5. What is a business
plan?
A written description of your
business's future, a
document that tells what
you plan to do and how you
plan to do it.
If you jot down a paragraph
on the back of an envelope
describing your business
strategy, you've written a
plan, or at least the germ of
a plan
7. Deep understanding Of Your;
Market, Math, Members, Message
Writing a business plan allows you to really think things through. Your
plan should question the validity of your ideas, the product/service
target markets and so on. It should force you to do your own proper
due diligence.” ~ Nicolas Gremion, Free-Ebooks.ne
10. BUSINESS’ VISION, MISSION AND
VALUES
Briefly describe the type of business you want to start. Discuss
your mission, vision and values.
11. Sample
questions
Your mission defines your business’s purpose and basic goals. It’s the
ideal you should always be working toward. It is 1 sentence (or short
paragraph) that answers the following questions: What? For whom?
How? Where?
Your mission has 3 main functions:
It is a chance to think about what your business does and,
most important, why and how it does it. It’s a great opportunity
to define your values, your processes and procedures and your
particular approach.
It serves as a benchmark and informs your business decisions.
It conveys your business’s purpose to people inside and
outside the organization.
Your vision projects your mission into the future: what your business
wants to become and achieve.
Your business’s values are the product of its history. Its past has forged
its identity and shaped its culture. Your business’s values can shift to
better align with your vision.
What is the ultimate goal
of your business?
What do you want to
accomplish, and for
whom?
What does your business
do? What is its purpose?
Who do you want to
realize your mission for?
In what industry?
How will you do it? What
are the underlying values
of your business idea?
12. MARKET SEGMET and TARGET
Clearly describe your offer. Explain what you will be selling and
how you are different from others.
13. Sample
questions Describe what your business offers by
starting with a sentence about each of your products or
services (e.g., Hajjati’s Kafunda offers these 3 products)
listing your products or services
grouping your products or services by feature or the needs
they meet
describing the main features of your products/services or your
product/service categories
Your offer may be outlined in narrative, list or diagram form.
Emphasize the gap you are filling.
Describe you competitors and how you have an advantage with
you niche
Have someone who isn’t familiar with your business idea read your
offer. If the person understands it, you’ll know it’s clear and
straightforward
What products
and services
do you want to
offer?
Who are are
you targeting
and why?
Who will you
be competing
with?
14. BUSINESS TEAM – Org
structure
Show investors that you have great potential as an entrepreneur and
manager.
15. Sample
questions
Indicate the ownership arrangement as follows:
first and last names of the partners or shareholders
each partner or shareholder’s stake in the business (as a
percentage)
Append the shareholder agreement or partnership agreement
to your business plan.
You will have to wait until your plan is complete to determine
each partner’s stake in the business.
Include any relevant management experience (sales, customer
service, accounting, marketing, etc.).
If you have partners, make sure to assign responsibilities
based on their individual strengths and weaknesses and
indicate what they bring to the business. Administrative tasks
must be assigned and shared fairly
Are you starting
the business with
any partners?
How can you
ensure that
operational and
financial
responsibilities will
be shared?
Will you be able to
achieve your
personal financial
objectives with the
ownership
arrangement?
17. Sample
questions What is your business’s legal structure?
Sole proprietorship run by an individual (self-
employed person)
Partnership
Corporation
Cooperative
Non-profit organization
Your legal structure may have legal and tax implications and can even
affect your image. You need to consider a number of factors when
making this decision. Don’t hesitate to consult with a corporate lawyer.
Can you bear the
start-up and
administrative costs
associated with the
legal structure you’ve
chosen?
Are there significant
financial risks, and
can you assume them
personally?
Can you assume
unlimited financial
responsibility for the
business’s debts??
19. Sample
questions
Financial Projections
Balance Sheets
Income Statement
Cashflow Statement
Ops Budget
Breakeven analysis
Funding requirement
Balance Sheet: Describes the company cash position including assets, liabilities,
shareholders, and earnings retained to fund future operations or to serve as funding for
expansion and growth. It indicates the financial health of a business.
Income Statement: Also called a Profit and Loss statement, this report lists projected
revenue and expenses. It shows whether a company will be profitable during a given time
period.
Cash Flow Statement: A projection of cash receipts and expense payments. It shows how
and when cash will flow through the business; without cash, payments (including
salaries) cannot be made.
Operating Budget: A detailed breakdown of income and expenses; provides a guide for
how the company will operate from a "dollars" point of view.
Break-Even Analysis: A projection of the revenue required to cover all fixed and variable
expenses. Shows when, under specific conditions, a business can expect to become
profitable.
Funding Requirements : Understand what you potential donor needs included. Eg
income returned into business
Can we make a
profit??
