Chapter 14 (Key elements of a business plan (Marketing plan (SWOT analysis…
Key elements of a business plan
An overview of the strategic plan (long term plan for the achievement of goals, the broad picture). Contains guiding beliefs and values for the business.
Profile of business
name, address and ABN
Describes how the business was set up or the amount of capital required to set up.
outlines the type of business, and summary of the curriculum vitae of each owner.
a summary of the industry that the business is working within, the location of the business and a competitor breakdown.
includes details of any of the businesses major clients or advisors.
Addresses; markets, employees, customers, entrepreneurship and innovation. Must be in relation to products or services.
outlines all the activities that must be undergone in order to meet the requirements of product, price, promotion and place.
Ares internal to the business that are an advantage and will assist the business to function efficiently.
Areas internal to the business that are of concern and may lead to failure, or poor results.
External environmental factors that can be used to the advantage of the business.
External factors that could have a negative impact on the business. The owner wants to try turn these into opportunities.
An overview of of the entire business plan, as well as a clear explanation of the purpose of the plan.
a summary of how the business will undergo the production process
Resource Strategy (HRM)
The main responsibilities relating to each individual employee, training, insurance and new staff recruitments
most important, contains information on the anticipated earning
indicate whether the business is receiving cash in time to be able to pay out cash inflows and outflows.
predictions, based on past results of the business that aim to predict the amount of sales that will be made or purchases required, for the next year.
break even analysis
Determine how costs and profits are affected by changes in the volume production.
Projected income statement
gives important information about the profit or loss that the business is predicting it will earn, and the financial performance over the next period of time.
Reasons for business failure
No business plan.
Lack of capital.
Lack of market potential.
purpose and intent of a business plan
The purpose of a business plan is to see the vision for the business, how the business will be run and to see the activity of the business.
The intention of a business plan is run a successful business and make a profit