Introduction: What Goes Into A Business Plan
If you have decided to establish a business to manufacture or sell your own invention, you will need a business plan to raise money and help your new business flourish.
What Is Included In A Business Plan
New and potential new business owners need to know what should be included. There are four main parts to a business plan: the description of the business, the marketing plan, the financial management plan, and the management plan. You should also create a executive summary, and include supporting documents and financial projections.
Below is an outline of what goes into a business plan, followed by pages of detailed descriptions. This is only intended as a guide when developing your business plan, every situation is unique - make your business plan unique as well.
Elements of a Business Plan
· Cover sheet
· Statement of purpose
· Table of contents
· Descriptions of your business
· Marketing plans
· Describe the competition
· Operating procedures
· Personnel
· Business insurance
· Financial data
Your financial data should include:
· Loan applications
· Capital equipment and supply list
· Balance sheet
· Break even analysis
· Income projections (profit & loss statements) that could include a three-year summary, details by month and first year, details by quarters, second and third years, and the assumptions upon which your projections were based.
· Current cash flow that could include details similar to your income projections.
You should include supporting documents for example:
· Tax returns of all principals (you and your partners) for last three years.
· Personal financial statement (all banks have these forms)
· Copy of proposed lease or purchase agreement for building space
· Copy of licenses, patents, and other legal documents
· Copy of the resumes of all principals Copies of letters of intent from suppliers, etc.
What Is Included In A Business Plan
New and potential new business owners need to know what should be included. There are four main parts to a business plan: the description of the business, the marketing plan, the financial management plan, and the management plan. You should also create a executive summary, and include supporting documents and financial projections.
Below is an outline of what goes into a business plan, followed by pages of detailed descriptions. This is only intended as a guide when developing your business plan, every situation is unique - make your business plan unique as well.
Elements of a Business Plan
· Cover sheet
· Statement of purpose
· Table of contents
· Descriptions of your business
· Marketing plans
· Describe the competition
· Operating procedures
· Personnel
· Business insurance
· Financial data
Your financial data should include:
· Loan applications
· Capital equipment and supply list
· Balance sheet
· Break even analysis
· Income projections (profit & loss statements) that could include a three-year summary, details by month and first year, details by quarters, second and third years, and the assumptions upon which your projections were based.
· Current cash flow that could include details similar to your income projections.
You should include supporting documents for example:
· Tax returns of all principals (you and your partners) for last three years.
· Personal financial statement (all banks have these forms)
· Copy of proposed lease or purchase agreement for building space
· Copy of licenses, patents, and other legal documents
· Copy of the resumes of all principals Copies of letters of intent from suppliers, etc.
