5 Elements of a Business Plan

A good business plan provides you with a road map or blue print for growing and developing your business at various stages. Your business plan should have at least 5 major components, though some have 6 or 7.

Executive Summary

The first section of a business plan is the executive summary which provides a complete history and overview of your company. Elaborate on your vision and why you think your business will be successful.

Market Analysis

This section should provide an analysis of the industry and market. You should identify and analyze potential competitors as well as information about your target market.

Company Description

Describe your business in complete detail, including all of the various components. Include intangible items that will contribute to the success of your business. Describe how your products and services will satisfy the marketplace.

Organization/Management

Use this section to list your attributes, including your degrees and experience, as well as those of your management team. Give a breakdown of who will handle what functions and duties within the business.

Marketing/Sales

This section should outline how you plan on acquiring customers with your market strategy. Explain the make-up of your sales force and how they will function and operate.

Other Sections

Depending on the situation, you may want to add a funding request section and a section outlining historical financial information.

References

• Writing a Business Plan