Business Plan
ABC Business
Prepared July 2014
CONTENTS
Contents.............................................................................................................................................................................. 1
Business plan summary ..................................................................................................................................................... 3
Business snapshot ............................................................................................................................................................... 4
Business details................................................................................................................................................................. 4
Mission Statement........................................................................................................................................................... 4
Vision, goals and objectives ....................................................................................................................................... 4
1.
Overview .................................................................................................................................................................... 5
BACKGROUND................................................................................................................................................................ 5
Purpose of the business plan ....................................................................................................................... 5
When and why the business started ....................................................................................................... 5
What’s changed since the business has started / purchased? .................................................... 5
Key milestones ..................................................................................................................................................... 5
STRUCTURE AND RESOURCES................................................................................................................................. 6
Management & ownership .......................................................................................................................... 6
Organisational structure ................................................................................................................................. 6
Key personnel ...................................................................................................................................................... 7
Key Advisors ......................................................................................................................................................... 7
2.
Marketing ................................................................................................................................................................... 9
Products / services.......................................................................................................................................................... 9
Market position ................................................................................................................................................... 9
S.W.O.T. analysis and strategies .............................................................................................................................10
Customer profiles ..........................................................................................................................................................11
Competitor analysis......................................................................................................................................................12
Customer strategy ........................................................................................................................................................15
Customer acquisition .....................................................................................................................................15
Customer feedback.........................................................................................................................................15
Promotional plan ..........................................................................................................................................................15
3.
Operating Plan...................................................................................................................................................... 16
Products and Services offered .................................................................................................................................16
Pricing ...................................................................................................................................................................16
Payment ...............................................................................................................................................................16
Distribution .........................................................................................................................................................16
Future Growth..................................................................................................................................................16
Key suppliers and industry partners ........................................................................................................16
Premises ............................................................................................................................................................................16
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Assets and equipment ................................................................................................................................................17
Stock and inventory .....................................................................................................................................................17
Intellectual property .....................................................................................................................................................17
business resources........................................................................................................................................................18
People ...................................................................................................................................................................18
Required staff .....................................................................................................................................................18
Financial resources..........................................................................................................................................18
Data and customer information ...............................................................................................................19
Risk management .........................................................................................................................................................20
Risk assessment .................................................................................................................................................20
Business continuity planning .....................................................................................................................20
Succession planning.......................................................................................................................................20
Insurance .............................................................................................................................................................20
Legal considerations ......................................................................................................................................21
4.
The Finances .......................................................................................................................................................... 23
Current financial position ..........................................................................................................................................23
Sales / revenue forecasts ...........................................................................................................................................23
Financial forecast ..........................................................................................................................................................23
Start-up costs for [YEAR] ...............................................................................................................................24
Balance sheet forecast...................................................................................................................................25
Profit and loss forecast ...................................................................................................................................26
Expected cash flow .........................................................................................................................................27
Break-even analysis .........................................................................................................................................28
5.
Business goals and objectives.......................................................................................................................... 29
Business goals for this year .......................................................................................................................................29
5 year plan .......................................................................................................................................................................29
Action plans.....................................................................................................................................................................30
Top 3 in 3 months ...........................................................................................................................................30
Top 3 in 6 months ...........................................................................................................................................30
Top 3 in 12 months ........................................................................................................................................30
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Business plan summary
This is also referred to as the Executive Summary and should always be prepared last.
Your business summary should be no longer than a page and should focus on why your business
is going to be successful.
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Business snapshot
BUSINESS DETAILS
Business name:
Trading name(s):
Date registered:
Business structure: [Sole trader, partnership, trust, company.]
ABN: [Registered Australian Business Number.]
ACN: [Registered Australian Company Number, if applicable.]
GST: [Are you registered for Goods and Services Tax? Date registered?]
Domain names: [Registered domain names.]
Licences & permits: [List all the licences or permits you have registered]
Products/services: [What products/services are you selling? What is the anticipated demand for
your products/services?]
MISSION STATEMENT
Your mission statement should articulate why you exist, what is your purpose?
It needs to be clear to owners, employees and clients. It should be short, clear and powerful.
VISION, GOALS AND OBJECTIVES
Your vision is about where you want to be or where you want to go. It goes with your goals and
objectives as they describe how you are going to go about achieving your vision.
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1. Overview
BACKGROUND
Purpose of the business plan
Outline why you are writing this plan, how you intend to use it, who you intend to share it with
and how often you will update it.
When and why the business started
What opportunity or opportunities did you identify?
What’s changed since the business has started / purchased?
Have you changed the structure, direction focus, services, clients etc??
Key milestones
Any key achievements to date?
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STRUCTURE AND RESOURCES
Management & ownership
Details of ownership and role
Name
in the business
Experience
Organisational structure
Describe the structure of your business, including the number of employees, the management
team, and any directors or owners who are involved on a day to day basis.
Insert an organisational chart if relevant.
Example Organisation Chart.
Page | 6
Key personnel
Current staff (key personnel are sufficient here – think about who contributes to the success of your
business and you would struggle to replace, not only their general skills and knowledge, but
knowledge specific to your business. Include any relevant qualifications they hold.
[List your current staff in the table below.]
Training or
Name
Role
Skills/attributes
development required
Key Advisors
Who do you rely on for advice? Eg accountants, lawyers, financial planners, HR etc
Type of advice sought or role
Name
Company
they play
Page | 7
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2. Marketing
PRODUCTS / SERVICES
Product/Service
Description
Price
[Product/service
[Brief product/service description]
[Price including GST]
name]
Market position
Where do your products/services fit in the market? Are they high-end, competitive or budget? How
does this compare to your competitors?
Unique selling proposition
What makes your product unique compared to others in the market. How will your
products/services succeed in the market where others may have failed? What gives your
products/services the edge?
Anticipated demand: What is the anticipated quantity of products/services your customers are likely
to purchase? For example, how much will an individual customer buy in 6 months or 12 months?
Pricing strategy: Do you have a particular pricing strategy? Why have you chosen this strategy?
Value to customer: How do your customers view your products/services? Are they a necessity,
luxury or something in between?
Growth potential: What is the anticipated percentage growth of the product in the future? What
will drive this growth?
Page | 9
S.W.O.T. ANALYSIS AND STRATEGIES
OUR STRENGTHS (internal factors)
WHAT ACTIONs CAN WE TAKE TO MAXIMISE?
OUR WEAKNESSES (internal factors)
WHAT ACTIONS CAN WE TAKE TO MINIMISE?
MARKET OPPORTUNITIES (external factors)
WHAT ACTIONs CAN WE TAKE TO MAXIMISE?
EXTERNAL THREATS (external factors)
WHAT ACTIONS CAN WE TAKE TO MINIMISE?
Page | 10
CUSTOMER PROFILES
Describe your target markets for each product or service that you offer.
Who are your ideal customers, describe them. Age, gender, lifestyle, where do they live, what do
they do etc..
What’s most important to them when they are buying what you are selling?
How can you influence them during the buying process?
What will trigger them to think of you?
Page | 11
COMPETITOR ANALYSIS
Business No 1
Business No 2
Business no 3
Major customers
Customer perception
Pricing policy
Product /service range
Product service quality
Customer loyalty
Brand recognition
Length of time in business
Page | 12
Business No 1
Business No 2
Business no 3
Alliances
Premises / location
Plant and technology
Manufacturer, wholesale,
design service, retail
Number of employees
Advertising
Customer service
Sales tactics
Page | 13
Reviewing the above list, identify at least 2 strengths and 2 weaknesses for each competitor and
what actions can you take to either minimise the strength or maximise the weakness.
Name of Competitor
WHAT ARE THEIR
WHAT ARE THEIR
STRENGTHS?
WEAKNESSES?
WHAT ACTION CAN WE TAKE?
Name of Competitor
WHAT ARE THEIR
WHAT ARE THEIR
STRENGTHS?
WEAKNESSES?
WHAT ACTION CAN WE TAKE?
Name of Competitor
WHAT ARE THEIR
WHAT ARE THEIR
STRENGTHS?
WEAKNESSES?
WHAT ACTION CAN WE TAKE?
Page | 14
CUSTOMER STRATEGY
Is your customer service model cost effective? How do you retain your most profitable customers?
How do you manage or move customers you would prefer not to keep?
Customer acquisition
How do you acquire new customers? How many do you expect to acquire each year over the next
three years? Be specific and realistic.
Customer feedback
How do you check that you are delivering what your customers want? How often do you survey
and test market needs and wants?
PROMOTIONAL PLAN
Insert your promotional plan.
Page | 15
3. Operating Plan
PRODUCTS AND SERVICES OFFERED
Pricing
What is your pricing strategy? When do you review prices? How do you ensure your pricing is
profitable? Are your customers price sensitive?
Payment
What are your payment terms for clients? What strategies, processes, or systems do you have in
place to facilitate this? Do you have any bad debts and how do you manage this? Are you
payments terms clear to your clients?
Distribution
Do you sell direct? Do you sell through a wholesaler? Do you have relationships with others to gain
referrals? How do you clients find you?
Future Growth
How will you grow your business? What new or enhances products or services do you plan to
offer? Do you wait for others in the industry to move first on new products or are you a leader?
Key suppliers and industry partners
Which suppliers or partners are critical to your business? What impact would it have without these
connections or relationships?
PREMISES
What premises does your business use, own or lease? Do you anticipate having to move or expand
at some stage? If so, why, when and how will you do this?
Premises
Purchase / lease date
Price
Lease / finance rates,
conditions, options
Page | 16
ASSETS AND EQUIPMENT
Asset
Purchase /
Price
lease date
Lease / finance Current usage
Anticipated
rates,
replacement
conditions,
level
date
options
STOCK AND INVENTORY
What is your production capacity and what do you currently produce? What is your stock
turnover? How do you store inventory and what does this cost? What are your future volume
predictions?
INTELLECTUAL PROPERTY
How do you protect your intellectual property such as copyrights, licenses and patents?
Page | 17
BUSINESS RESOURCES
People
Do your employees have the right skills to help you meet your objectives? If not, how will you help
them develop? If they do, what will you do to retain them?
Staff member
Areas for development or cross
How will they be developed or
skilling
retained?
Required staff
Will you need any additional staff in the next period?
Job Title
Skills necessary
Date required
Financial resources
Do you have the financial resources to meet your objectives or take advantage of opportunities?
What facilities do you have in place for this?
Facility
Provider
Approved limits of
Current usage /
current balance
balance
Conditions
Page | 18
Data and customer information
How do you collect, store and use customer and stock information? What security measures do
you take to back up and secure and how often is this done?
Are you ensuring you are following the Privacy Act when dealing with client’s information?
Page | 19
RISK MANAGEMENT
Risk assessment
What risks does your business face?
Risk
Chance of happening
Impact if occurs (High,
How would it be
(High, Medium, Low)
Medium, Low)
managed?
Business continuity planning
If something happened to a critical part of your business – what would you do to ensure your
business continues to operate? How would you contact customers and staff, do you have a formal
plan for this?
Succession planning
If something happened to you or a key person in your business, what would you do?
Who would take over in the short term, and in the long term? How would you manage this
process?
Insurance
This includes but is not limited to the following:
Workers compensation, Public liability insurance, Professional indemnity, Product liability, Business
assets, Business revenue
Cover provided,
terms and
Insurance policy
Provider
conditions
Last reviewed
Renewal date
Page | 20
Legal considerations
List the legislation which will have some impact on the running of your business. For example:
consumer law, business law, or specific legislation to your industry.
Page | 21
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4. The Finances
CURRENT FINANCIAL POSITION
Snapshot of current financial positions
SALES / REVENUE FORECASTS
List your current products / services and sales targets based on your current plans.
FINANCIAL FORECAST
Please see below for financial planning documents to insert.
Note: Include details of any assumptions you have made in preparation of the financial information
or sales forecasts.
Page | 23
Start-up costs for [YEAR]
[Double-click the table below to enter your details or attach your own start up costing sheet at the
back of this business plan.]
START-UP COSTS
Registrations
Business name
Licences
Permits
Domain names
Trade marks/designs/patents
Vehicle registration
More…
Membership fees
Accountant fees
Solicitor fees
Rental lease cost (Rent advance/deposit)
Utility connections & bonds (Electricity, gas, water)
Phone connection
Internet connection
Computer software
Training
Wages
Stock/raw materials
Insurance
Building & contents
Vehicle
Public liability
Professional indemnity
Product liability
Workers compensation
Business assets
Business revenue
Printing
Stationery & office supplies
Marketing & advertising
More…
Total start-up costs
Cost ($)
EQUIPMENT/CAPITAL COSTS
Cost ($)
Business purchase price
Franchise fees
Start-up capital
Plant & equipment
Vehicles
Computer equipment
Computer software
Phones
Fax machine
More…
Security system
Office equipment
Furniture
Shop fitout
More…
$0 Total equipment/capital costs
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$0
Balance sheet forecast
[Double-click the table below to enter your details or attach your own profit & loss sheet at the back
of this business plan]
BALANCE SHEET FORECAST
Current assets
Cash
Petty cash
Inventory
Pre-paid expenses
Fixed assets
Leasehold
Property & land
Renovations/improvements
Furniture & fitout
Vehicles
Equipment/tools
Computer equipment
More…
Total assets
Current/short-term liabilities
Credit cards payable
Accounts payable
Interest payable
Accrued wages
Income tax
More…
Long-term liabilities
Loans
More…
Total liabilities
NET ASSETS
[Year 1]
[Year 2]
[Year 3]
$0
$0
$0
$0
$0
$0
$0
$0
$0
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Profit and loss forecast
[Double-click the table below to enter your details or attach your own profit & loss sheet at the back
of this business plan]
PROFIT & LOSS FORECAST
[Year 1]
[Year 2]
[Year 3]
Sales
less cost of goods sold
More…
Gross profit/net sales
$0
$0
$0
Total expenses
$0
$0
$0
NET PROFIT
$0
$0
$0
Expenses
Accountant fees
Advertising & marketing
Bank fees & charges
Bank interest
Credit card fees
Utilities (electricity, gas, water)
Telephone
Lease/loan payments
Rent & rates
Motor vehicle expenses
Repairs & maintenance
Stationery & printing
Insurance
Superannuation
Income tax
Wages (including PAYG)
More…
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Expected cash flow
[Double-click the table below to enter your details or attach your own profit & loss sheet at the back
of this business plan]
EXPECTED CASHFLOW
[YEAR]
OPENING BALANCE
Cash incoming
Sales
Asset sales
Debtor receipts
Other income
Total incoming
Jan
Feb
Mar
Apr
May
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Utilities (electricity, gas, water)
Telephone
Lease/loan payments
Rent & rates
Motor vehicle expenses
Repairs & maintenance
Stationery & printing
Membership & affiliation fees
Licensing
Insurance
Superannuation
Income tax
Wages (including PAYG)
More…
Total outgoing
$0
$0
$0
$0
$0
Monthly cash balance
CLOSING BALANCE
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Cash outgoing
Purchases (Stock etc)
Accountant fees
Solicitor fees
Advertising & marketing
Bank fees & charges
Interest paid
Credit card fees
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Break-even analysis
[Double-click the table below to enter your details or attach your own table. Refer to the Business
BREAK-EVEN CALCULATOR
Timeframe (e.g. monthly/yearly)
Average price of each product/service sold
Average cost of each product/service to make/deliver
Fixed costs for the month/year
Percentage of price that is profit
Total sales needed to break-even
Number of units sold needed to break-even
#DIV/0!
#DIV/0!
#DIV/0!
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5. Business goals and objectives
BUSINESS GOALS FOR THIS YEAR
Goal
Actions required
Complete by
Who is responsible
Actions required
Complete by
Who is responsible
5 YEAR PLAN
Goal
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ACTION PLANS
Top 3 in 3 months
Action item
Complete by
Person responsible
Complete by
Person responsible
Complete by
Person responsible
Top 3 in 6 months
Action item
Top 3 in 12 months
Action item
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