Having a business plan is extremely important for the success of your company (find out why here). What are the components of a business plan? Well, even though the contents of a plan will vary according to the needs of each specific business, there are a number of components that need to be included.
The First Few Pages
- Include an Introductory Letter, introduce the business plan and the reason for its submission to the reader. It should be no longer than one page.
- Include a Title Page with your business’s name and contact information, as well as the date.
Briefly describe your business concept, the product(s) or service(s) that it offers, the advantage that your business has in the marketplace. Give a brief background of the owner(s) and his/her strengths. Outline start-up costs and the type and amount of financing required and where that will be directed. Discuss short- and long-term goals, including sales and net income goals.
Describing Your Company
Your company description should mention the ownership and structure of the business:
- sole proprietorship
Who owns the business, and how is the percentage of ownership broken down?
Include a history of the business and accomplishments to date, as well as the evolution of the product or service. It should describe the nature of the business – as in, how will a customer’s needs be satisfied by using your product(s) or buying your service(s)?
Your business vision, mission, and goals
An important component of a business plan is your business’s ultimate future achievement. How can your company contribute to the greater good?
Make sure that your business plan includes your future goals, and outlines how these goals can be reached through actionable tasks.
Products and services
Describe the research and development that went into your product(s) or service(s), and how current offerings will be produced. What copyrights, trademarks, patents, etc. pertain to each product/service? Include copies of these in the appendix.
You may also include product sketches or photos, press releases, and other technical data.