Business Plan of New Enterprise

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I Executive Summary

A. The Company

x

B. Market Potential

x

C. Major Milestones

x

D. Distinctive Competence

x

E. Financial Summary

x

II General Company Description

A. Overview

x

B. Statement of Mission, Goals & Objectives

x

C. Stage of Development

x

III Products and Services

A. Physical Description

x

B. Use and Appeal

x

C. Stage of Product Development

x

IV Key Strategic Issues

A. Sufficient Demand

B. Migration

C. Legal & Policy

D. Supply

E. Other

F. Other

V Political Conflicts

What are they and how will they be resolved?

VI Competitive Advantages (NOTE: THESE ARE THE UNFAIR ADVANTAGES PROPERLY DRESSED)

There should be cues in here as to why we are proceeding to launch.

VII Marketing Plan

A. Situation

1. Product Summary

x

2. History of Product and Market

x

3. Business Sources

a. Sectors

x

b. Customers

x

c. Distribution Channels

x

4. Markets

a. Sizes

x

b. Trends

x

c. Opinions

x

d. Problems

x

e. Opportunities

x

5. Demand

a. Why will this product sell?

b. Why do we believe this is true?

c. Documentation in support of estimated demand

B. Competition & Other Influences

1. Degree of Competition

x

2. Future Sources of Competition

x

3. Other Influences

x

4. Strengths

x

5. Weaknesses

x

C. Objectives

(Both short and long range)

1. Sales

2. Profits

3. Market Share

4. Distribution

5. Image

D. Strategy

1. Summary

2. Product

3. Pricing

4. Selling

a. Training

b. Promotions

c. Sampling

5. Advertising

a. Copy theme

b. Media

c. Scheduling

6. Publicity

a. Theme

b. Projects

c. Schedule

7. Market Research

a. Data needs

b. Plan

c. Schedule

8. Budgets & Marketing Finance

a. Sales

b. Costs

c. Profits

d. Timetable

9. Market Testing

a. Cities

b. Costs

c. Results

10. Product & Pricing Feedback Loop

E. Sales Forecasts (with notes and assumptions)

1. Sales by Period

2. Sales by Product or Service

3. Sales by Customer Group

4. Market Share

F. Support Material

G. Marketing "P's" (Write what you are doing about each of these items.)

1. Perception

2. Pitch

3. Packaging

4. Price

5. Promotion

6. Promises

7. Piggybacking

8. Positioning

9. Placement

10. Premiums

11. Publicity

12. Perserverence

H. Profit maximizers and enhancers

1. What possible adjustments could make this business more profitable?

VIII Operational Plan

A. Description of operations: overview

1. Definition

2. Mission

3. Productivity

B. Sources of Materials & Services

C. Description of the Process that delivers the Products to the Customer

1. Stages

2. Prioritized goals/objectives

D. Operations Decisionmaking

1. Break even analysis

2. Decision trees

3. Statistical methods

E. Forecasting

F. Operations Finance

1. Capital investment

2. Cash flows

3. Depreciation

4. Tax considerations

5. Payback

6. Present value

7. IRR

G. Facility location

1. Factors effecting selection

2. Decision process

H. Facility layout

1. Design and system capacity.

2. Computation of equipment requirements

3. Layout determinants

I. Product design

J. Job design and work measurement

K. Aggregate planning and master schedule

L. Materials management

M. Inventory control

N. Material requirements planning

O. Operations scheduling and control

P. Operations analysis and maintenance

Q. Product management

R. Quality control

S. Protections

1. Type of Protection

2. Impact of Protection

3. Documentation

IX Management and Organization

A. Management Team/Principals (with tailored resume's)1

1. Founding Entrepreneurs

x

2. Active Investors

x

3. Key Employees

x

4. Directors

x

5. Key Consultants

x

B. Organizational Chart

C. Policy and Strategy

1. Timing

2. Selection

3. Compensation

D. Organizational Finance

1. Payroll

2. Incentives

3. Stock Options

X Major Milestones

Major events, such as financing commitments, prototype development, market testing, initiation of production, sales, and promotion, break even, and expansion.

XII Structure and Capitalization

A. Structure

1. Legal Form

2. Capital Options

a. Term Loans

b. Line of Credit

c. Covertible Bond

d. Bond issued with a stock warrant

e. Preferred Stock

f. Cumulative Preferred Stock

g. Convertible Preferred Stock

h. Common Stock

B. Structure of the Deal

x

C. Capital Requirements

1. Tangible Assets

2. Working & Contingent Capital

3. Consistency with overall plan

4. Sources

a. Introductions

b. Selectivity

c. Flexibility

XIII Financial Plan

A. Notes and Assumptions

B. Projected Income Statements

C. Projected Cash Flow Statement

D. Current Balance Sheet

E. Break-even Analysis

F. Financial Ratios & Statistics

1. Liquidity Ratios

2. Asset Management Ratios

1. Debt Ratios

2. Margin profile

3. Valuation table

XIV Appendices

Here is placed the written or printed evidence of risk reducing matters.