Tuesday, October 5, 2010

Business Plan

Entrepreneur business plan is knocking the door of investors, "stepping stone", a good business plan will often start to reach the multiplier effect.
Content of business plan
In general, the business plan should include the type of business, financial planning and fund sources, the proportion of total funds allocation, milestones, financial forecasts, marketing strategies, you may risk assessment, entrepreneurial motivation, shareholders, employees scheduled the specific content generally includes the following eleven areas:
 (A) cover
 Cover design should be aesthetic and artistic, a good cover will rise to the first impression the reader to form a good first impression.
 (B) scheme
It is the concentrated essence of a business plan.
 Scheme covers the main points of the plan in order to clear, so readers can review the plan within the shortest possible time and make judgments.
 Scheme generally include the following:
 Company;
 Managers and their organizations;
The main products and business scope;
 Market overview;
Marketing strategy;
 Marketing plan;
 Production management plan;
 Financial planning;
 Funding needs status.
Abstract should be as concise as possible, and vivid. In particular, note the difference between their own enterprises and enterprises to succeed in the market factors.
 (C) Company Profile
 The purpose of this section is not a description of the entire program, not to provide another overview, but to make a presentation to your company, so focus your company philosophy and how to develop the company's strategic objectives.
 (D) Industry Analysis
 Analysis in the industry, should properly evaluate the basic characteristics of the selected industry, competitive situation and future trends and so on.
Analysis of typical problems on the industry:
 (1) the level of development of the industry? Developments now how?
 (2) innovation and technological advancement in the industry how to play a role?
 (3) the industry's total sales numbers? How much revenue? What trend? (4) How the price trend?
(5) the impact of economic development in the industry How? Government is how to influence the industry?
 (6) What factors determine its development?
(7) What is the nature of competition? What you will take the strategy?
(8) into the industry's obstacles? How will you overcome them? The typical rate of return of the industry how much?
 (E) product (service) introduced
Products should include the following: product concept, performance and characteristics; principal product; product market competition; product research and development process; the development of new products, plans and cost analysis; products in the market forecast; product brand and patents.
 In the product (service) introduced the part of entrepreneurs to the product (service) to make detailed description, that must be accurate, but also easy to understand, so that professional investors can not understand. In general, the Products must be attached to the prototype, photos or other description.
(F) personnel and organizational structure
Production activities in the enterprise, there are human resource management, technology management, financial management, operations management, product management. And human resource management is a very important aspect.
 Because the social development today, people have become the most valuable resource, which is the initiative and creativity by the people decided. Enterprises to manage this resource, it is to follow the scientific principles and methods.
 In the business plan, key management personnel must be clear that they have the ability to introduce them in the functions and responsibilities of the enterprise, details of their past experience and background. In addition, in this part of the business plan, corporate structure should also give a brief introduction, including: the company's organizational chart; functions and responsibilities of various departments; the department head and principal members; the company's compensation system; the company's shareholders list, including stock options, proportion and privileges; the company's board members; that the Directors of the background information.
 Experience and past success is more convincing than the degree. If you are going to leave a particularly important position in an inexperienced person, you have to give a good reason.
 (Vii) market forecast
 Should include the following:
 1, demand forecasting;
2, Summary of Market Forecast market situation;
3 Overview of competitors;
 4, target customers and target markets;
5, the status of enterprise products in the market.
(Viii) marketing strategy
A wrong understanding of the market is the business failure of one of the major.
 In the business plan, marketing strategy should include the following:
(1) market institutions and marketing channels of choice;
(2) marketing team and management;
(3) marketing plans and advertising strategies;
 (4) pricing decisions.
(I) manufacturing plans
Manufacturing business plan plan should include the following:
 1, the status of manufacturing and technical equipment;
2, the new products into production plans;
3, technology upgrading and renewal of equipment requirements;
4, quality control and quality improvement programs.
 (J) Financial Planning
Financial planning generally include the following:
The focus is the cash flow statement, balance sheet and income statement preparation.
 Liquidity is the lifeblood of business, so companies in start-up or expand, the need for liquidity in advance detailed plans and carry out strict control of the process;
Income statement reflects the company's profitability, it is the operation of enterprises in the period of time after the results of operations; balance sheet reflects the business conditions at some point, investors can use the data in the balance sheet ratios to get measure of business operating conditions and the possible return on investment.
(Xi) risks and risk management
(1) your company in the market, competition and what are the basic technical aspects of the risk?
 (2) How are you going to deal with these risks?
(3) to your view, what is your company some kind of additional opportunities?
(4) How do you extend the capital base?
(5) in the best and the worst case, your five-year plan performance?
If your estimates are less accurate, you should estimate how much margin of error in the end. If possible, do your best and worst of the key parameters of the setting.

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