Presented by David Vane

www.sbgn.co.uk

Purpose of the Business planThe aim is to produce a business plan that will help you to develop a profitable, sustainable business.

It gives you a clear way to explain to funders (bank, VC, Bridging the Gap etc) why they should invest in your business.

It provides a method of reviewing your business.

Its not just a device to persuade your funders!

If you don’t get it right!

Before you start…Do your research –

Is it a good idea?Has someone already done it?Do people want it?Is someone else doing itHow will people know about it?Will it make money?

1. Management Summary

Do it last!So we will come back to it….

2. BackgroundWhat is the point?

– credibility for everything, do you have enough knowledge, skills, experience? Eg Gardening business – do you have any experience of this?

What should you include – -relevant experience, qualifications, evidence, motivation

How should you present it? -First person (photo) “people buy people” to sell yourself

3. Products or service What is the point?

- Clear, defined idea about product or service

What should you include? - Simple explanation , features and benefits, all aspects of delivering (travel, postage, returns, breakages…)

How do you present it? - Concise bullet points, visuals if available

4. Target Market - customersWhat is the point?

- Give a clear idea of who will buy your product or service?

What Should you include? - Ideal Customer – where, who, what, when etc

How do you present it? - Concise, bullet points (table?)

5. CompetitionDo you understand the market place in which

you will trade?

Direct and Indirect competition, what makes you different (USP)

Table? Name – description – their USP and how you are different?

6. Marketing and PromotionHow will you find your customers? How to

communicate your feature and benefits

What methods, which media, how to assess results,

Consider for each product for service and for each target customer

7. Pricing and CostingProduce a realistic and sustainable pricing

structure? Eg supermarket Lidl - Aldi ASDA – Waitrose – Which are you?

How did you decide on pricing? Cost? Cost +? Value? Time?

An explanation

8. Sales ForecastTo show the growth, profitability and

sustainability of the business

Estimation of sales over one / two years (considering seasons, growth & business model (employing to increase sales, franchise)

Explanation…

9. Start up CostsDemonstrate that you can afford to start the

business.

Everything and Your contribution?

Table (with explanations if necessary)

10. Personal Survival BudgetShows how you will survive while the

business is developing.

All personal expenses – mortgage, food, other jobs, part time work, partner’s income

Table

11. Admin and LegalDemonstrating that you understand the risks

in your business and what you are doing to mitigate them

Public Liability, Health & Safety…

Bullet points with explanations

12. Cash FlowBe realistic!

See Lee Scott’s session …

Management SummaryDo it last! (but it goes at the beginning)

To explain succinctly the rest of the business plan. If you don’t get this right it will affect the way that people view the rest of the business plan

A micro summary of the rest of the plan (3-4 lines from each section as a guide)

And finally…

Take your time and have someone else check it!

Thank you!