BUSINESS PLAN

Talking about a business plan, what goes in a business plan? The body can be splited into four major sections:

1) Description of the business
2) Marketing
3) Finances
4) Management

Agenda should include an executive summary, supporting documents, and financial projections. however there is no single formula for developing a business plan, some elements are common to all business plans. They are summarized below:

Components of a Business Plan

1. Cover sheet
2. Statement of purpose
3. Table of contents


I. The Business
A. Business description
B. Marketing
C. Competition
D. Operating procedures
E. Personnel
F. Business insurance


II. Financial Data
A. Loan applications
B. Capital equipment and supply list
C. Balance sheet
D. Breakeven analysis
E. Pro-forma income projections (profit & loss statements)
F. 3 year summary
G. Detail by month, first year
H. Detail by quarters, second and third years
I. Assumptions upon which projections were based
J. Pro-forma cash flow


III. Supporting Documents
A. Tax returns of principals for the past 3 years Personal
financial statement (all banks have these forms)
B. For franchised businesses, a copy of franchise contract and all
supporting documents provided by the franchisor
C. Copy of proposed lease or purchase agreement for
building space
D. Copy of licenses and other legal credentials
E. Copy of resumes of all principals
F. Copies of letters of intent from suppliers, and some others.