Business Plan Preparation Frank Moyes Leeds School of Business

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Transcript Business Plan Preparation Frank Moyes Leeds School of Business

Business Plan Preparation

Frank Moyes Leeds School of Business University of Colorado Boulder, Colorado Framework for the Business Plan 1

Tonight’s Agenda  Present concepts & select teams  Review Writing a Successful Business Plan  Research - i mportance of validation  Team meetings Framework for the Business Plan 2

Team Dynamics  All team members must meet at least once per week to review progress and create plan  Set time and place for weekly meeting  Assign responsibility for assignments  Set completion dates Framework for the Business Plan 3

Process When One Team Member Not Pulling Weight 1.

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Team meets for frank discussion of what is the problem & decides how to resolve it Team brings problem to Instructor who will make suggestions on how to resolve Instructor meets with entire team to try to resolve Instructor meets with team member who is the cause of the problem and tries to resolve Team fires team member Framework for the Business Plan 4

Market Research  Primary   Interviews - talk to people Customer surveys – talk to customers  Secondary – research market & industry Framework for the Business Plan 5

Interviews   Each team member talk to 5 people  Complete Call Reports (must be typed) Remember 2 questions must ask at the end  What question haven’t I asked that I should?

 Who else should I talk to?

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Customer Surveys  Do customers recognize that they need your product/service?

 Are features compelling?

 Criteria for buying decisions? Who influences the decision?

 How much will they pay?

 Why would they not buy?

 Do they understand the benefits?

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Secondary Research  Market is  Big enough & growing  Positive trends  You can enter  Understand competition  Competitive environment favorable to new entries Framework for the Business Plan 8

Market Research - Conclusion  Validation of your venture  There is good market  You can compete  Evidence that customer  Needs the product/service  Will buy it Framework for the Business Plan 9

Business Plan Elements           Executive Summary Product or Service Description Market & Industry Analysis Marketing Plan Operations Plan Development Plan Management Competitive Advantage Financial Projections Offering, Funding, Valuation Framework for the Business Plan 10

Business Plan Elements  Executive Summary 

Last to be written

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Business Plan Elements 

Product/Service Description

Features and Benefits

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Business Plan Elements 

Market & Industry Analysis

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Segments Size and Trends Competition

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Business Plan Elements 

Marketing Plan

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Target Customer Positioning Pricing Advertising & Promotion Distribution Sales

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Business Plan Elements 

Operations Plan

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Scope of Operations On-going Operations

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Business Plan Elements 

Development Plan

Key Milestones

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Business Plan Elements 

Management

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Organization Team

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Business Plan Elements 

Competitive Advantage

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Sustainable

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Business Plan Elements 

Financial Projections

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Income Statement Balance Sheet Cash Flow Risks

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Business Plan Elements 

Offering, Funding & Valuation

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Valuation of Business Request for Funding

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Next Week  MARKET & INDUSTRY ANALYSIS   Opportunity/Need Segmentation   Value Chain Financial COMP’s    COMPETITIVE ADVANTAGE Hand-in Interview list – 20 names Gene Hayworth – Leeds School librarian  No review of business plan examples Framework for the Business Plan 21