| There are a very few reasons why you would want | | | | 6. I can make... |
| to write a business plan. | | | | Explain how many products you can produce or |
| 1. To evaluate initial startup costs. | | | | services you can provide in a typical year. Back this up |
| 2. To establish the fundamental viability of a project | | | | with whatever evidence you have to support this. |
| 3. To define your products, services and customers | | | | 7. To make each unit of product costs... |
| and assess competitors. | | | | Explain how much each unit of product costs to |
| 4. To map out the business model, the goals and the | | | | produce. If your business is a service business |
| strategy used to achieve them. | | | | describe how much it costs to provide the service. |
| 5. To communicate to others (banks, investors, | | | | 8. The start-up investment I require is... |
| partners, etc.) the business idea. | | | | Detail how much start-up investment the business will |
| A simple business plan can be written very quickly by | | | | require and what you require it for. |
| just completing the following easy 10 step formula. | | | | 9.I have a viable business because |
| 1. I am... | | | | Explain why your business is viable and what evidence |
| Introduce yourself. Tell the reader of your business | | | | you have to support this claim. This will require some |
| plan who you are, your background, education, | | | | market research to demonstrate their is a viable |
| professional experience, your successes to date. | | | | market for your product or service. |
| 2. My product or service is... | | | | 10. In summary... |
| Tell them what product or service is, what it does for | | | | On a single page, list the main points of you plan in |
| the customer, any unique features or facets, how it is | | | | bullet point form. This is single most important part of |
| produced, etc. | | | | your business plan. It will be read first by all readers of |
| 3. My customers will be... | | | | your business plan and will determine if they will read |
| Describe your target customers and why you have | | | | further and ultimately support you business idea or not. |
| chosen to market to these customers. Use any | | | | Write this summary last but put it at the front of you |
| back-up evidence from your experience, reports, white | | | | plan. |
| papers, market research, etc. | | | | Now that you drafted a simple business plan you are |
| 4. My customers will buy from my business because... | | | | in a great position to assess the initial viability of a |
| Describe any unique selling points or advantages you | | | | business at a very high level. You may want to |
| have. Are you providing better value, guarantees, | | | | consider fleshing out this simple business plan into a |
| superior quality, reduced risk, better location, etc? | | | | more standard, detailed business plan format before |
| 5. My customers will pay... | | | | presenting it to potential investors, partners or banks. |
| Explain how much your customers will pay for each of | | | | They will want to see some detailed financials also - |
| the products or services you will provide. Describe any | | | | Income Statement (Profit and Loss), Cashflow |
| up-selling or cross-selling opportunities and how many | | | | Statement and a Balance Sheet. |
| times a customer will buy from you in a typical year. | | | | |