What Information Do I Need to include in a Business Plan?

General Guidelines:

1. Remember that the most important reason for preparing a business plan is to establish for yourself the viability and future development of your business proposal.
2. A business plan is a common sense document. Avoid jargon and keep to the point.
3. Don't be afraid to ask questions. The best sources of information are people already in business. Talk to your suppliers and to your potential customers. Have a look at what your competitors are doing.
4. Be realistic. Financial projections should err on the side of caution.
5. A business plan doesn't have to be a long document. A good business plan is one that explains succinctly and clearly to the potential lender or investor how the business proposal will succeed.

Typically, a good business plan will include information on the following:

Introduction / Executive Summary

• Business structure and ownership.
• The business idea.
• Brief overview of the business.
• What have you done with the business to date?
• What are your short term and long term objectives for the business?

Promoter's Background

• Personal details.
• Practical and professional experience.
• Motivation.
• Personal qualities.
• Include CVs of the Principals involved in the business (in the Appendix)
• Describe any business courses which the promoters have attended.

Description of Proposed Business

• Describe the product or service.
• Are there unique features?
• If a product, describe the production process involved and the availability of raw materials.
• What specific need/requirement will the business serve. Are there any innovative aspects to the project?
• What are the aims and objectives of the business?

Structure of the Business

• Specify the legal status and business name under which the business will trade.
• Specify any requirements needed under any statute or regulation, e.g. planning permission, health and safety, food safety, etc.

Management Structure / Staffing

• Describe how the business will be managed and staffed.
• Highlight any particular staffing skills involved in the business.
• Describe present employment (if any), projected increase in first year and projected increase in second year of operation.

The Market

• Describe any market research which you may have carried out.
• Describe the competition in the target market.
• Describe your proposed marketing strategy and how the product or service will be distributed and sold.
• Who are your customers and what are their needs?
• What are the future trends in the market for your product or service?
• How have you arrived at the prices for your product/service?

Operations

• Submit details of premises required.
• List machinery and equipment required including cost of each item.
• How will your product/service be produced and delivered?
• What are your production/output targets?
• Describe jobs that each employee will carry out.
• Other requirements, e.g. special storage facilities.

Investment & Financing

• Prepare a schedule showing the finance needed to start the business. Show the working capital requirement separately.
• What funding is available? Own resources, bank loans/overdraft, private investor, grants, etc.
• Prepare monthly Cashflow Projections for the first two years.
• Prepare two year Profit and Loss projections and Balance Sheets.
• Describe the assumptions made in your projections, e.g. credit terms for suppliers.
• If already in business submit recent set of audited accounts.

Conclusion

• Why do you think the business will be a success?
• What supports are you seeking?
• Why do you need the support?
• Why should you get the support?

Additional Information

• Quotations for building works, machinery and equipment (if applying for a capital grant).
• Letters of approval from lending institutions.
• Letters of intent from prospective customers (if possible).
• Any other material which might help explain your business, e.g. photographs, brochures, samples of product, etc.