WHO NEEDS A BUSINESS PLAN?
Entrepreneurs Creditors
Team Members
Creditors
Investors
Bankers

WHAT IS YOUR BUSINESS PLAN?
The primary value of your business plan will to create a written outline that evaluates all aspects of the economic viability of your business venture including a description and analysis of your business prospects. Your business plan is the bible that guides your business. It gives detailed information on your business and helps you to work out and see problems well before they arrive.

WHAT ARE THE COMPONENTS OF THE BUSINESS PLAN?
Even if you do not personally write your business plan, it’s your business as seen through your eyes and you will need to supply the information that will be needed to be writer in that plan. Your business plan cannot be written without your input. This is a document that if you have the time you can write it yourself.

A business plan begins with a brief introduction of your project and how you know that your product will change lives and is different from your competitors, followed by an executive summary. This summary is written once the plan is completed, the summary is written once the plan is completed, the summary is the most important page in the plan because it will convince persons that have to read it that your business is worth considering. If the executive summary is not convincing chances are no one will want to read your business plan.

THE INDUSTRY ANALYSIS
The industry analysis is the second part of the business plan; this will detail what is happening in your industry. Here you look at the Geographic, Demographic, Psychographic and the Behaviour of the players in the industry, and to now articulate how your company can compete on differentials.

THE MARKETING PLAN
The marketing plan helps you to develop strategy to attain the goal you have for the business. Every aspect of your business plan must be detailed and this must have a realistic assessment of the external environment. The marketing plan is one of the factors used to determine the resources you will need to operate this business. This will also determine the ways you choose to promote and distribute your goods and service and will allow you to be very clear about how you handle your production, financials and human resources.

THE ORGANIZATIONAL PLAN
The organizational plan looks at the structure and design of the business, the management of the business that is designed to fit the business. It also looks at the staffing details, owners, and operators, full or part time staff, temporary staff, subcontractors, advisors, and consultants. This plan also looks at their educational background and what these people will bring to the growth of the business. You must state clearly the roll of each employee and then looking on the growth of the business, think of the employees you will need in the next two to five years.

THE PRODUCTION PLAN
This plan looks at the daily operations of the business, the equipment that will be needed, who will operate them, when they will need servicing. This area looks at the cost of the goods or service and how and when these will be presented to the customers. This plan can tell you what the company will need to do to make it survive it well into its future. The human resources will be affected by decisions made in the production plan. This will also determine the training needs.

THE FINANCIAL PLAN
The financial plan has three major components, the forecasted sales, the cash flow and the balance sheet. The forecast gives monthly figures of estimated collections that will determine how stable the business will become. The cash flow looks at estimated figures over a period of up to five years to determine how the bills will be paid. This is crucial because your business can fold if you are unable to pay your creditors. The balance sheet shows the financial condition of your business at specific periods of time. You might need an accountant to do this for you if you don’t have related accounting knowledge.