Presentation on theme: "Bell Ringer Business PlanBusiness Plan- a proposal that describes a new business to potential investors and lenders What do you think a business plan might."— Presentation transcript:
Bell Ringer Business PlanBusiness Plan- a proposal that describes a new business to potential investors and lenders What do you think a business plan might include?
Chapter 39 Developing A Business Plan
Objectives Identify the purpose and importance of a business plan Identify the major sections of a business plan Discuss how to describe and analyze a proposed business situation Discuss how to develop a businesss organization plan
Objectives Discuss how to provide details related to goods or services to be offered. Discuss how to develop a marketing plan. Discuss how to describe the elements found in the financial section of a business plan Discuss how to identify sources of equity capital Discuss how to identify sources of debt capital
The Business Plan Business PlanBusiness Plan- proposal that describes a new business to potential investors and lenders Maps out course of the business Helps obtain financing Guides the opening of the business Plans the successful mgmt of the business
3 Main Sections of a Business Plan Description and analysis of the proposed business situation Organizational and marketing plan Financial plan
Description and Analysis of the Proposed Business Introduces proposed business concept Should clearly identify the products & services the business will sell Includes personal business philosophy & a self-analysis that describes your business experience, education, and training Includes a trading area analysis, a market segment analysis, and an analysis of potential locations
Type of Business, Business Philosophy, and Type of Products 1. Begin with a description of the type of business you plan to open –Present marketing research data or significant trends that will influence the success of your business –Explain how a current or changing situation has created an unfulfilled consumer want that your business will address.
Type of Business, Business Philosophy, and Type of Products Business Philosophy2. State the Business Philosophy- tells how your think the business should be run and shows your understanding of your businesss role in the marketplace. –Reveals your attitude toward your customers, employees, and competitors.
Type of Business, Business Philosophy, and Type of Products 3. Describe the product or service you will offer –Explain potential consumer benefits & why your product or service will be successful –Include as many facts as you can
Self-Analysis Self-Analysis4. Self-Analysis- a description of your personal education, training, strengths, weaknesses, and a plan for personal development in the field of marketing
Trading Area Analysis Trading Area 5. Define your Trading Area- the geographical area from which a business draws its customers –Analyze with respect to geographic, demographic, and economic data, and competition.
Trading Area Analysis Geographic dataGeographic data- includes population distribution, or how many people live in a certain area DemographicsDemographics- identifiable and measurable population statistics such as age, gender, marital status, and race/ethnicity
Trading Area Analysis Economic factorsEconomic factors- include economic growth projections, trends in employment, interest rates, business mergers, and governmental regulations.
Trading Area Analysis Disposable incomeDisposable income- personal income remaining from wages after all taxes are taken out
Market Segment Analysis Market Segment AnalysisMarket Segment Analysis- description of the target market and the buying behavior of the potential customers Buying behaviorBuying behavior- process individuals use to decide what they will buy, from where they will buy it, and who they will buy it from
Analysis of Potential Locations Buy, Lease, or Build Competing and Complementary Businesses Hours of Operation Visibility Safety Customer Accessibility Personal Issues Zoning and Other Regulations