what is a business plan and how to create one
DESCRIPTION
What is a Business Plan And How to Create One. BUS 101 Introduction to Business. A Business Plan is…. a document that identifies the goals of your proposed company and explains how they will be achieved a blueprint for a proposed company. Purposes of a Business Plan. - PowerPoint PPT PresentationTRANSCRIPT
BUS 101 Introduction to Business
What is a Business PlanAnd How to Create One
A Business Plan is….
a document that identifies the goals of your proposed company and explains how they will be achieved
a blueprint for a proposed company
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Purposes of a Business Plan
1) Describes how you will build your business
2) Includes ideas about how you intend to make it strong
3) Lists your financing plans
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Sources for Business Ideas
PreviousExperience
IndustryExperience
Hobbies
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Ownership Options
Start from Scratch
Buy an Existing Business
Buy a Franchise
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Business Plans Include:1. Business Concept2. Management Qualifications3. Legal Form Of Business4. Explain Goods/Services5. ID Customers/Competitors6. Product Development7. Production Methods8. Marketing9. Projected Profits & Borrowing
Needs
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Benefits Of a Business Plan
Forces You To Think Critically Reduces Risk Analyze the Concept and Industry Helps persuade Investors & Lenders
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Planning Strategic Decisions
Management Staffing Production Marketing Finance
Executive Summary
A brief concise statement
Often a 1-3 Page Overview
Most Important Part
Used in decision-making by managers
Written as a summary after the plan is completed
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Description Of Business
What will we do?What goods/services will be provided?How are we unique?How do we sell our
product?Where is our location?Who are our customers?
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Industry Analysis
Industry Players?Industry Outlook?Industry Projected
Sales?Factors of Expansion Or
Contraction?Affect of Future Economic
Conditions?
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Mission Statement & Core Values
Mission Statement - Purpose or mission of company
Core Values - Fundamental beliefs about
what is/is not appropriate in conducting business activities, ideals
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Management Plan
Member QualificationsEducationExperienceExpertise
Legal FormSole ProprietorshipPartnershipCorporation
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Goods and Services
DescriptionBetter Than
CompetitorsMarket NeedsCompetitive Advantage
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Development and Production
How to Obtain/Make ProductProduct DesignDesign/Manufacture TechnologyOwn or Contract FacilitiesWhere to locateWhat type of EquipmentDesign/layout of facilityNumber of EmployeesHow many units to produceHow to ensure high Quality
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Marketing
Target Market
Pricing
Distribution
Promotion
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Global Issues
Buying and Selling In Other Countries
Identify Cross- Border Challenges
How To Overcome Challenges
Strategies for the future
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Financial Plan
Cash NeedsStart-upOperationsFunding Sources
Repay DebtProjections
Expected SalesCostsProfits (Losses)
Why Businesses Fail
Bad Business IdeaCash Flow ProblemsInexperience or IncompetenceLack of Customer FocusInability to Handle Growth
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Can you Succeed?
Work HardHave a Unique IdeaPlan wellExecuteHave a Passion for Business
“If you fail to plan, you plan to fail”
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