Detailed Guidelines

Business Plan Outline

Format of the business plan

I.     Introductory Page
        i. Name and address of business
        ii. Name (s) and address(es) of principal (s)
        iii. Nature of business
        iv. Statement of financing needed (Pk. Rs. 10 – 60 Million)
        v. Statement of confidentiality of report

II. Executive Summary
1      Executive Summary (ES)

 

Executive Summary is the gateway towards a business plan. Venture capitalist read the summary first and if it attractive, he may decides to read the rest of the document.

Make it original rather than cut-copy-paste, it should be interesting and informatory, keeping in view the rule of conciseness. Remember! Write to the audience’s interest.

Precisely, it shall have broader sections as what is the business concept (the market need), how your business model serves this need and what will the measurable results.

We suggest that you make it two-three pages, covering the same topics as in business plan except a short paragraph on each of the topics.

Pattern your summary as if you would be having a five-minute interview.

It may contains charts and tables specially to convince on financial and growth aspects

Please cover the following aspects

1.1  Overview
        Briefly explain the fundamentals of your business.
1.2  Market Need:
        What problems are you solving or are going to solve?
1.3   Opportunity Size:
        "How big is the opportunity, i.e. how big is the target market?"
1.4   Industry Analysis:
        “Discuss some elements of Industry Environment e.g. Future outlook, Trends, Growth Rate, Govt. Policies etc
         and your Competitors (who they are and how are they attempting to satisfy the same need?)”
1.5   You Solution and it's competitive advantage:
        “What is your product/ service concept? How are your product/services different from the competitors-What is
         your competitive advantage/s?, What is the value proposition of your solution”
1.6   Current or Potential Customers:
        “Identify current and potential customers (B to B or B to C). Can you measure them?”
1.7  Go to Market Strategy:
        "How do you go to the market?" - Summarize your sales and marketing plans, and explain why these plans
         are credible. "How are you going to make money?"
1.8  Our Team:
        “Who are the key people behind the venture and what are their credentials? Include all key management
         people; is there a need to hire other key management people?" - Explain why you and your team are the right
         people to make the idea work.
1.9  Risks and Mitigation Plans:
        Summarise, potential vulnerabilities and challenges of the business (SWOT Analysis) and devise a
        contingency plan (back up plan) A Plan B.
1.10 Financials:
        "What does the company expect to achieve in sales and profit in years 1, 2, 3? What is the startup capital?
         What are the sources of capital? And how will you utilize the funds? Stating the Pay back period is a good
         option.”

III. Industry Analysis
        i. Macro Environment (Economy, Culture, Technology and Legal)
    ii. Specific Industry Environment (Future outlook, Trends of industry, Growth Rate, Govt. Policies and Competitor Analysis (Direct and Indirect))
        iii. Market Segmentation Basis and Identification of Target Market

IV. Description of Venture
        i. Mission Statement, History of venture, location and size of business
        ii. Product/Service Details
        iii. Service (s)
        iv. Office equipment and personnel
        v. Background of entrepreneurs 

V. Production Plan (if any)
        i. Complete Manufacturing process (self or subcontracted)
        ii. Physical plant layout (distribution of production area in sq. ft or Sq. yards and other details)
        iii. Machinery and equipment (make, model, origin (local/imported), pictures)
        iv. Details of suppliers of raw materials (names, location and brief information)

VI. Operational Plan
        i. Description of company’s operation (from production till delivery to customers)
        ii. Order placement by customers and fulfillment (completion of Business Transaction)
        iii. Storage and Inventory Control
        iv. Technology utilization in Operations

VII. Marketing Plan
        i. Product (Quality, styles, features, sizes, brand name, packing, services)
        ii. Pricing (list prices, discounts, allowances for middleman, credit terms)
        iii. Distribution (use of wholesalers/retailers, geographic coverage, inventory and transportation)
    iv. Promotion (Advertising and Media selection, Sales Promotion, Personal Selling, Public Relation, Marketing Budget)
         v. Controls (Sales Forecasts, Marketing Objectives, Sales Targets)  

VIII. Organizational-Plan
        i. Form of ownership (Single Owner/Partnership or Pvt. Limited Company)
        ii. Identification of partners or principal shareholders and their respective Authorities
        iii. Middle Level Management-team (job description and job specifications of Managerial Staff)
    iv. Formal Design of the organization covering Organization Structure, Planning, Measurement and evaluation schemes, Rewards, Selection Criteria and Training
 
IX Assessment of Risk
        i. S.W.O.T Analysis
        ii. Contingency plans

X Financial plan
        i. Pro forma income statements (First Three Years)
        ii. Pro forma cash flow projections (First Three Years)
        iii. Pro forma Balance Sheet (First Three Years)
        iv. Break-even analysis
        v. Sources and applications of funds (First Year)

XI Appendix (Back UpMaterial)
        i. Letters
        ii. Market research data
        iii. Leases or contracts
        iv. Price lists from suppliers etc

Elevator Pitch Guidelines

Elevator pitch should not exceed one minute. Following guidelines may be considered
Imagine This….

You’re in an elevator.  You hear a voice asking you to hold the door, so you do, and to your surprise, it’s the CEO of your company who is now smiling and offering thanks as well as saying “So you work in product development right? Remind me, what it is you do?“

Are you prepared?  Will you response be well timed, concise and articulate?  Can you impress him/her?

How about this… you’re at a party, a friend introduces you to their colleague who just so happens to be a venture capitalist which couldn’t be better, because you just so happen to be looking for funding.  You’ve got 30 seconds to impress them and catch their imagination- can you do it?  Will your proposition be the one that stands out?  Will they ask for more details?

The objective of an elevator pitch is to deliver just enough of the crucial information in a charismatic and articulate manner, so that it leaves one naturally asking for more information.  Done properly, an elevator pitch will encourage more questions, giving you more time to sell yourself.

So how do you prepare an elevator pitch? Follow these 4 easy steps and you’ll have a winning pitch!

1. WHO:  Describe who you are

2. WHAT:  Describe what you do

3. WHY: Describe why you are unique

4. GOAL:  Describe your goal

For Example

"Zed Studio is a design consultancy and manufacturer that specializes in interactive and illuminating point-of-sale advertising displays.

Our designs are guaranteed to increase brand awareness by 68%, Ad recall by 72% and purchase intent by 86%.

We combine leading technologies with creativity and intelligence that produces point of sale displays unlike any others on the market.  Whether it’s a custom built shop window or a retro fitted product stand, we create the WOW factor with every design to ensure that our client’s products stand out amongst all the competition.

Over the next 12 months we are looking to expand our global reach.  We are seeking £xxx for a £xxx return on investment to speed up the process.

Launch Pad

Coming soon...

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