This document provides an overview of the Business Model Canvas tool for entrepreneurs. It outlines the 9 steps to complete a Business Model Canvas: 1) Customer Segments, 2) Value Propositions, 3) Channels, 4) Customer Relationships, 5) Revenue Streams, 6) Key Resources, 7) Key Activities, 8) Key Partnerships, and 9) Cost Structure. For each step, it provides brief explanations and questions to consider when evaluating that particular component of the business model. It also includes links to online tools that can be used to create a Business Model Canvas.

1. Business Model Canvas
Tools for Entrepreneurs
By Elena Donets
The original Business Model Generation canvas by Alex Osterwalder

2. General Plan

3. Step 1 : Customer Segments
• Market
– Do you have a single or multi-sided market?
– If you have a multi-sided market you’ll have at least
as many segments as you have sides.
• Reach & Channels
– How do you reach them with your proposition? Sell
them? Service and cultivate them post-sale?
• Proposition
– Why do they buy your product?
• Execution
– What are the most important things you and the
customer need to do to realize those propositions?
– Are there certain customer behaviors that are
pivotal for the whole thing to make sense?

4. Step 2: Value Propositions
• What need or desire are you fulfilling
for the customer?
• What problem are you solving?
Once you’ve isolated these, try mapping them to the
Customer Segments;

5. Step 2: Value Propositions

6. Step 3: Channels
This includes entities you use to
communicate your proposition to your
segments, as well as entities through
which you sell product.

7. Step 4: Customer Relationships
• How does the customer interact with
you through the sales and product
lifecycle?
• Do they have a dedicated personal
contact they see? Call? Is all the
interaction over the web?

8. Step 5: Revenue Streams

9. Congratulations on making it halfway!

10. Step 6: Key Resources
• Key resources are the strategic assets
you need in place, and you need in
place to a greater or more targeted
degree than your competitors.
• Key Resources in product-driven
businesses are typically key talent in
critical areas of expertise and
accumulated intellectual property
related to their offering.

11. Step 7 : Key Activities
These are the crucial things the
business needs to do to deliver on its
propositions and make the rest of the
business work- for example, if selling
through 3rd parties is part of the
model, then activity around channel
management is probably pretty
important.

12. Resource: http://www.alexandercowan.com/business-model-canvastemplates/#Canvases

13. Step 8 : Key Partnerships
• What things that you won’t do are key to the business?
• What partners are most critical? Why? For what?
• If you have partners, how tightly do they map to the Key
Activities that aren’t your core strength?

14. Step 8 : Key Partnerships
• What things that you won’t do are key to the business?
• What partners are most critical? Why? For what?
• If you have partners, how tightly do they map to the Key
Activities that aren’t your core strength?

15. Step 9: Cost Structure
• You’ve worked to understand
how your Key Activities drive
your propositions and hence
your revenue.
• How do they drive costs? Are
those costs well aligned with the
key Value Propositions?
• Are the costs more fixed or
variable as you test different
business models? Are they more
linear with your scaling or more
fixed?

16. Business Canvas Online Tools
Business Model Fiddle

17. Thank You
Questions?
elenado@startau.co.il
www.startau.co.il