Company Description
Session 5-6
J0704-Business Plan
Give them the essence
If the customer, and the
customer alone, who cast
the vote that determine
how big any company
should be – Crawford H.
Greenewalt
J0704-Business Plan
After reading the executive summary,
reviewer are prepared to get more
comprehensive description of your
company.
It’s the easiest part of business plan
J0704-Business Plan
The Major Segments of Company
Description
•Name and Business Concept
•Ownership and Legal
•Leadership and Location
•Geographic sales are
•Current status and milestone
J0704-Business Plan
Name and Business Concept
The business concept simply identifies the nature
of your business in the broadest sense and
includes these component :
–
–
–
–
Industry
Business Specialty
Target market
Major product or service line and important products
or service features
– Differentiation from competitors
– At least one long-range business goal
J0704-Business Plan
Ownership and Legal
If you haven’t decided on your form of
ownership, it’s important to be aware
of various types of ownership.
Type of ownership :
– Sole proprietorship
– Corporation
– Partneship
J0704-Business Plan
Ownership and Legal
Include this following information either in a table
or a narrative paragraph
• Legal name
• Type of vesting
• State of record of your vesting entity
• Municipality – city or country-where you have
your business license
• Identify of the owner or major shareholders by
name, title and percentage of ownership
• Intellectual property such as trademark, trade
name, patents or copyright
J0704-Business Plan
Leadership and Location
• State the name and
title of the main
operator of your
business
• Business address and
any branches
• Significant reasons
why your location is
beneficial to your
business
J0704-Business Plan
Leadership and Location
• Site selection
Key elements of site selection to consider are :
– Image of the facility or address or both
– Market proximity
– Traffic count
– Visibility
– Accessibility
– Cost effectiveness
– Interior and exterior space requirement
– Availability of utilities
– Potential for expansion
– Term of the purchase or lease
J0704-Business Plan
Leadership and Location
Some questions to answer for choosing the right market
area :
– Are there already competitive products or services in the area ?
Do they do well ?
– Are the potential products or services that are planning better ?
Are they competitively priced ? Would yours offer something new
or different to the area ?
– Was there ever a business with your products or services in the
area ?
– Are there already too many companies competing for the same
business in the area ?
– Are there any ideal locations for your products or services
available ?
J0704-Business Plan
Leadership and Location
Some questions to answer for choosing the right
market area :
– Is the purchase or lease price of a prospective facility
affordable ?
– Are there any restrictions imposed by local, state
governments ? How will you comply ?
– Is the population in your area changing ? Is
expanding or declining ?
– Are there any competitive business already in the
planning looking into this area ?
J0704-Business Plan
Geographic Sales Area
If you need to define your
area in terms of
boundaries, proximity to
support businesses and to
businesses with the same
customers, traffic flow, and
whatever advantages stand
out your particular area,
then include a description
of this
J0704-Business Plan
Current status and Milestone
• Current status and
milestones narrative
• Current status and
milestones chart
J0704-Business Plan