What Is Included In A Business PlanNew and potential new business owners need to know what should be included. There are four main parts to a business plan: the description of the business, the marketing plan, the financial management plan, and the management plan. You should also create a executive summary, and include supporting documents and financial projections.
Below is an outline of what goes into a business plan, followed by pages of detailed descriptions. This is only intended as a guide when developing your business plan, every situation is unique - make your business plan unique as well.
Elements of a Business Plan
- Cover sheet
- Statement of purpose
- Table of contents
- Descriptions of your business
- Marketing plans
- Describe the competition
- Operating procedures
- Business insurance
- Financial data
- Loan applications
- Capital equipment and supply list
- Balance sheet
- Break even analysis
- Income projections (profit & loss statements) that could include a three-year summary, details by month and first year, details by quarters, second and third years, and the assumptions upon which your projections were based.
- Current cash flow that could include details similar to your income projections.
- Tax returns of all principals (you and your partners) for last three years.
- Personal financial statement (all banks have these forms)
- Copy of proposed lease or purchase agreement for building space
- Copy of licenses, patents, and other legal documents
- Copy of the resumes of all principals
- Copies of letters of intent from suppliers, etc.