What Are the Components of a Business Plan?
Executive Summary
Write this last. It summarizes everything in the business plan and is often the first thing a prospective investor or loan officer will look at. Make it impressive, optimistic and realistic.
Mission Statement and Company Description
A mission statement sums up the company's objectives in one to three sentences. A company description is a lengthier document that outlines the history and future of the company, usually no more than two pages.
Description of Products and Services
Describe the products you sell or your services. List your suppliers and your criteria for selecting the inventory you keep. if you're a service business, describe the services you offer.
Marketing
Detail your marketing plan. You must know your target market, your competition and how your business will stand out.
Operations & Management
Describe in detail how the business will be operated. Include a chart of responsibilities, and include the resume or history of key players.
Financial Statements
Include your personal financial statement. Investors and loan officers will want to see that you find the project worthy enough to put your "money where your mouth is" and that you're a person of means, who stands something to lose if the business should fail.
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