Business Plan Preparation Introduction Frank Moyes Leeds School of Business University of Colorado Boulder, Colorado Business Plan Preparation: Introduction

Tonight’s Agenda Introductions Course organization & syllabus Writing a business plan Discuss your ideas Students introduce selves Major What have done that is entrepreneurial? What want from course? What is your wicked idea? Frank Moyes David Drake Business Plan Preparation: Introduction

Communications Frank Moyes frank.moyes@colorado.edu Communications Frank Moyes frank.moyes@colorado.edu Office Hours: Fleming 115(165) Wednesday 3:00 to 5:30pm Thursday 4:00 to 6:00pm And by appointment Website http://leeds-faculty.colorado.edu/Moyes Business Plan Preparation: Introduction

Materials Lawrence and Moyes, “Writing a Successful Business Plan”, 2006 Moyes and Lawrence, “Financial Spreadsheets for the Business Plan” Business Plan Preparation: Introduction

Objectives of the Course Understand what is a business plan & when to write one Learn to write a viable business plan Experience the process Review materials Website: “Everything is vague to a degree you do not realize till you have tried to make it precise.” Bertrand Russell Business Plan Preparation: Introduction

Course Structure Weeks 1 & 2: Evaluate opportunities Week 3: Select concept & team Weeks 4 & 5: Market & Industry Analysis Week 6 to 13: Instructor to describe a section of the business plan (Slides posted on course website) Weeks 5 to 12: In the Fire sessions Week 14: Present business plan & hand in Week 15: Competition New material is really old stuff: marketing, finance Who has a concept? Who has done feasibility plan? Who has a team to write the plan? See me after class Concept and team selection: Trade fair Presentations: friendly fire STOP: Introduce Roving Planet Business Plan Preparation: Introduction

Grading Individual Team Assignments Resume Concept Participation Peer evaluation Team Assignments In the Fire sessions Written assignments Final Business Plan & Presentation Business Plan Preparation: Introduction

Business Plan Elements Executive Summary Company Overview Product/Service Description Market & Industry Analysis Marketing Plan Operations Plan Development Plan Management Competitive Advantage Financial Plan Funding Business Plan Preparation: Introduction

Why Write a Business Plan? Road Map Establish goals to make sure that are on track and heading in the right direction Action Plan Small steps lead to large results Sales Tool to attract investors, vendors, customers, partners, employees So You Can Throw It Away! Process is the key Cauldron - test ideas & strategies Think through problems to solutions Lowers the risk “If we don’t have a plan for ourselves, we will be part of someone else’s.” Joan Lunden Business Plan Preparation: Introduction

A Good Business Plan Living document Creates excitement Tells a story Compelling description of the vision & strategy Not a substitute for action "You can't overestimate the need to plan and prepare. In most of the mistakes I've made, there has been this common theme of inadequate planning beforehand. You really can't over-prepare in business!“ Chris Corrigan Business Plan Preparation: Introduction

Why Not Write a Business Plan? Lack experience Information Time & cost to get causes too great a delay Can’t get Situation changes too quickly Founder has great experience, successful track record & has a “gut feel” for the business Business Plan Preparation: Introduction

“Writing a business plan is a life changing event.” Comfortable with Uncertainty Lack of information Working in groups Frustrating Puzzle pieces keep changing shape May not be a lot of information Synthesis vs. Analysis - creative Conflict - normal, desirable All consuming Most common criticism on FCQ; should be 4 credits Ultimately, very rewarding Put your education together Excellent resume item Accomplishment Who said that? STOP: Exercise teams of 4, 10 minutes Is this a good opportunity? Business Plan Preparation: Introduction

Discuss Ideas Business Plan Preparation: Introduction

“From Student to Entrepreneur” Approach to Generate Ideas Doing what you love What bugs you Use your experience Recycle business concept Steps, pain points & solutions Developed by Neal Lurie, MBA 2004 Business Plan Preparation: Introduction

Concept & Team Selection Process Conduct Idea Exercise (download from website) Email resume to instructor before Jan 24 as Word attachment (must have your name & Resume on file name) Discuss your concept in class Jan 24 (use Concept Summary as a framework for explaining your concept) Business Plan Preparation: Introduction

Concept & Team Selection Process (continued) Email Concept Summary as a Word attachment to instructor by 1:00pm on Jan 26 (Friday) (must have your name & Concept name in file name) Instructor to email all students which concepts with the greatest potential that have been selected on Jan 29 (Monday) Students whose idea are selected will form a teams of four on Jan 31 in class Business Plan Preparation: Introduction

Concept Description Brief description Why is there an opportunity/need? What is the product/service? What are the unique benefits? How will it be produced or delivered? Who is the target market? What are the benefits to the target market? Who is the competition? What advantages do you have over the competition? Profitability Revenue model Contribution margins Business Plan Preparation: Introduction

Assignments for Next Week Resume: email to instructor Review ESBM 3700 materials on Opportunity Recognition Identify an opportunity to discuss in class Business Plan Preparation: Introduction