Professional Documents
Culture Documents
Definition
1. Business Plan is the written representation of the Vision for your business 2. The story of your Business written by you 3. It is an answer to questions - Where am I now ?Where do I what to go & How will I reach there? 4. Business Plan is a Road Map or Game Plan 5. BP is integration of all types of individual Plans 6. Is Planning necessary? 7. BP is the first acid test for aspiring Entrepreneur
2?
1 Who is the BP for ? 2 How should you write it ? 3 Who should write the BP ?
4. Oral Presentation:
1. Important to hear you out & Interact 2. 20 -25 minutes with PPT slides
5. Operational Plan:
1. Prepared once operations have started 2. Acts as a Operational manual 3. 100 pages and keeps on revising
Considerations
Should You make your Plan OR Outsource? Should you Download the Plan?
Executive Summery
1. Most Important Section of the Business Plan 2. It is a concise Business Plan in itself 3. The two Broad approaches in preparing the Executive Summery 4. Contents of ES
1. 2. 3. 4. General Description of Business Management Team Key Strengths Proprietary, Cost, Location adv. Risks involved & Steps taken
2. Details of the Senior Employees to be included 3. Names & Qualifications of BOD of Ltd. Company 4. How the company is going to be organized & Roles & Responsibilities of key people 5. Compensation package of senior people
Industry
1. Brief description of the Industry
1. Size 2. Composition & Structure
Markets
1. Description of Markets
1. International 2. National 3. Local
2. Target Market e.g. Restaurant in Navi Mumbai Market Research exercise in the local area 3. Do not assume some % of the Market Share 4. Main Competitors & How to counter them 5. Completion for Scarce Resources & Manpower
Operations
1. Execution Part - What needs to be done to get the business started 2. Buying land, Construction of Building & Installing Machinery 3. Securing Permits & Licenses 4. Project Report to be created with Charts 5. Detail the Production Process with Diagrams 6. Current installed Capacity & Expansion 7. Details of IP Competitive Edge
Operations
7 8 9 10 Commitment to Quality ISO, ISI or CMM 5 Employees - Hiring Engineers, Technicians, BPOs HR Policies on how to Train & Retain people Retail Outlet
7 8 9 7 8 9 Location Layout Stocks No of Hits Advertise Delivery of goods
Marketing Plan
1. Pricing is an IMP decision
1. Companys Cost Structure 2. Competitions Pricing 3. How customers Perceive the product
2. Advertising
1. Media Planning 2. Promotion 3. PR
3. Distribution
1. Chanel 2. Commissions
Finance Plan
1. Most looked after Section in the Plan 2. How much money is needed and how it will be used in phases 3. Includes B/S, P &L & Funds flow statements for a period of 3-5 years, with explanations 4. Logic behind these numbers and some sensitivity analysis should be done 5. Breakeven Analysis in the Graphical format 6. All the Statements need to be consistent 7. Ratio analysis should not be overdone
Organizational Plan
1 2 3 4 Decision on the Type of Organization Details of all the Partners/Directors Roles and Responsibilities of people Best is to include the Organization Chart
Appendices
1. 2. 3. 4. 5. 6. Certificate of Incorporation or Partnership CVs of Entrepreneurs/Key-People Various Permits/Permissions Copies of lease or Rent of land/premises Intellectual Properties (Trade marks, Patients) Graphical representation of mile stones Photographs of location 7. Factory layout, Process Flow Chart
8. Findings of Market Survey 9. Photographs of Products 10. Sample of Advertisement 11. Projected B/S, P & L, Cash flow, Break-Even 12. Financial Ratios
Assignment
1. Visit a few websites, check up Business Plans 2. Attend one Business Plan Completion. Which is the Best Plan presentation according to you? Compare it with the Judges.