Transcript Writing a winning business plan

BUSINESS PLAN DESIGN:
DEVELOPING YOUR BLUE PRINT
OF SUCCESS Writing a winning
business plan
By
Angela Itambo Ihunweze
CEO of ANGELA ITAMBO COMPANY
(SPEAKER AND CONSULTANT ON ENTREPNEURIAL ISSUES)
080 33 28 04 53, 07088136059
[email protected]
www.angelaitambo.com
Outline
What is a business plan?
 How and what you need to put a business
plan together
 How to write a business plan for
presentation to investors
 What investors look for in business plan
 FYI
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What is a business plan?
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A written document that outlines all the
elements that will transform your idea into a
viable business venture with the aim of
achieving profit to all stakeholders
Yourself the promoter; alleviate poverty
Outside investors; create wealth
The economy; job creation as well as revenue
from taxes
The environment at large; curb social ills
What is a business plan?
Part 2
Uses of a business plan
 A tool for securing funding
 An internal document used to structure your
idea into a series of well coordinated actions
towards achieving your goals and business
objectives
 Forces you the entrepreneur to formalize your
vision and research to answer hard questions
about the company, its industry and the
competitive landscape
How and what you need to put a
business plan together
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A well thought out business concept
Data on the feasibility and specifics of your business concept
along this lines:The market
The personnel needed
The production/ service process and its machinery or equipment
The financials on how much all this will cost and standard turnover
and profit expected over a given period of time
Also required is an individual proficient in accounting to help put
the figures in a readable form. This could be an accountant or
business plan writer
How to write a business plan for
presentation to investors
Business plan is divided into four distinct
sections:1. Description of the business
2. Marketing
3. Management
4. Financial analysis
How to write a business plan for
presentation to investors Part 2
Typical business plan format:-
2
Executive Summary:-It is the most important section of
your business plan, it provides a concise overview of the
entire plan. It tells your reader where your company is
and where you want to take it.
The Company/ Business Profile:
3
The Market/ Industry/Strategies
4
Management structure
5
Financial analysis
1.
How to write a business plan for
presentation to investors Part 3
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Executive Summary:-It is the most important section of your business plan, it
provides a concise overview of the entire plan. It tells your reader where your
company is and where you want to take it. c
It should not be more than 4 pages
It is the last section written
It must cover the following areas at a minimum (say one paragraph each):
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Statement of purpose -- The objectives of the plan... (i.e., to raise money, act as a
policy guide, etc.)
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Company background
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The company's product or service
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Strategy overview – How the company will differentiate itself in the market
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The market potential -- Research findings
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Financial projections for at least 3 years into the future
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The qualifications of the management team
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Finance requirements – How much do you need and how you plan on spending
raised capital
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State in the summary why your business will succeed
How to write a business plan for
presentation to investors Part 3
The Company/ Business Profile; this section should contain
the following:-
the legal structure – Company, Partnership,
subsidiary, Holding company etc
 Explain
 Description
of the business concept
.
 Description
of the new business activities
 Description
of ownership
 Review
of any licenses, contracts, franchises or
patents with description of key conditions and terms
How to write a business plan for
presentation to investors Part 4
The Market/ Industry section: this is meant to illustrate your knowledge about the
particular industry your business is in. Sources for this information will essentially be
primary market information (DIY or contracted), secondary information, Interviews
with clients, competitors or customers/suppliers and to a lesser extent personal
experience. Below are what should be contained in this section:This should cover the following :
 Market size and growth projections
 Product life cycle
 Market seasonality or variation patterns
 Current market trends
 The competitors’ profile
 Industry value chain
 Market segmentation with buying behaviors of value expectations – Geographic,
demographic, income class, behavior patterns, target customers and customer
needs
 Strategy for entry into the market: is it cost differentiation , or price or quality
differentiation
How to write a business plan for
presentation to investors Part 5
The Management structure; this section addresses the
organizational structure, it will also seek to convey the
character of the management team and why they will
make a success of the business. The qualification of
your board of directors
This will include information such as:
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Names of key managers and their profiles, highlighting
relevant experience
 Key terms of management services agreements if any
 Technical partners if any and their profiles including years of
experience in similar ventures
 Key terms of technical services agreements
How to write a business plan for
presentation to investors Part 6
Financial analysis; this segment of the business plan reviews the economics
or viability of the project
This will include information such as:
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How much is required
Use of proceeds
Projected income statements
Projected Balance sheets
Projected Cash flow statements
Projections should cover a minimum three years
This information will generally draw upon the following information sources
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Discussions with the Promoter
Environmental factors e.g. exchange rate, inflation etc.
Basic understanding of accounting or the help of an accountant
Reasonable assumptions
How to write a business plan for
presentation to investors Part 7
Implementation Plans: Milestones to achieve
each set down plan according to order of
priority.
For those in need of funding; what
investors look for in business plan
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The ability to turn the idea into a real business.
This will be evident in when sales will start
coming in. Therefore the cash flow analysis will
be studied with a fine tooth brush
those on board in terms of management team,
and your experience to attract the right team to
run the business successfully
Potential for growth, the market and industry will
be studied to arrive at this conclusion
FYI
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The business plan should begin with a cover page to
tell the reader what he or she is about read and how to
reach the writer
30-50 pages should be ideal making to long risk the
chances of not been picked
Try and not make the mistake that your business has
no competition
Sources of help can be found on campuses, research
libraries, online, trade associations
Explain your business concept, be conservative with
projections, excite but don’t indulge in hyperbole.
Entice the reader to get involved
Angela Ihunweze’s dossier
CEO OF Angela Itambo Company services rendered are as follows
Business Advisory
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Business plan preparation
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Business counseling
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Business facilitation
Promotion
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Placement of Advertisement
Trade fair representation and advisory
Recruitment
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Recruitment notice
Selection
In house training
Training
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In house training on business management related issues. This year 2008, beginning from June
she will be organizing a seminar on Identifying and accessing business opportunities.
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Outsourced speaker on entrepreneurship
Angela Itambo’s profile
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List of some Clientele
 GBOYEGA OSHODI founder of MAGDIEL COOKIES
 LUKE OKWARA Publisher of SME INDUSTRY
 AWESOME ASSEMBLY OF The Redeemed Christian Church of God
 CHAPEL OF THE HEALING CROSS IDI ARABA
 STRONG TOWER of The Redeemed Christian Church of God
 OBINNA NWOKE of ESTATE PAINTS
 TOYE OGUNYEMI CEO of TREASURE PRINTS
 KANAYO NWOKEDINOBI CEO of PHOBICA CHEMICALS LIMITED
 SIR EMMA OKOLI Co founder PECO PRODUCTS (MAKERS OF FREE
LIFE SANITARY TOWEL/NEBY Aluminum Ltd
Angela Itambo Company,registered with the Corporate affairs commission of Nigeria
February 6th, 2004, and based in Lagos. It was founded by a graduate of business
management from the University of Calabar; also a post graduate degree holder in
the area of marketing, in person of Angela Itambo Ihuweze; a graduate of business
management from the University of Calabar; also a post graduate degree holder of
marketing. She is assisted by a team of experienced of renowned professionals in the
field of entrepreneurial development.