Roadmap to Success Using Your Plan

In support of the Improving Financial TODAY’S THOUGHT RESOURCE CENTER Awareness & Financial Literacy Movement built around the strategic venues of “Learning without thought is labor lost.” ♦ www.sba.gov/business-guide/plan-  Financial Literacy Month (April) —Confucius your-business/write-your-business-  Estate & Gift Planning Awareness Month plan (October) many firms that can provide assistance. At the very least, consult with your financial adviser, CPA and/ ♦ www.bplans.com/sample_business_plans/ This article contains a very important message ♦ www.entrepreneur.com/businessplan/ or attorney when drafting your plan. Remember, your is never set in index.html Before you buy or start your own business or ♦ www.benefitslink.com/ product line extension be sure you have a written stone. As you gain new information and experience, ♦ www.bankrate.com/loans/personal-loans/ detailed business plan. This is “a crucial tool” that you should constantly revise and update it. will help you thoroughly think through your business opportunity. It also can be used to inform ELEMENTS OF A BUSINESS PLAN 4. Operations—Product or Profile - THE DETAILS employees, strategic partners, lenders and potential Your plan can be written in a variety of formats, Here you want to provide a detailed description of investors of your strategies and business goals, and order or structure, but should include these topics: Important details of your business plan include your product(s) and /or service(s) you plan to offer. instill confidence that you can implement your plans  Detailed description of the business—What 1. The Business Opportunity - Describe the Explain how you plan to build, buy or provide it. Is and reach your targets. the product or service is and how you plan to basics: the form of business entity, type of product, it unique, is it that can be or By going through the process of creating a written build or provide it licenses and permits you will need, and where the has already been copywrited, patented, or business plan, you'll be in a better position  Discussion of your plan to run the business, business will be located. trademarked? Tell how and why it will be used to solidify your personal and business including who will be the and Also describe the bigger picture. Identify your currently and into the future, what’s it life goals, and then identify the strategies and production team that will implement your plan goals, express why you're in this business and why expectancy, and other related data. potential obstacles for having a successful  In-depth start-up costs and projections for the you will be successful. Include every important fact business operation. This process will also first three years with assumptions. you know about the you're in. 5. Sales, & Distribution Plans - help separate realistic outcomes from  Sales, marketing and distribution strategies Also describe the product or service that you're Readers of your business plan want to know your creating and/or selling. How will it benefit the fantasy. It is very important that you sales, marketing and distribution strategies. You understand the risk versus reward for You can also use these key topics as your outline customer, and how is it different from what your should be ready to show that you have learned going forward and just what it will for doing a quick and simple “yellow-pad executive competitors are offering. everything you can about your target market. take to be successful. summary” for your top ideas for a future business. Above all, make your business sound unique. This section should describe the customers you're Convince the reader that it will be appealing to your This will give you a good tool to see which one look aiming at in terms of age, income level, education THE BASICS best after you’ve gone through the thought process. target market. and where they live. It should also discuss whether Writing a business plan helps address questions the market is growing or shrinking, and how much such as, "How much start-up capital will be Here's a brief outline of what a winning business 2. Administrative & Financial Plans - Potential market share you expect to capture. required? When will we start making and plan might look like. employees, strategic partners, lenders and investors Discuss pricing and outline your , how much? What might the business look like in six want to know who will be running the business. public relations, sales, marketing and distribution months, one year, or three years from now?" Who will be on your management team and/or strategies. If you haven't seen or used a business plan before, advisory boards? Discuss any weaknesses you might obtain some model business plans to guide you. The have and how you plan to overcome them. What 6. Appendices & Exhibits—This will include Administration provides an employees, if any, do you plan to hire and when? appropriate support and supplemental materials. excellent outline of a model business plan. If there is one most common reason for business Your are also invited to download a Cover Sheet failure, it's that management does not recognize and Once completed and you’ve launched your complimentary copy of the Your financial Statement of Purpose (Executive Summary) learn how to overcome weaknesses. Show the reader successful new business, be sure to review and PARTNER “Detailed Business Plan Outline” in a Table of Contents that you know what your team is capable of update your business plan annually. PDF file format by clicking here. 1. The Business Opportunity handling as well as the skills they lack. Then Your road to success begins with a solid up-to- http://www.thefinancialawarenessfoundation.org/  Description of the offering identify your plans for overcoming deficiencies. date business plan.  Discussion of industry and key competitors There are two types of budgets you should prepare pdf/TFAF-BusPlanDetailedOutline.pdf These materials are provided as a 2. Administration & Financial Plans for your business plan. You may want to get some professional  Chart with initial and future a) A start-up budget outlining one-time expenses public service by The Financial assistance in drafting your business plan. There are management and staffing plans and expenditures. Awareness Foundation for “free-  Facilities and layout plans b) An operating budget, which will reflect use” on websites, newspapers, projected ongoing income and expenses and newsletters, magazines, and other news media CHECKLIST —  Outline of business required capital needs. broadcasts in support of The Improving CONSIDERING A BUSINESS  Business balance sheet The operating budget should be done on a  Three years of cash-flow projections with Financial Awareness & Financial Literacy monthly basis for the first one to three years, with  1. Discuss with family and financial advisers detailed assumptions annualized numbers through year five. As part of Movement built around Financial Literacy (CPA, Attorney, CFP) the idea of starting /  Break-even analysis this budget, include all sources of income, direct Month (April) and Estate & Gift Planning buying a business.  List of start-up costs costs associated with that income, and all cash-flow Awareness Month (October). For additional  2. Talk to other people who started their own  Risk Management Plans outlays such as salaries, benefits, insurance, rents, information or materials contact us at to learn from them. 3. Technology Plans advertising costs, advisers' fees, supplies, utilities, The Financial Awareness Foundation  3. Investigate costs, implications,  Website, Systems & Equipment , repairs, dues and subscriptions, license fees, A 501(c)(3) Nonprofit - Dedicated to Significantly financial needs, budgets, liabilities, time 4. Operations—Product or Service Profile and an appropriate contingency reserve—in case “Improving financial awareness commitments, financial risks and exposures.  Detailed description of product or services things don’t go as planned. This should clearly show & financial literacy” ™  4. Research the marketability of your  Discussion on how to build or provide it your capital and debt requirements. You should also Valentino Sabuco, Executive Director business idea –- can you make enough  Discussion why it’s unique & be used include a detailed listing of any assumptions you've [email protected] money with it for your time and ? 5. Sales, Marketing, & Distribution Plans used to do your projections. www.thefinancialawarenessfoundation.org  5. Develop a written business plan.  Discussion of market size and ♦ 707.586.8620  6. List the "pros" and "cons" for your  Discussion on how you plan to get your 3. Technology Plans—Provide a solid discussion © Copyright 2020 - The Financial Awareness business to see if it is right for your situation. product or service to market on how you plan to deal with your computers, Foundation & Valentino Sabuco 6. Appendices & Exhibits software, communications, networks, websites, All rights reserved. FP-0120320 security, back-ups, training and support.