[Company Name]

[Company Logo]

BUSINESS PLAN

[Date Created]

This Business Plan Template created by The SMB Guide.

Table of Contents

EXECUTIVE SUMMARY--------------------------------------------------------------------------------------------------------- 4

PRODUCT OR SERVICE---------------------------------------------------------------------------------------------------------------- 4
POTENTIAL CUSTOMERS--------------------------------------------------------------------------------------------------------------4
COMPANY OWNERSHIP---------------------------------------------------------------------------------------------------------------4
COMPANY FUTURE AND PROJECTIONS----------------------------------------------------------------------------------------------4
FINANCING NEEDED-------------------------------------------------------------------------------------------------------------------4

COMPANY DESCRIPTION------------------------------------------------------------------------------------------------------ 4

COMPANY PHILOSOPHY--------------------------------------------------------------------------------------------------------------5
COMPANY GOALS AND OBJECTIVES-------------------------------------------------------------------------------------------------5
TARGET MARKET----------------------------------------------------------------------------------------------------------------------5
COMPETITORS-------------------------------------------------------------------------------------------------------------------------5
ACHIEVEMENTS TO DATE-------------------------------------------------------------------------------------------------------------6

PRODUCTS AND SERVICES----------------------------------------------------------------------------------------------------- 6

CORE PRODUCT OR SERVICE---------------------------------------------------------------------------------------------------------6

PRICING--------------------------------------------------------------------------------------------------------------------------------6

MARKETING PLAN--------------------------------------------------------------------------------------------------------------- 6

TARGET MARKET RESEARCH---------------------------------------------------------------------------------------------------------6

SWOT ANALYSIS--------------------------------------------------------------------------------------------------------------------- 6
MARKETING STRATEGY---------------------------------------------------------------------------------------------------------------7
MARKETING CHANNELS TO BE USED------------------------------------------------------------------------------------------------7
MARKETING BUDGET-----------------------------------------------------------------------------------------------------------------7

OPERATIONAL PLAN------------------------------------------------------------------------------------------------------------ 7

PREMISES REQUIREMENTS----------------------------------------------------------------------------------------------------------- 7
LEGAL AND ACCOUNTING REQUIREMENTS------------------------------------------------------------------------------------------8
PERSONNEL REQUIREMENTS---------------------------------------------------------------------------------------------------------8
INVENTORY MANAGEMENT----------------------------------------------------------------------------------------------------------8
EQUIPMENT AND TECHNOLOGY NEEDS---------------------------------------------------------------------------------------------8
LOGISTICS AND DISTRIBUTION-------------------------------------------------------------------------------------------------------8
SUPPLIERS------------------------------------------------------------------------------------------------------------------------------9
CREDIT POLICIES-----------------------------------------------------------------------------------------------------------------------9

This Business Plan Template created by The SMB Guide.

MANAGEMENT------------------------------------------------------------------------------------------------------------------- 9

FOUNDERS AND EXECUTIVE TEAM---------------------------------------------------------------------------------------------------9

OWNERS AND SHAREHOLDERS-------------------------------------------------------------------------------------------------------9
BOARD OF DIRECTORS--------------------------------------------------------------------------------------------------------------10
ADVISORS AND CONSULTANTS-----------------------------------------------------------------------------------------------------10

FINANCIAL PLAN--------------------------------------------------------------------------------------------------------------- 10

CURRENT BALANCE SHEET----------------------------------------------------------------------------------------------------------10

FINANCIAL PROJECTIONS FOR 12 MONTHS---------------------------------------------------------------------------------------10
BREAK-EVEN ANALYSIS--------------------------------------------------------------------------------------------------------------11
FINANCING NEEDED-----------------------------------------------------------------------------------------------------------------11

APPENDICES--------------------------------------------------------------------------------------------------------------------- 11

This Business Plan Template created by The SMB Guide.

EXECUTIVE SUMMARY
Your executive summary should briefly explain the purpose of your business. The rest of
the business plan will go into great detail, but the summary should give readers a quick idea
of why you are form the business and what it will do. This can be accomplished in just a few
paragraphs. You may even want to break your summary into sub-sections, like the ones
below.

Product or Service
Here you can explain the primary products/services your business will offer. Even though
other businesses may already be offering the same products or services in your area, you
should be able to articulate why yours will be unique or superior.

Potential Customers
Generally, businesses target a certain demographic that aligns with their speciality. For
example, if you are starting a luxury beauty salon in a busy metropolitan area, your potential
customers will likely be female professionals that range in age from 20 to 50.

Company Ownership
Investors will be very curious about who is at the helm of your business. Include a name
and brief bio for each owner. The bio should include details that help to show why he/she is
a good fit for the business.

Your company ownership section can also include a breakdown of ownership – i.e. How
much will be owned by the founders, how much will belong to private investors, etc.

Company Future and Projections

Briefly mention long term plans and anticipated benchmarks for the business.

Financing Needed
More financial details will be provided in the financial section, but for the purposes of your
executive summary you can briefly state what funds are needed to open your business. If
you are using your business plan as supporting documentation for a business loan
application, a quick explanation of the purpose of the loan can be helpful.

COMPANY DESCRIPTION
Mission Statement
Your mission statement should explain in just one or two sentences what the mission of
your company is. For example:

“To inspire and nurture the human spirit – one person, one cup and one neighborhood at a
time.”

This Business Plan Template created by The SMB Guide.

 - Starbucks

Company Philosophy
A company philosophy is a statement or set of statements that highlights your guiding
principles. For example, here is Google’s company philosophy:

1. Focus on the user and all else will follow

2. It’s best to do one thing really, really well
3. Fast is better than slow
4. Democracy on the web works
5. You don’t need to be at your desk to need an answer
6. You can make money without doing evil
7. There’s always more information out there
8. The need for information crosses all borders
9. You can be serious without a suit
10. Great just isn’t good enough

Company Goals and Objectives

List your primary goals and objectives. These may include annual revenue targets, a certain
number of customers, etc. Include any numbers that can be used later as a metric for your
success.

Founders, Formation History and Legal Entity

Share information about the founders of the business, including their professional
backgrounds. You can also write up a brief history of the business if it is already in
operation, or explain what led to the formation of the business.

By the time you write your business plan, you should have created a legal entity for your
business. Explain if this is a sole proprietorship, LLC, corporation or partnership and include
additional details like the legal name.

If your company has already earned profits, include a brief statement of earnings by quarter
or year.

Target Market
Your business may appeal to a wide range of people, but you need to define a target
market – a group of people that is most likely to be interested in your product or service
based on their age, interests, occupations, etc. Defining the target market will help you to
create a purposeful marketing strategy that maximizes your budget.

Competitors
Describe your competitors in both general and specific terms. First, explain what kinds of
businesses will be in direct competition with yours. Second, make note of any specific
businesses in your region that are likely to compete for the attention of your customers.

Finally, describe your business’s competitive advantage and how your plan to maintain an
edge over the competition.

This Business Plan Template created by The SMB Guide.

Achievements to Date
This is your opportunity to list company accomplishments, such as sales records, business
awards, major acquisitions, etc. These can be listed in point form and will help to bolster
your pitch to investors.

PRODUCTS AND SERVICES

Core Product or Service
Use several paragraphs to explain your product or service. This explanation should include
why your business is uniquely positioned to make this offering. You can speak in broad
terms, and even define the manner in which your product or service will be delivered to
customers.

Pricing
Outline your pricing structure by listing rates for services or prices for items. You should
also explain your pricing model by defining the difference between your costs and your
markup.

MARKETING PLAN
Target Market Research
Whether you’ve hired a consultant to research your target market for you, or you are doing
the research yourself, you should summarize your findings here. Include relevant statistics
that further elucidate the need for a business like yours.

SWOT Analysis
Strengths Weaknesses

This Business Plan Template created by The SMB Guide.

 Opportunities Threats

Marketing Strategy
Summarize your marketing strategy by saying something like, “The elements of our
marketing strategy are, (1) Build business relationships, (2)….”

You can go into more detail in this section if necessary, but the purpose is to communicate
your overall strategy in general terms.

Marketing Channels to be Used

It is important to define what marketing channels your business will use to reach customers.
A marketing channel is a point of distribution that allows you to introduce more people to
your business. Possible marketing channels include:

 Social media (Twitter, Facebook, Instagram, etc.)

 Company Website
 Email Marketing
 Search Engine Optimization
 Pay-Per-Click Advertising

Marketing Budget
Here you can declare a total dollar value that will be budgeted for all of your marketing
efforts in the first year. You can also share a marketing budget spreadsheet that shows how
the money will be divided.

Use our template to get started.

OPERATIONAL PLAN
Premises Requirements

Square Footage

This Business Plan Template created by The SMB Guide.

 Location (urban, suburban, industrial)

Parking Spaces

Heating/Cooling

Zoning

Other Features

Legal and Accounting Requirements

Personnel Requirements
Make a comprehensive list of all of the employees that you will need to hire to operate your
business, including managers.

Inventory Management
Explain how you will manage your inventory, whether you plan on having a manual method
in place or you will be using inventory management software. This section may include
details about the frequency of new orders, how you plan to move old inventory, and policies
for inventory documentation.

Less information will be needed if your business offers a service rather than a product.

Equipment and Technology Needs

Item Description Price

Total $

Logistics and Distribution

This section is applicable if you are selling goods that need to be distributed to retail
locations, or directly to customers. You should answer questions like:

 Will you use a wholesaler?

 Will you work exclusively with one courier or several?

This Business Plan Template created by The SMB Guide.

  How big will your distribution area be? (local, regional, national, international)
 How much will distribution cost?

Suppliers
Every business needs to work with suppliers in order to buy the raw materials for their
product, purchase new inventory, or buy items/equipment that will allow them to perform a
service.

If you have secured contractual agreements with suppliers, you can make brief mention of
this and even include them with your supporting documentation if investors and or lenders
ask for them.

Credit Policies
Your credit policy defines your company’s limits for accepting payments on goods sold or
services rendered. In other words, the policy stipulates how long payees have before you
start charging interest, and what the interest rate will be.

MANAGEMENT
Founders and Executive Team
List the founders of your business and provide a brief biography for each one. You should
also include a list of people on your executive team. You can visualize your executive team
using a diagram like the one below. The titles and organization of the hierarchy can be
modified to reflect the structure of your business.

CEO

CFO COO

VP VP VP VP
Owners and Shareholders
If you have not done so already, list all of the business owners and current shareholders,
including what percentage of the company they own.

Board of Directors

This Business Plan Template created by The SMB Guide.

If your company has formed a Board of Directors, list their names and titles.

Management
Your executive team oversees the big picture of your company operations, but the next tier
of personnel, management, is involved in the day to day operations of the company and the
management of all employees.

List the names and titles of each of your managers. If possible, include a brief description of
what their role will be and why they are qualified for it.

If you have not yet hired managers, describe the type of people you are looking for and
what roles they need to fill.

Advisors and Consultants

Many early-stage businesses hire advisors and consultants to help them enter the market
successfully. If your business is working with an advisor or consultant in any capacity, make
a note of who they are and why they have been brought on board. Professional expertise
from a third party signals to investors that you are doing your due diligence and planning
carefully in order to meet your goals.

FINANCIAL PLAN
Current Balance Sheet
A balance sheet lists all of the company’s current assets and liabilities.

Use our balance sheet template to create your own balance sheet.

Financial Projections for 12 Months

There is no way to know for sure where your business will be in 12 months, but you can
make some financial projections based on a set of assumptions. This is often done by using
a Pro Forma Profit and Loss Statement. This is the same as a regular Profit and Loss
Statement, except for the fact that it is a projection instead of an analysis from a prior fiscal
period.

Use our Pro Forma Profit and Loss Statement template to create a spreadsheet that details
your financial projections.

Cash Flow Budget for One Year

A spreadsheet that outlines your cash flow budget will help you to establish reasonable
spending limits.

Use our Cash Flow Budget template to get started.

Break-even Analysis
A break-even analysis uses a simple formula to reveal the point at which your business will
cover all of its expenses and have a net profit or loss of $0.00.

This Business Plan Template created by The SMB Guide.

Use our break-even analysis template to find and visualize your break-even point.

Financing Needed
In order to summarize the financing that you need, what it is needed for, and how it will be
spent, you should have a Statement of Sources and Uses. This statement lists total dollar
amounts for each category in your budget, and corresponding sources for those dollar
values.

Use our template to create your own statement of sources and uses.

APPENDICES
Additional information can be included in the appendices if necessary, such as documents that
verify the contents of the business plan, or additional notes on any of the sections above.

This Business Plan Template created by The SMB Guide.