The Business Plan: Business: Pearson (Edexcel): GCSE (9:1)

7 sections a Business Plan includes

Details of the Owner, Mission Statement, Objectives, Product details, Production details, Staffing and Finance

Details of the Owner

Who is starting the business, their background and expertise

Mission Statement

The basic aims of the business

Objectives

Specific goals that will help the company reach its aims

Product details

What goods and services the business will provide

Production details

How the goods and services will be created and delivered to the customers

Staffing

Who will work in the business and how they will be paid

Finance

What money is needed to set up and run the business until it can make a profit and generate its own income. Includes cash flow forecast and projected profit and loss

Executive summary

A short version of the business plan with the main points

Drawbacks of a Business Plan

Costly, time-consuming, restrictive, too optimistic and inflexible

Benefits of a Business Plan

Resources can be allocated efficiently, the owner can communicate the complex business idea and structure to financial backers i.e the bank

Unique selling point

What makes the products and services of a new business attractive to customers

Target market

Whom the products and services of the business are aimed at

Sources of finance

Where a new business is getting its money from to start

Marketing mix

The aspects of marketing often summarised as the 4 Ps, Product, Place, Price and Promotion