FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE TABLE OF CONTENTS I. EXECUTIVE SUMMARY QUESTION Statement of Purpose 1 Legal Structure 2 Owners 3 Location 4 Business Concept 5 Mission Statement 6 Vision Statement 7 II. MANAGEMENT & ORGANIZATION Management Team 8 Hiring Practices 9 Organizational Structure 10 Staffing Expense/Benefits 11 III. PRODUCTS & FACILITIES Initial Products or Services 12 Proprietary Features 13 Future Planned Products or Services 14 Physical Facilities 15 Equipment Requirements 16 Production & Process Capacity 17 Significant Vendors 18 Licensing Requirements 19 IV. INDUSTRY ANALYSIS Background/Trends for Industry 20 Typical customers & buying patterns 21 Marketing niche 22 Competitors 23 Strengths 24 Weaknesses 25 Substitutes or indirect competition 26 Unique Selling Proposition & Overt Benefit 27 V. THE MARKETING PLAN Marketing Strategy 28 Marketing Objectives 29 Promotion Plans 30 Sales and Distribution 31 Warrantees, guarantees, serving issues 32 VI. THE FINANCIAL PLAN Financial summary 33 Historical financial statements 34 Financial Projections – 3-5 years 35 Financial Projections – first year 36 Start-up Costs 37 RMA – Risk Management Associates 38 Financial Ratios Analysis 39 FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE ATTACHMENTS & WORKSHEETS Product/Services Description Customers Competitive Analysis Start-up Costs Balance Sheet Sales Forecast Cost of Goods Sold Operating Expense Occupancy Expense Advertising Budget Insurance Salaries and Wages Miscellaneous Expense Projected Income Statement Cash Flow Projections Fixed Assets Debt Breakeven/ Critical Mass Timetable FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE EXECUTIVE SUMMARY 1. What is the overall purpose of your business? 2. What is your legal structure? (Proprietorship, partnership, corporation?) 3. Who are the key owners, officers, managers, employees, etc.? 4. What is your location? 5. What is your business concept? 6. What is your mission statement? What is your “Value Proposition?” 7. What is your vision for this business? FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE ORGANIZATIONAL STRUCTURE 8. Who will comprise your management & organization team? 8a. What are their qualifications? 8b. Are there outside consultants? 9. What will your practices and policies be for hiring new employees? 10. What will be your planned organizational structure? (show organizational chart if appropriate or a basic functional chart listing any tasks within functions)) 11. What are your goals for staffing expense and benefits? (provide details if available) FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE PRODUCTION AND FACILITIES 12. What are your initial products or services? (Show details such as color, menu items, models, prices, sizes, styles, etc. see attached worksheet) 13. What are your proprietary features? (show patents, copyrights, other features and benefits unique to your business) 14. What are your future planned products or services? (when to introduce, what are R&D costs, expansion plans) 15. What will be required in the way of physical facilities? (Size of facility, location, parking access, schematics, cost estimates, inventory storage, shipping etc.) 15a. What will be your hours of operation? FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE 16. What will your requirements be for equipment, vehicles, leasehold improvements, computers etc. (include cost estimates if appropriate see attached Fixed Assets worksheet) 17. Describe your production process and capacity. Do you have the necessary managerial and technical expertise? What if anything will be subcontracted? 18. Who are your significant trade vendors? 18a. What is your relationship with them? 18b. What is your trade credit status with them? 19 What are your requirements for tax, licensing, etc.? (consider attaching checklist from www.azcommerce.com) FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE INDUSTRY ANALYSIS 20. What is the background and trends for your industry? (Describe number of firms, revenues, trade associations, publications, trends, major influences) 21. Who is your target customer(s)? What is the typical purchase? How often? 22. What is your market niche or position? 23. Who are your major competitors? 24. What are your competitors’ strengths, and how can you overcome them? 25. What are your competitors’ weaknesses, and how can you capitalize on them? 26. Are there substitute products/services or indirect competition? If so, what are they? FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE 27. What will be your “Unique Selling Proposition?” What is the “Overt Benefit?” What is your “Value Proposition?” FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE MARKETING PLAN 28. What is your marketing strategy? 28a. Positioning: 28b. Products: 28c. Price: 28d. Promotions: 28e. Place: 29. What are your marketing objectives? 1st Quarter: 2nd Quarter: 3rd Quarter: 4th Quarter: 2nd Year: FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE 30. How will you promote your business? (Advertising, themes, media, budget, direct mail, trade shows, catalogs, etc.) 31. How will you sell and distribute your products or services? (channels of distribution, type of sales force, ) 32. What are your products warrantees or guarantees? Any servicing considerations? Installation or maintenance issues? FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE FINANCIAL ANALYSIS AND SUPPORT 33. Summarize your plan for the three to five years projected. (What are your key points, assumptions based on, etc.) 34. Include any historical financial statements, at least 2 to 3 years if available. 35. Projections for 3-5 years of: Balance Sheet Profit & Loss Statement Cash Flow 36. Projections for one year of: Monthly Profit & Loss Statement Monthly Cash Flow 37. Start up Costs 38. RMA (Risk Management Associates) Study Comparison 39. Financial Ratios Analysis FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE PRODUCTS/SERVICES - DESCRIPTION Products fall into two basic categories – Industrial and Consumer. • Industrial Products – are those things used to create other goods, or in servicing the production of goods and services. • Consumer Products – are those thing purchased by the intended end user. For the purpose of this workbook, the term “product” can include both products and services. Step 1: Specify what you intend to sell. Copy the following worksheet for each product or service you will sell. Write in the product’s or service’s name. Step 2: Describe the product. What does it do? Why should people buy it? What makes it unique or special? How expensive or difficult is it to make? How much will you sell it for? Step 3: Repeat these steps for each product you sell. Compare the individual product descriptions. Some may have several characteristics in common and could be grouped into “families” of products, or product “lines.” Step 4: Review for compatibility. Does this product fit into the overall mission of your business? Does it complement the other products you sell? It is important that each product blend smoothly into your overall business concept. FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE Product / Services - Description Step 1: Specify what you intend to sell. Step 2: Describe the product. FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE CUSTOMERS Your customers are the most important part of your business. Without customers you wouldn’t be in business. It’s critical to carefully analyze who your customers are, how much and how often they buy from you, and why they do business with you rather than someone else. Defining Customers Marketers usually define their customers by their physical characteristics such as age, gender, occupation, income, etc. These are important because they represent the natural categories of customers. Some of the more common customer characteristics include: • Gender – Men and women exhibit very different habits when it comes to purchasing. • Age – Is second only to gender as most important characteristic to measure. • Income – Is a good indicator because it often show whether the customer can buy. • Occupation – Relates closely with age, income and education. • Location – Can be designated in any of several different ways. • Family status – Couples needs differ significantly from singles. • Children – Households with children can exhibit very different buying habits. • Education – In an indicator of advertising comprehension, reasoning power, etc. • Ethnic Origin – People from different cultures have different values and needs. Step 1: Identify your customers’ characteristics. Examine the list of Customer Characteristics on the worksheet. Choose the three or four that you use most often to identify or define your customers. If you plan to purchase advertising space in a mass media such as newspapers, radio or television, you should probably include gender and age as characteristics. Step 2: Describe your customers’ most common characteristics. For each of the characteristics you selected in Step 1, think about the way this group should be further broken down for measurement purposes. Age, for example, is usually broken down by those less then 18, those 18 to 24, those 25 to 34, those 35 to 49, those 50 to 64 and those over 65. Gender is simple men and women. Space has been provided for you to break down your four top customer characteristics. List the one you consider to be most important first, the second most important second, and so forth. Under each characteristic, describe the part of that group which most often buys from you. Be as precise as you can. FILL-IN-THE-BLANKS BUSINESS PLAN OUTLINE Customers Step 1: Identify your customers’ characteristics. --------------------------------