2 Our Goals The student can categorize a business plan and explain the needfor a well-orchestrated business plan.The student can explain a marketing plan, including price competition, non-price competition, market analysis, competition, marketing research, market segmentation, demographics, and sales forecasting.The student can research business plan outlines, resources, and templates using web search engines.The student can identify a legal plan, including the appropriate form of legal organization, including sole proprietorship, partnership, corporation, and S corporation.The can create and present a well-orchestrated business plan and critically explain the contents.
3 Vocabulary Business Plan Sole Proprietorship Partnership Corporation Executive Summary
4 IntroductionA business plan is a proposal that describes the new business to potential investors.Basically a detailed description of what the business is and what it will sell.Different types of OwnershipPartnershipSole ProprietorshipCorporationSkills and Experience- Describe the experience and talent of those who are starting the businessFinancial Plan- Detail the finances of the businessOrganization – This should explain how the organization is set up. Who is in charge? How are duties divided?Marketing Plan- How you plan on selling and promoting your service or product. Where and to whom will you sell to?
5 Ownership/Legal Structure The legal structure of the business will fall into one of four categories and should be explained in the business plan.Sole Proprietorship- One person owns the companyPartnership – Two or more people own the companyCorporation- Business is a separate legal entity. Least Liability for owner’s personal assets
6 Marketing Products/Service Market Competition Location Describe in detailMarketDemographics- segmenting the market by statistics such as age, race, gender, education, marital status, etcGeographic- segment the market by location, and product benefits are segmented by certain features or products that the customer is seeking.Psychographics- segmenting the market by interests or hobbies, such as gourmet cooking or sportsProduct Benefits- how does it benefit your target market.CompetitionWho, what, and whereLocationWhere will your business be located and why did you choose that location?
7 Financial Management Identification of Risk Financial Statement Human NaturalEconomicFinancial StatementIncome statementBalance sheetCash Flow
8 Risk ManagementBusiness Risks are the possibility of business loss or failure. There are three types of business risks.Economic- occur from changes in the overall business conditionsType or amount of competitionProduct obsolescenceGovernment RegulationNaturalHumanIt is very important for businesses know their strengths and their weaknesses.
9 Operations Critical for business success Management on a day-to-day businessNecessary equipmentPersonnel needed for success
10 Executive Summary Summarize goals objectives for the business Emphasize your commitment to the success of the business