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State and explain the elements of a business plan.

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1. Executive Summary: Within the overall outline of the business plan, the
executive summary will follow the title page. The summary should tell the reader
what the business owners want. The statement should be kept short and
businesslike. It should be kept to a half of a page to one full-page depending on
how complicated the use of funds may be. Within that space you'll need to
provide a synopsis of your entire business plan.

2. Market Analysis: This section should illustrate your knowledge about the
particular industry your business is in. A market analysis forces the entrepreneur
to become familiar with all aspects of the market so that the target market can be
defined and the company can be positioned in order to collect its share of sales. A
market analysis also enables the entrepreneur to establish pricing, distribution and
marketing strategies that will allow the company to become profitable within a
competitive environment. In addition, it gives one an indication of the growth
potential within the industry, and this will allow the owner to develop own
estimates for the future. Begin your market analysis by defining the market in terms of size, structure, opportunities, growth prospects, trends and sales potential.

3. Company Description: This section should include a high level look at how the different elements of your business fit together. The company description should include information about the nature of your business as well as the crucial factors that you believe will make your business a success.

4. Organization and Management: This section includes your company's organizational structure, details about the ownership of your company, descriptions of your management team and qualifications of your panel of experts or board of directors.

5. Marketing and Sales Strategies: This is the lifeblood of your business. Marketing creates customers and customers generate sales. In this section, define your marketing strategies. Start with strategies, tactics and channels that you have used to create your greatest successes. Next, branch out to others that may be working for your competitors. Remember that this section will be constantly updated based on your results.

6. Service and/or Product Line: In this section describe your service and product. What is it that you are actually selling? Make sure to emphasize the benefits (not necessarily the features). Establish your unique selling proposition. This means you have to show not only how your product is different but also why it is better.

7. Funding Requirements: In this section state the amount of funding you will need to start or expand your business. Include best and worst case scenarios. Be realistic.

8. Financials: Develop the financials AFTER you have analyzed the market and set
clear objectives. You should include three to five years of historical data. You
should then make projections for revenue streams and profitability.

Kavungya answered the question on March 26, 2019 at 10:51

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State and explain the elements of a business plan.

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