Tips on Writing a Business Plan with Layout Explained

Why Write a Business Plan

Entrepreneurs today completely understand that before stepping into a new venture, they must be having a written document with them which entails the necessary strategies required to run the business. As in why to write a business plan, it acts as a map which guides the entrepreneur at every point when important decisions need to be taken. It is essential that the business plan be written in such a manner that it addresses all the aspects and issues that assist in carrying out the business. So before taking the big step of setting up the business, craft a business plan as your procedural blue-print.

A Simple Business Plan Layout

Key steps to writing a business plan involves working on the layout first. The business plan layout varies from simple to complex but for the sake of understanding we are providing you with a simplistic layout of a simple business plan.

Executive Summary

The executive summary is the first section of any business plan. It summarizes in a page or two the nature of the business and major strategies designed to carry it out. Executive summary is the crux of a business plan.

Business Overview

 In this section, the businessman needs to explain the business or the company in detail; the kind of products and services it intends to offer, goals and objective of the business, modes of carrying out the business along with its legal structure.

Operational Plan

This section talks about the execution of the business meaning how the business will function on day to day basis. A brief description of management team and their responsibilities is also included in this section.

Marketing Plan

It is an accepted fact that no matter how outstanding and innovative the offering is; it cannot sell unless it is advertised or marketed in an appropriate manner. Marketing plan describes the target market, customers, distribution channels, advertising strategies, pricing etc.

Financial Plan

The purpose of any business is to generate profit. Financial plan explains how the business is going to make profit—precisely it includes balance sheet, income statement, cash flow statement and any graphs or charts which support cash generation. Also there should be mentioning of activities for acquiring more assets and cutting down expenses in future.