Entrepreneurship

Business
Plan
by Group Quatro
 ICE
BREAKER

Group
Yourself
Pre-Test
Multiple Choice: Directions: Write the letter and your answer on a ¼
sheet of paper.
3. Which of the following is the best
Revenue Growth
1. A _______ is a written document that description for the executive summary?
describes all the necessary steps for opening A. The executive summary may be omitted
or operating a successful business venture. from the business plan.
A.Return
BusinessonPlan B. Development Plan
Investment B. The executive summary is the synthesis of
C. Financial Plan D. Production Plan the entire business plan.
C. The executive summary should detail the
2. This section of the business plan helps you different parts of the business.
Customer
determine your monetary needs. D. The executive summary may be written
A.Satisfaction
Financial Plan B. Operations last, but it is placed in the first part of the
C. Production Plan D. Organizational Plan business plan.
Pre-Test
Multiple Choice: Directions: Write the letter of your answer on a ¼ sheet of
paper.
Revenue Growth
4. The question “where do you want your 5. A good business plan must possess any of
business to go?” in business planning is being the following criteria. Which one is the BEST
defined by what component of a business to consider when writing a plan?
plan?
Return on Investment A. communicable and flexible
A. goal and objectives C. desirable and imaginable
C. supply and demand B. concise and precise
B. vision and mission D. focused and feasible
D.Customer
target market and target audience
Satisfaction
Pre-Test Answers
1. A
Revenue Growth

2. A
Return on Investment
3. D
4. B
Customer
5. D
Satisfaction
 Definition of Business
Plan
It is a written document describing in detail how a business — usually
a new one — is going to achieve its objectives. The business plan sets
out a written plan from a marketing, financial and operational point of
view. (Kenton, 2019)

A business plan is a written outline of the future of your company. It's

just a guide that details what you're trying to do and how you're going
to do it. It is also a road map that offers guidance so that a company
can prepare its future and help avoid road bumps.
 Characteristics of a Business
Plan
There is a major difference between writing a business plan and writing a story. Remember that
while talking to someone on the phone, eating or going through emails, people might read your
business plan. So, here are some tips to make sure you can create an effective business plan
that will get across people. This is presented in the SMART acronym.

S M A R T
Simple/Specific Measurable Achievable/ Realistic/ Time-Bound
Attainable
• Should Relevant
• Summarize
• Use short sentences • Describe the goal list out other • Follow the time
instead of long clearly. attainable goals data by using bound plan
complicated ones. • Contains concrete • Should specify the simple business • Achieve goals within
• Use simple and and measurable goals to achieve charts or summary the time bound.
straightforward objectives. • Suggested number tables such as bar
language. • Include specific of pages is from 20 charts, two
• Avoid using actions and to 30pages of text dimensional bars,
shortcuts, jargons, activities. and another 10 pie charts and Gantt
and acronyms. pages of charts.
• Use bullet points for appendices. • Contains the
lists. company's vision
and mission.
Purpose of a Business
A business plan is an essential roadmap for business success. It describes the direction
Plan
the company is taking, what its goals are, where it wants to be, and how it is going to get
there (Dillon and Schmiester, 2020). Apart from these, the value of creating a business
plan before continuing with the actual implementation is set out below.

1.It defines the business.

2.It sets the goals.
3.It shows investors the viability of the business.
4.It is used to attract business partners.
5.It shows the organizational structure.
6.It prepares the business for uncertainties.
7.It outlines all the costs and the downfalls of each decision a company makes.
8.It presents the overview of the industry of which the business will be a part, and how it
will distinguish itself from its potential competitors.
Elements of a Business Plan
1. The Executive Summary
While appearing first in the business plan, the executive summary is a section that is usually
written last as it is a summary of the entire business plan. It offers an overview of your brand,
including your mission statement, and specifics of what you are offering. It is critical that your
executive summary is excellent, particularly if you're looking for funding.

2. The Business Description

Provide information about the company you are starting up, like what kind of problem your
product or service would solve and who the most likely customer is. This will also provide a
summary of the industry that your company will be part of, including trends, key players in the
industry and projected sales to the industry.

3. Market Analysis
Business research is a vital aspect of the marketing strategy because it helps you find the best
customers or clients. Research the primary target market for your product or service in the
market research, including geographical area, demographics, the needs of your target audience
and how these needs are being met.
Elements of a Business Plan
4. Competitive Analysis
In the competitive analysis section, you will learn how successful your direct and indirect
competitors are in the marketplace, with an assessment of their competitive advantage and
how you will set yourself apart from them. It also provides an overview of how you can resolve
any obstacles to entry into your chosen market.

5. Sales and Marketing Plan

The sales and marketing section offers a comprehensive description of your promotional
strategy, pricing plan, planned advertisement and promotion activities, and the advantages of
your product or service. This is where you outline your business's unique selling proposition,
describe how you are going to get your goods and/or services to market, and how you are going
to persuade people to buy them.

6. Ownership and Management Plan

Each section details the legal framework and management resources of your company,
including your internal management team, external management resources and human
resources needs. Include the expertise or special skills that each person in your management
team brings to your company.
Elements of a Business Plan
7. Operating Plan
The operating plan offers information about how the company is going to operate. It provides a
summary of the physical location of your company, the facilities and equipment, the types of
workers required, the inventory specifications, the suppliers and any other relevant operational
information, such as a summary of the manufacturing process.

8. Financial Plan
A summary of your funding criteria, your detailed financial statements and an overview of your
financial statements must be summarized in a financial section. As part of the tax report is
where you show the three key financial statements in every company; the balance sheet, the
income statement and the cash flow statement; or, in the case of a new tax, the cash flow
forecast.

9. Appendices and Exhibits

At the end of your business plan, provide any additional details that will help to build the
legitimacy of your business concept, such as feasibility reports, photos of your company,
licenses, and intellectual property rights such as patents, credit records, resumes, marketing
materials and/or contracts or other legal agreements related to your business plan.
Types of a Business
Plan
Summary Business Full Business
Operational
Plan Plan
Business Plan

10 to 15 pages 25 to 35 pages 40 to 100 pages

Works best for new Works best for new It is meant primarily for
ventures in the early ventures who are at a an internal audience;
stages of development point need funding for works best as a tool for
that wants to test the financing; serves as a creating a blueprint for a
“waters” to see if the “blueprint” for new venture’s operations
investors are interested in company’s operation. and providing guidance to
their idea. operational managers.
 Thank
you for
listening