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Developing-Business-Plan

Financial Planning Summary

  • Overview of business planning and its components.

Timeline

  • Structured planning stages from initial preparation to long-term strategies.

Company Background

  • Key information about the company and its market.

Business Plan Components

Operations

  • Details on how the business will operate.

Product Description

  • Description of products or services offered.

SWOT Analysis

  • Strengths, Weaknesses, Opportunities, Threats assessment.

Marketing Plan

  • Strategies for reaching target customers.

Competitor Analysis

  • Evaluation of competitors in the market.

Inspirational Quote

  • "For I know the plans I have for you..." - Jeremiah 29:11

What is Business Planning?

  • Definition: Planning involves knowing what to do, how to do it, when to do it, and what to expect in the future.

  • Importance of goal attainment.

What is a Business Plan?

  • A written document outlining the internal and external factors of a new venture.

  • Integration of marketing, finance, manufacturing, sales, and human resources strategies.

Principles of Planning

  • Realistic and flexible planning based on needs.

  • Starting with simple projects.

Stages of Business Planning (Phillip Kotler)

  1. Unplanned Stage: Seeking funds and customers.

  2. Budgeting System Stage: Developing a budgeting system.

  3. Annual Planning Stage: Drafting an annual plan.

  4. Strategic Planning Stages: Longer-term planning (3-5 years).

Criteria of Effective Planning

  • Clear objectives, measurable outcomes, guiding policies, involved departments.

  • Time allocation, required resources, accountability.

Components of Business Planning

  1. SWOT Analysis

  2. Objectives

  3. Strategies

  4. Time Frame

Characteristics of a Sound Business Plan

  • Objective, clear, logical, flexible, stable, and integrated approach.

Obtaining Facts for a Business Plan

  • Questions to gather data:

    • Uniqueness of products/services.

    • Competitor analysis.

    • Customer purchasing patterns.

    • Market share and potential.

    • Business location decisions.

Steps in Business Planning

  1. Evaluate personal and community resources.

  2. Analyze the market.

  3. Choose a business location.

  4. Prepare a financial plan.

  5. Prepare a production and organizational plan.

  6. Prepare a management plan.

Importance of Business Planning

  • Risk elimination, cost minimization, operational weaknesses detection.

  • Vital elements: Profit, sales, ideas, projects, innovation, performance, goals, management strategy, market opportunities.

Conclusion

  • Comparison: Business planning is essential, akin to navigating without a map.

  • Quote by Kevin J. Donaldson emphasizes the importance of having a business plan.

Acknowledgment

  • Thank you for your attention.