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sub-sections as follows: 5 – Target Customers Your Target Customers section precisely identifies your current and/or intended customers. Include as much demographic data on your target customers as possible, such as their gender, age, salary, geography, marital status and education. 6 – Customer Needs
In this section of your business plan, specify why customers want or need your products and/or services. For example, do customers care most about speed, quality, location, reliability, comfort, price, value, etc.?
Section V – Competitive Analysis
Your Competitive Analysis section has three sub-sections as follows: 7 – Direct Competitors Direct competitors are companies that fill the same customer need you fill with the same solution. For example, if you operate an Italian restaurant, other Italian restaurants would be direct competitors. In this section of your business plan, outline who your direct competitors are, and their strengths and weaknesses.
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8 – Indirect Competitors
Indirect competitors are companies that fill the same customer need you fill with a different solution. For example, if you operate an Italian restaurant, a French restaurant would be an indirect competitor. In this section of your business plan, outline who your indirect competitors are, and their strengths and weaknesses.
9 – Competitive Advantages
Importantly, identify your Competitive Advantages in this section. Specifically, state what is it about your company that will allow you to effectively compete (and win) against both direct and indirect competitors. Section VI – Marketing Plan
Your Marketing Plan section has four sub-sections as follows: 10 – Products & Services
Here is where you give the details of the products and/or services your company offers. 11 – Pricing
Detail your pricing here. In particular, discuss how your pricing
relates to competition. For example, are you the
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premium brand? The low cost brand?
Discuss your expected branding based on your chosen pricing model. 12 – Promotions Plan
Your promotions plan details the tactics you will use to attract new customers. For example, you might choose radio advertising, or
online pay-per-click ads, or press releases, and so on. In this section, detail each form of promotions you will use.
13 – Distribution Plan
Your Distribution Plan outlines the ways in which customers can buy f
rom you. In many cases, they can only buy directly from you,
perhaps at your physical location or web address. In other cases, you might have distributors or partners who sell your products or services. In such a case, detail this structure.
Section VII – Operations Plan
Your Operations Plan section has two sub-sections as follows: 14 – Key Operational Processes
Your Key Operational Processes are the daily
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functions your business must conduct. In this section, you will detail these functions. For example, will you maintain a Customer Service department? If so, what specific role will it fill?
By completing this section, you’ll get great clarity on the organization you hope to build. 15 – Milestones
In this section of your business plan, list the key milestones you hope to achieve in the future and the target dates for achieving them.
Here is where you set goals for specific and critical undertakings, such as when a new product will be created and launched, by when you plan to execute new partnerships, etc.
Section VIII – Management Team
Your Management Team section has three
sub-sections as follows: 16 – Management Team Members This section details the current members of your management team and their backgrounds. 17 – Management Team Gaps
Particularly if you’re a startup venture, you will have holes in your team; roles that you’d like to fill
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later. Identify such roles here, and the qualifications of the people you will seek later to fill them. 18 – Board Members
If you maintain a Board of Advisors or Board of Directors, detail your Board members and their bios in this section.
Section IX – Financial Plan
Your Financial Plan section has four sub-sections as follows: 19 – Revenue Model
As simple as it seems, this section of your business plan gives clarity on how you generate revenues. Do you sell products? Do you sell advertising space? Do you sell by-products, like data? Do you sell all of the above?
20 - Financial Highlights
Your full financial model (income statement, balance sheet and cash flow statement) belong in your Appendix, but in this section you’ll include the highlights. For instance, include your revenues, key expenses, and projected net income for the next five years. 21 – Funding Requirements/Use of Funds If you are seeking funding for your company, detail
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the amount here, and importantly for what you will use the funds.
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