What are the key sections of the plan?

Question

What will be an ideal response?

Answer 1

The main parts of the business plan are as follows:
• Executive Summary which outlines the business and contains important summary information. This is often the most important section of the plan.
• Introduction goes into further detail of the opportunities available in the market. It discusses the proposed market and any potential barriers to entry.
• Economic, Political, and Legal Aspects provides information about these aspects in the market and how they might impact the business venture. If there are problems identified then solutions to them should be included here.
• Cultural Analysis examines the customs and traditions in the market and any advantages or disadvantages that the entrepreneur’s business will face.
• Organizational Plan describes the form of ownership of the venture, how will management be structured, the structure of board of directors (if needed), roles and responsibilities of management team, and salary and payment information for them.
• Product or Service Description is where full detail is given for the good that will be introduced. If it is a product, full specifications and patent information should be given, for a service the unique skills and qualities of that service should be explained.
• Market Entry Strategy explains how the venture will enter the market and claim a competitive position.
• ­Operations Plan describes the flow of goods and services from production to the customer. It will detail how the customer will order and receive the goods, how it is manufactured and delivered, and how it is serviced after delivery, and the responsible parties for each of these aspects.
• Marketing Plan describes how the goods will be distributed, priced, and promoted. This will include any market research the entrepreneur has completed, an analysis of the potential customers, and forecasts for that goods or services.
• Financial Plan is the final section of the business plan and details the financial information needed to determine the viability of the venture. It includes up to three years of sales forecasts, along with forecast on costs of goods sold, and expenses. A projected cash flow statement should be included to show how much money will be coming in and going out a given time for the venture. The last part of the financials is projected balance sheets for the first three years showing the projected assets and liabilities of the venture.