Lesson 3 what is a business plan
- 1. Lesson 1: What is a Business Plan? MODULE 2 THE DEVELOPMENT OF A BUSINESS PLAN OPERATIONS STRATEGIES GOALS
- 2. Objectives At the end of this module, you are expected to: a. explain the key elements of the business plan; b. understand the concept of potential market; and c. discuss the propose solution in terms of product and service.
- 3. What is a Business Plan? The business plan is a written document prepared by the entrepreneur that describes all the relevant external and internal elements involved in starting a new venture. It is often an integration of functional plans such as marketing, finance, manufacturing, and human resources.
- 4. Who should write the Business Plan? The business plan should be prepared by the entrepreneur; however, he or she may consult with many other sources in its preparation. Lawyers, accountants, marketing consultants, and engineers are useful in the preparation of the plan.
- 5. Scope and Value of the Business Plan-Who reads the Plan? The business plan may be read by employees, investors, bankers, venture capitalists, suppliers, customers, advisors, and consultants. Who is expected to read the plan can affect its actual content and focus.
- 6. Three perspectives that should be considered in preparing a business plan: Perspective of an Entrepreneur Marketing perspective Perspective of an Investor
- 7. Writing the Business Plan It should be comprehensive enough to give any potential investor a complete picture and understanding of the new venture, and it should help the entrepreneur clarify his or her thinking about the business.
- 8. Outline of a Business Plan I. Introductory Page II. Industry Analysis III.Description of Venture IV. Production Plan V. Operations Plan VI. Marketing Plan VII.Organizational Plan VIII.Assessment of Risk IX. Financial Plan X. Appendix OPERATIONS STRATEGIES GOALS