Writing a business plan 1 hour slide

Community Flagship of:

By: Mohamad Fadhilullah Tudun Bin Haji Hassan

@Bobby

1LiveWIRE Brunei (c) 2012


Why write a business plan

Importance of a Business Plan

Process of Writing a Business plan

Finding a Business Idea

Contents of a Business Plan

Tips & Tricks



Own use to start a business

Bank Loan

Investors

Grant Application

Incubation

Starting a cooperative

Managing and Running a Business

School Assignment or Project



“If you fail to plan, you plan to fail”

Gives a very good idea how the business runs from management, operations to financial

Research and Planning will reduce failures and prepares for contingencies.

To explain to others (banks, investors, partners, employees) of how you expect the business to work



Idea

Research &

Plan

Do



Passion

Make

Money

Skill &

Knowledge



Self-

Actualization

Self-Esteem

Social Needs

Security and Safety Needs

Physiological Needs





Executive Summary Business Profile Products and Service Market Research Market Strategy Operations Human Resource Management Financial Strategy Exit Strategy Appendices



Often Written Last, Shown First.

Make it interesting for the reader.

Make the reader want to read more.

Make it simple point form for every section, or a simple abstract summary.

1 page Maximum.

E.g. 30 second Movie Preview

LiveWIRE Brunei (c) 2012 10


Introduce the business

Legal Structure of Business◦ Sole Proprietor, Partnership, Sendirian Berhad,

Koperasi

Nature of business◦ Food, Service, Manufacturing, IT,

Mission and Objectives

Startup Cost

Milestones/Achievements



What is it?

Who are you going to sell it to?

What problem is it solving?

How much will it cost them?

What makes it unique?

Intellectual Property Involved?

Sales Forecast



Customers – Who are you going to sell to?

Competitors – Who are your competition?

What are the Competitive Forces that affects you? (Supplier, Buyer, existing competitors, New entrants, substitute products)

Political, Economic, Social, Technological (PEST) – Factors for Success

SWOT Analysis (Strengths, Weaknesses, Opportunities, Threats) -



How are you going to tell your customers that you are there?

4 P’s◦ Product

◦ Price

◦ Place and Distribution

◦ Promotion



Print

•Business Cards

•Leaflets & Posters

•Letters and Mail

•Merchandise

Mass

Media

•Billboards

•Newspaper

•TV

•Radio

Electronic

•E-mail

•Social networks

•Websites

•Media sharing

networks

Personal

•Word of mouth

•Referrals

•Direct Selling

•Exhibition

15


Who are involved?

Organization Chart

Personnel Roles and Responsibilities

Personnel Qualifications

Key Roles/Management

Payroll Cost


Manager

Worker 1 Worker 2

Assistant

Worker 3

Admin


How is the business going to run? How is the business making money? Location and Working hours Product Life Cycle - e.g. Agricultural vs

Retail Production Process Customer Service Process Technology/equipment Involved Sales Forecast in relation to Operations or

Season (can also be in product section)


Input Process Output


Start up costs

Sales Forecast

Personnel/Payroll Cost

Profit and Loss

Cash flow Forecast

Balance Sheet

Break-even analysis

0

10

20

30

40

50

60

70

80

90

1st Qtr 2nd

Qtr

3rd Qtr4th Qtr

nett income

Expenses

nett



What are you going to do with the business in the long-term:◦ Expand

◦ Sell

◦ Handover to family member

◦ Go Public

◦ Get Merged or Acquired

or if anything goes wrong.◦ If Bankrupt or unsuccessful what will you do?



Marketing Materials◦ Research Materials and Results

◦ Sample of Advertisements

◦ Survey

◦ Results

Full Financial Tables◦ 2-5 years





Executive Summary – so the reader wants to read the rest of the plan

Market Research – to show your products have buyers

Market Strategy – to show how you can reach your buyers

Operations – to explain how your business is going to work

Human Resource – the people behind the business

Finances (Start-up and Cashflow) so you know how much you need and how much you expect in return



Clear

Concise

Organized

Well Laid Out

Natural

Positive

Well interpreted facts

Do not jump to conclusions

Show Sources

Proofread

Make it Perfect

Well written executive summary



Executive Summary - Too short, Too long, Too boring

Products - No details on pricing, no pictures of products/service

Market Research – None or too little sample study done.

Market Strategy – No schedule or budget

Operations – no process flow

Financials – Too optimistic, or not included



Organizations◦ LiveWIRE Brunei (Library and Courses)

◦ DARE/i-Centre

Books◦ E-myth

◦ Writing a business plan for idiots/dummies

Internet◦ Search for how to write a business plan

◦ Search for business plan samples

◦ Howstuffworks.com, entrepreneur.com, bplans.com


