- A small business plan is essential not only when presenting to venture capitalists, but also in helping a small business owner develop her business by identifying details needed to run it successfully. It clearly spells out the product or service offering, the market and competition. In addition, a business plan identifies goals, marketing strategies and operational plans. In essence, it acts as a blueprint for building a successful business.
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Small business plans typically include the following section titles and descriptive details:
1. Cover Page: include name, brand identity, version number and date that plan was prepared.
2. Table of Contents.
3. Executive Summary: include succinct snapshot of small business such as target market size, financial goals and funding (if needed).
4. Company summary: include company specific information such as goals and missions.
5. Market analysis: include industry analysis, target market and competition.
6. Product or service description: include product or service that will be offered to customers.
7. Marketing and sales plans: elaborate on marketing and sales strategy.
8. Operations and management plans: include inventory and fulfillment plans.
9. Financial plans: include projections and historical data.
10. Appendix: include any supporting documentation. - An important benefit of having a small business plan is that a business is more prepared to adjust one's strategy quickly to adjust to changes in the market or the addition of competition. Being able to review and rewrite business plan, coupled with research and analysis, a business can modify the current operational or marketing strategy.
- A well-developed small business plan should be about 20 to 30 pages upon completion. This assumes printing on one-sided paper with a 1-inch margin on all sides.
- A small business plan should be concise and well written. If writing is not your forte, consider hiring a professional with experience in developing small business plans or seek the advice of a seasoned mentor in your industry. This is particularly true if you are seeking funding for your business and need to present your business idea to banks and venture capitalists.
