1. NICNE Development Workshop DEVELOPING A BUSINESS PLAN Jeff Fahrenwald, AVP Graduate and Community Education

2. Welcome Welcome Mission and SWOT Mission and SWOT Business Plan Development Process Business Plan Development Process – Business Model – Leadership Team – Market – Competitive Risk – Operations – Financials Conclusions and Executive Summary Conclusions and Executive Summary Closing Remarks Closing Remarks Agenda Business Plan Development Workshop NICNE Rockford College

3. 10/17/2015 Business Plan ROCKFORD COLLEGE 3 Development Workshop Mission Statement Can you clearly state your agency’s reason for existence and what you are striving to become in the future? Can you explain this to others in less then one minute? Does the mission help guide your thoughts and actions Does the mission expand or limit your opportunities? NICNE MISSION: To build capacity among nonprofit organizations to reach the highest levels of service and management excellence, by providing information, education, consultation, and resource supports.

4. 10/17/2015 Business Plan ROCKFORD COLLEGE 4 Development Workshop Developing a Business Plan Start with an idea –Look at your current offerings –Look at your competitions offerings –Understand your REAL core competencies –Look at the unmet needs of current individuals and groups that you serve –Look at unmet needs in the community –Look “one step over” from where you are Example – Rockford College BSMS

5. 10/17/2015 Business Plan ROCKFORD COLLEGE 5 Development Workshop SWOT Analysis Strengths Weaknesses Opportunities Threats Works better with a team who knows your organization Use your mission statement You can rewrite your mission statement if there is not a good fit and the opportunity fits well with your real core competencies

6. 10/17/2015 Business Plan ROCKFORD COLLEGE 6 Development Workshop Business Model Briefly idea / program Summarize the key technology, concept, or strategy Fit with mission Timing and location Community needs addressed

7. 10/17/2015 Business Plan ROCKFORD COLLEGE 7 Development Workshop Goals and Objectives Strategic goals and objectives SMART goals –Specific –Measurable –Action oriented –Relevant –Time bound Three to five year horizon

8. 10/17/2015 Business Plan ROCKFORD COLLEGE 8 Development Workshop Leadership Team Executive Director, board members, volunteers staff, outside advisors Previous accomplishments / experiences related to idea or program Champion(s) Additional help and support

9. 10/17/2015 Business Plan ROCKFORD COLLEGE 9 Development Workshop Market Summary Summarize past, present and future –Note changes in market (leadership, players, market shifts, costs, pricing, or competition) that contribute to your opportunity Potential Price Location

10. 10/17/2015 Business Plan ROCKFORD COLLEGE 10 Development Workshop Plan to Win Opportunity Promotional strategy –Public relations –Personal selling –Advertising –Customer / Client service Costs Partnerships

11. 10/17/2015 Business Plan ROCKFORD COLLEGE 11 Development Workshop Competitive Risk Summarize the competition Similar offerings Competitive advantage SWOT again Market size and potential

12. 10/17/2015 Business Plan ROCKFORD COLLEGE 12 Development Workshop Operations Resource requirements for: –Personnel –Technology –Space –Distribution –Products –Support services –Liability Strategic alliances

13. Timeline Time to market Critical steps Capital requirements Measure of success Exit strategy

14. 10/17/2015 Business Plan ROCKFORD COLLEGE 14 Development Workshop Key Timeline Issues Near term –Key decisions and issues immediate or near-term –Consequences of decision postponement Long term –Issues needing long-term resolution –Consequences of decision postponement

15. 10/17/2015 Business Plan ROCKFORD COLLEGE 15 Development Workshop Financial Plan High-level financial plan –Financial model –Cost and pricing assumptions Annual revenues and expenses for three years Cash flow for three years Balance sheet for three years Start up costs Sustainability Capital raising strategies

16. 10/17/2015 Business Plan ROCKFORD COLLEGE 16 Development Workshop Risks and Rewards Summarize risks Minimization strategy Expected rewards –Financial –Social –Organizational –Other

17. 10/17/2015 Business Plan ROCKFORD COLLEGE 17 Development Workshop Creating an Executive Summary Conclusion to document Executive summary –Last written – first read –Page or two –Highlights of each area

18. 10/17/2015 Business Plan ROCKFORD COLLEGE 18 Development Workshop Closing Remarks Final questions Thank you for participating Business Plan Competition