting team prepares the
business plan for the
I. Introduction
prospective owners or investors
 Background of the Study
• This explains the problem that your project will solve. You
should explain when this issue started, its current state
and how your project will be the ideal solution.
• The market assessment or market study conducted that
result to the creation of a new business venture.

I. Proposed
Name of the
Business
 Proposed Name of the
Business
● Careful and in-depth planning of the name of the business
is important as it may exist in the market for years.
The proposed name must :
1. Reflect the business identity and image
2. Promote the values and culture that the business values
the most
I. Proposed 3. Profess the brand identity of the product
Name of the
Business 4. Attract or influence the target consumers
 Address of the
Business
● Accurate business address is important for
receiving correspondence and
shipments, while having an email address
is essential for efficient electronic

I. Address of
communication with customers, suppliers,
the Business
creditors, and other stakeholders
 Name of the
Owner or Owners
● In a sole proprietorship, mention the owner's
name. In a partnership, list partners and
describe their contributions, like an industrial or
limited partner. For corporations, provide
incorporators' names, nationalities, and
addresses – these are the individuals who
I. Name of the
Owner or
Owners
founded the company.
 Description of the
Business
● The purpose, vision, and objectives of the
company should be emphasized in the business
description along with a brief summary of the
product or service and any other items in the
I. Description
of the portfolio.
Business
 Value Proposition
• refers to the value a company promises to deliver to customers should they
choose to buy their product.
• part of a company's overall marketing strategy.
• provides a declaration of intent or a statement that introduces a
company's brand to consumers by telling them what the company
stands for, how it operates, and why it deserves their business.
• can be presented as a business or marketing statement that a
company uses to summarize why a consumer should buy a
product or use a service. This statement, if worded compellingly,
convinces a potential consumer that one particular product or
service the company offers will add more value or better solve a
problem for them than other similar offerings will.
I. Description
of the
Business
 Location of the
Business
● The choice of where to locate a business is
flexible because of a number of contributing
factors. Choosing a strategic location is crucial for
entrepreneurs looking to acquire an advantage in
Location of
I.

the Business the market.

 Location of the
Business
● The difference between the sections Address of the
Business and Location of the Business:
In the former, there are no further details provided other
than the business address. The latter details the precise
location of the processing plant, if one exists, and
I. Location of
the Business discusses the reasons for the choice of location.
 The following factors should be
considered when deciding on the
location of the proposed business:
1.Proximity to the target consumers
2.Distance from the sources of raw materials, labor,
and utilities
3.Availability and cost of transportation
4.Peace and order situation
I. Location of 5.Presence of direct competitors
the Business
6.The geographic and climatic conditions
 Funding Requirement and
Source
● Provide an accurate estimate of the entire startup
costs for the business, breaking down the costs for
the facility, furnishings, supplies, equipment, and
working capital. Indicate which funding sources—
whether entirely from the owner(s) or in part from
I. Funding creditors—and state when the money from creditors
Requirements
and Source is expected to be settled.
 ● Working capital is the amount of cash and other
current assets a business has available after all its
current liabilities are accounted for. Understanding
how much working capital you have on hand to pay
bills as they come due is critical to the success of an
organization.
● This is to make sure that your business maintains
adequate cash flow to fund its operations and cover

I. Funding
costs for the short term.
Requirements
and Source
 Primary Objective: To determine whether the
Feasibility proposed business is feasible or not in all
areas.

Study If positive result of the feasibility study then the

• The forerunner of a business plan entrepreneur prepares the business plan

01 02 03 04

Comprises of two tests

Test of Possibility Test of Feasibility The test of possibility
that are conducted before
- process of determining - process of to getting an should have positive
creating a new business
the profitability of the idea of how achievable results so that the study
idea: the test of possibility
business the project is can proceed with the test
and test of feasibility
of feasibility.
Meet The Team

Jymet Avila Keisha San Juan Nica Raña Neil Villanueva

Jane Moratalla Kristin Roncesvalles Trina Vargas Jacob Yap

Any
question?
 Liceria & Co. Jun 2035

Thank
You
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