new business plan

1. BUSINESS PLAN
For a start-up, a business plan is an essential pre-requisite when
you’re applying for business finance. But that doesn’t mean it’s
something you write once for your loan application then leave
gathering dust. A well-written plan is a tool you can return to again
and again.
The good news is that it doesn’t have to be a telephone book. In
fact, as long as you’ve covered the essentials, then the shorter the
better. Start by downloading our business plan toolkit, and then
follow these five steps.
Step 1: Dream it
Start by setting out your strategic vision for your business. Where
do you want your business to end up? Everything you’d want to tell
a potential investor, partner, employee or customer should be here,
including:
 Your vision. While it only needs to be a sentence long, your vision
statement may be one of the hardest things you’ll ever write. It’s
important to get it right — brief and aspirational, yet achievable.
 Your unique selling proposition. This is your competitive edge,
the unique quality that keeps customers coming to you instead of a
competitor.
 Your target market. Rather than trying to be all things to all
people, you can increase your chances of success by targeting a
well-defined point.
 Your products and services. Once you know your niche and
unique selling proposition, you can design your portfolio of products
and services.
 Your goals. Key goals for the period covered by the plan. Make
them measurable, achievable and consistent with the financial plan.
 Capital requirements. If you’re using your plan to apply for a
loan, state how much you need and what it’s going to be used for.
Your figures should be supported by calculations in the financial
plan.
Step 2: Design it
You're ready to start designing the business in detail and putting
some strategies in place. Here are some of the things you may
cover:

2.  History and structure. The operating history and structure of the
business, including the key people — the shareholders, directors,
managers and staff.
 SWOT analysis. SWOT stands for “Strengths, Weaknesses,
Opportunities and Threats”. A SWOT analysis is where you write
down all the internal Strengths and Weaknesses of your idea, and
the potential external Opportunities and Threats. It is a great way to
test your business model.
 Business assets. The assets you currently have or need to acquire,
including premises, plant and equipment, information systems,
intellectual property, licences and insurance.
 Goals and milestones. Set out your major business goals for the
period covered by the plan, then set milestones for each step along
the way. Try to make your goals specific and measurable.
 Your business strategies. These include your marketing, sales
and customer retention strategies.
Step 3: Test it
You need to see if you can break your business model, by testing it
for weaknesses. If you haven’t already researched your industry,
your market and your competitors in detail, now’s the time to do it.
These sections of your plan include:
 The competitive landscape. Detailed information about the
industry, the size and characteristics of your target market, and the
strengths and weaknesses of your main competitors.
 Financial forecasts. These might include calculations of your start-
up costs and capital requirements, cash flow, profit and loss and
balance sheet forecasts, and a break-even analysis.

3. BUSINESS PLAN STRUCTURE:
Name of the Business: Along with the punch-line!
Description of the Business
Targeted Market and Customers
Growth Trends in this Business
Pricing Power
Cash Flow Planning
An exhibit of one-year cash flow analysis including estimated sales, all costs and capital
investments should be attached. Please include a check of all expense items for input into the
cash flow projection.
Marketing strategies:
The Competition
How I Plan to Take Advantage of Competitors Weak Points
GROWTH: Expansion of the business in the future
HRM: Hiring and training policies will be in place. Fringe benefit plans will be in place. I
will delegate authority and responsibility with the following guidelines:
1. Managers will be motivated by a profit incentive plan which will be tied to individual
success.
2. Plan should be in writing, simply stated and call for frequent periods of
accountability.
A sample of my manager's incentive compensation plan should be attached.
Handling Major Problems
Policy in handling problems will be to identify and acknowledge problems promptly and
honestly. Plan to put the following policies into effect promptly if and when the following
adverse scenarios emerge during my growth program:
The risk of running out of cash: plan to maintain very frequent (_______monthly?) cash flow
projections. Forecasts for income, expenses and unanticipated contingencies will be stated
conservatively. Any periods of cash deficits will be remedied promptly by cutting costs to
maintain a positive cash flow and profitability.