This document provides an overview of key sections that should be included in a business plan, including an executive summary, business concept, marketing plan, pricing strategies, promotional strategies, and financial projections. The executive summary introduces the entire business plan in 2 pages or less. The business concept includes details about the company, products/services, goals, and owners. The marketing plan outlines the target market and competitors as well as the marketing mix of product, price, place/distribution, and promotion. Pricing strategies may be based on demand, competition, or costs. Promotional strategies include advertising, visual merchandising, public relations, personal selling, and 360 marketing. Financial projections estimate sales, expenses, profits, and cash flow over

1. Chapter 5:
Writing a
Business Plan

2. Business
Plan
• A business plan is a
statement of your business
goals, the reasons you
think these goals can be
• met, and how you are
going to achieve them.
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3. Business
Plan
• well-written plan will also guide
you every step of the way as you
develop your business. It becomes
a decision-making tool.
• An entrepreneur uses the business
plan to track whether the
company is meeting its goals.
From time-to-time, the business
plan needs to be revised to keep
up with the changing nature of the
business.
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4. Business
idea??
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5. 5

6. “ Parts of
Business
Plan
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7. Executive Summary
• The executive summary is a short overview of the
entire business plan.
• It provides a busy reader with everything that needs to
be known about the new venture’s distinctive nature.
• An executive summary shouldn’t exceed two single-
spaced pages.
• Even though the executive summary appears at the
beginning of the business plan, it should be written
last.
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9. 9

10. The Business Concept
• This section begins with a general description of the
company.
• Items to include in this section:
Company description/History
Company Name
Company Logo
VMGOs statement
Business Address
Name and Contact of Owners
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12. White
Is the color of milk and
fresh snow, the color
produced by the
combination of all the
colors of the visible
spectrum.
You can also split your content
Black
Is the color of ebony and
of outer space. It has
been the symbolic color
of elegance, solemnity
and authority.
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13. In two or three columns
Yellow
Is the color of gold,
butter and ripe
lemons. In the
spectrum of visible
light, yellow is
found between
green and orange.
Blue
Is the colour of the
clear sky and the
deep sea. It is
located between
violet and green on
the optical
spectrum.
Red
Is the color of
blood, and
because of this it
has historically
been associated
with sacrifice,
danger and
courage.
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14. The Marketing Plan
• Marketing Plan is a way of presenting your business to your customers. The main reason
for marketing plan is to clearly communicate the value of your product or service.
• Every marketing plan has MARKETING STRATEGIES/MARKETING MIX or P’s in
Marketing:
• Product - This is a description of the product(s) or service(s) your company plans to
offer
• People/Target Market - Include a detailed customer profile to help keep your focus on
the best prospects.
• Competitor’s Analysis - Identify your competitor’s similar product. Provide description of
the competitor’s product.
• Place to market - This strategy refers to selling and delivery methods. How and where
will customers be able to buy or receive your product or service?
• Price. What price will your target market feel is reasonable, or perhaps even a good
deal, for your product or service?
• Promotional Strategy. The process you use to make potential customers aware of your
product or service and to influence them to buy it.
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18. PLACE/Distribution
Channel
What Channels Will You Use?
1. Direct channel is a pathway in which a product goes
from the producer straight to the consumer.
2. Indirect channel is a pathway in which the product
goes from the producer to one or more intermediaries
before it reaches the consumer.

19. PRICE
Basic Pricing Strategies:
1. Demand-Based Pricing. A pricing method that
focuses on consumer demand—how much customers
are willing to pay for a product.
2. Competition-Based Pricing. After you find out your
competitors’ prices, you can decide to charge the same
price, slightly more, or slightly less.
3. Cost-Based Pricing. After you figure out what the cost
is for a single unit of your product, you then decide how
much to add on to ensure a profit.

21. USE THE
PROVIDED
SPREADSHEET IN
COMPUTING
YOUR SELLING
PRICE PER
PIECE/UNIT OF
YOUR PRODUCT
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22. PROMOTION
Elements of Promotional Mix:
1. Advertising. Advertising uses various media, or
communication channels, to send promotional
messages to potential customers. (print, direct mail,
radio and television, product placement(product
displayed during a movie or television show in a
prominent or obvious manner), Internet/Website/Web
Banner (You pay other companies or organizations to
embed your Web banner on their sites), and outdoor
Advertising (posters, banners, streamers
2. Visual Merchandising. How attractive are the displays
in your storefront windows?

23. Visual Merchandising

24. PROMOTION
Elements of Promotional Mix:
3. Public Relations and Publicity. As an alternative, a PR firm is
sometimes hired to carry out the promotion (News Articles and
Announcements, Community Events, Contests)
4. Personal Selling and Sales Promotion. Sales staff meets
and talks with customers person to person on a daily basis
(Premium is a giveaway item or free gift that usually has the
company’s name, address, and telephone number printed on it.
T-shirts, pens, note pads, coffee cups, and calendars.
5. 360° Marketing. A company Website, e-mails to existing
customers, faxes, direct-mail postcards and catalogs, instant
messaging, and telephone calls to customers alerting them to
new promotions.

26. FOR THE
MARKETING COST,
ESTIMATE THE
MARKETING COST
FOR 1 MONTH
ONLY.
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