Guidelines for Writing a Business Plan
A business plan is a document that explains what a business wants to do, how it will do it, and how it will make money. It includes information about the business idea, target customers, products or services, and marketing and finance plans. The plan helps the business stay organized and attracts investors.
The guidelines/criteria for writing a business plan are as follows:
1. Title Page and Table of Contents: The title page is the first thing people see. It includes the business name, logo, address, contact details, and date. The table of contents lists all sections of the plan with page numbers, helping readers find information easily.
2. Executive Summary: The executive summary gives a short overview of the entire business plan. It explains what the business is, its key financial details, and current progress. This section grabs the reader’s attention and encourages them to read further.
3. Business Description: This section explains what the business does and how it is structured, like whether it’s a small business or a company. It also includes the mission, vision, and goals of the business.
4. Product or Service Description: Here, the business describes its products or services. It explains why they are useful, how they are different from competitors, and any future plans for new products or improvements.
5. Market Analysis: This section studies the industry, potential customers, and business opportunities. It explains who the target customers are and how the business will meet their needs.
6. Competitive Analysis: In this part, the business identifies competitors and compares their strengths and weaknesses. It explains how the business is different and why customers should choose it.
7. Operations and Management: This section explains how the business will run daily. It describes key team members, their roles, and the tools or equipment needed to operate the business.
8. Financial Plan: The financial section includes the money needed to start and run the business. It also shows financial forecasts like expected income, expenses, and profit. It may include a break-even analysis to show when the business will start making money.
9. Summary: The summary highlights the main points of the plan. It reassures readers about the business’s success and future potential.
10. References and Appendix: The references list the sources used in the business plan. The appendix includes extra documents like team resumes, legal papers, market research, and product pictures.
This simple business plan structure helps explain the business idea clearly and makes it easier for investors and partners to understand.