This document provides an overview of a business planning workshop. It discusses the importance of having a business plan, what should be included in a business plan, and how to create an effective business plan. Key points covered include using a business plan as a roadmap, communicating goals to stakeholders, identifying risks and assumptions, and developing financial forecasts along with supporting strategies for areas like marketing, sales, operations, and people. The workshop aims to help participants understand the benefits of a plan and learn how to develop one for their own business.

1. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
Workshop Programme
Business Planning

2. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
Agenda
• Feedback – actions you have taken
• Business surgery
• Workshop
– Business planning
• Implementation in your business

3. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
Course Overview and Positioning
MARKETING OPERATIONSSALES MONEY
SYSTEMISATION AND RESILIENCE
BUSINESS PLANNING
VALUE
BUSINESS DIRECTION
PEOPLE

4. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
Learning Objectives
• Workshop objectives
– To understand the benefits of having a business
plan
– To understand the components of a business plan
– To learn how to develop a business plan

5. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
Why have a Business Plan?
• It’s a roadmap for your business
• It explains to potential lenders and investors
how they will make a return

6. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
Why have a Business Plan?
• It’s a roadmap for your business
– Checks you are actually going to make some money -
shows income v costs and cash flow
– Identifies and validates assumptions
– Identifies and mitigates risks
– Identifies the required resources
– Turns your Vision, Mission and Strategic Objectives
into action
– Communicates your aims and vision to your staff
– Keeps you on track – forms the basis of reviews

7. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
Why have a Business Plan?
• It explains to potential lenders and investors
how they will make a return
– The bank
– Friends & family
– Business angels and venture funds
– You!

8. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
What should be in a Business Plan?
• It tells a story
– Where you are going
– How you are going to get there
– Why you are bothering

9. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
What should be in a Business Plan?
• Direction (aka strategy or purpose)
• Market analysis
• Sales forecasts
• Operational assets & costs, productivity,
utilisation
• People – structure, numbers, development
• Money – budget and best/worst case
• Key performance indicators & targets
• For external use: Management team & required
funds

10. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
How do you create a Business Plan?
Income
Costs
Cash
flow
Strategy
Marketing
Sales
Operations
People
Suppliers
Investment Risks
Assump-
tions

11. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
How do you create a Business Plan?
• The framework is financial...
– Sales income
• Volume & price
– Market analysis, positioning, proposition, price, SWOT
– Sales process & forecast
– Direct costs
• Materials & labour
– Productivity, utilisation, service levels, supplier management
– Indirect costs
• Marketing, sales, salaries, rent
– Profit
– Cash flow forecast
• Terms and conditions, supplier management, credit control, working
capital
• Sensitivity analysis

12. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
How do you create a Business Plan?
• Use the financial framework to develop the
business plan “story”
– Variance analysis
• Compare the figures with the previous year
• Explain the differences (or similarities) by completing the
strategy, marketing, sales, people and operations sections
• Identify KPIs and targets to match the financial targets
– Sensitivity analysis
• Identify the factors that affect the net profit
• What happens if all these factors go wrong (worst case) or go
better (best case)? What does this tell you about your base
case?

13. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
How do you create a Business Plan?
• SWOT
– Strengths and weaknesses
• Internal - relate to your business, how capable it is and what
resources it has
– Opportunities and threats
• External – relate to possible changes in the business
environment & market
• Often split into Political, Economic, Social, Technological,
Legal, Environmental
• The point is what you do about the things it
identifies
– Actions in the Business Plan

14. Copyright ©Nick Bettes Consulting www.nickbettes.co.uk
Implementation in Your Business
• Suggestions
– Prepare a budget for your next financial year
– Incorporate this into your monthly management
reviews