sample of balance sheet projected

8/13/2019 Sample of Balance Sheet Projected

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Business Plan for an EstablishedBusiness

This business plan consists of a narrative and several financial spreadsheets. The

narrative template is the body of the business plan. It contains more than 150 questions

divided into several sections. or! through the sections in any order you li!e" e#ceptfor the Executive Summary"$hich should be done last. %!ip any questions that do not

apply to your business. hen you are finished $riting your first draft" you $ill have a

collection of small essays on the various topics of the business plan. Then you $ill $ant

to edit them into a flo$ing narrative.

The real value of doing a business plan is not having the finished product in hand&

rather" the value lies in the process of research and thin!ing about your business in a

systematic $ay. The act of planning helps you to thin! things through thoroughly" to

study and research $hen you are not sure of the facts" and to loo! at your ideas

critically. It ta!es time" but avoids costly" perhaps disastrous" mista!es later.

The business plan narrative is a generic model suitable for all types of businesses.

'o$ever" you should modify it to suit your particular circumstances. (efore you begin"

revie$ the section titled Refining the Plan" found at the end of the business plan. It

suggests emphasi)ing certain areas" depending upon your type of business

*manufacturing" retail" service" etc.+. It also has tips for fine,tuning your plan to ma!e an

effective presentation to investors or ban!ers. If this is $hy you are $riting your plan"

pay particular attention to your $riting style. -ou $ill be udged by the quality and

appearance of your $or! as $ell as your ideas.

It typically ta!es several $ee!s to complete a good plan. /ost of that time is spent in

research and rethin!ing your ideas and assumptions. (ut then" that is the value of the

process. %o ma!e time to do the ob properly. Those $ho do never regret the effort. nd

finally" be sure to !eep detailed notes on your sources of information and on the

assumptions underlying your financial data.


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Table of Contents

Table of ontents ...............................................................................................................2

#ecutive %ummary ..........................................................................................................3

4eneral ompany escription .......................................................................................6

Products and %ervices ......................................................................................................5

/ar!eting Plan ..................................................................................................................7

perational Plan .............................................................................................................16

/anagement and rgani)ation ....................................................................................19

Personal :inancial %tatement ........................................................................................20

:inancial 'istory and nalysis .....................................................................................21

:inancial Plan ..................................................................................................................22

ppendices ......................................................................................................................26

;efining the Plan .............................................................................................................25


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Executive Summary

rite this section last!

e suggest that you ma!e it t$o pages or less.

Include everything that you $ould cover in a five,minute intervie$.

#plain the fundamentals of the business< hat is your product" $ho are your

customers" $ho are the o$ners" and $hat do you thin! the future holds for your

business and your industry=

/a!e it enthusiastic" professional" complete" and concise.

If you are applying for a loan" state clearly ho$ much you $ant" precisely ho$ you are

going to use it" and ho$ the money $ill ma!e your business more profitable" thereby

ensuring repayment.


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General Company Description

Mission statement< /any companies have a brief mission statement" usually 30 $ords

or fe$er" e#plaining their reason for being and their guiding principles. If you have a

mission statement" this is a good place to put it in the plan" follo$ed by company goals

and obectives and business philosophy.

hat business are you in= hat do you do=

hat is your target mar!et= *#plain briefly here" because you $ill do a more thorough

e#planation in theMarketing Plansection.+

escribe your industry. Is it a gro$th industry= hat changes do you foresee in your

industry" and ho$ is your company poised to ta!e advantage of them=

>o$ give a detailed description of the businesso$ describe them from your customersC point of vie$.

Features and !enefits

?ist all your maor products or services.

:or each product or service" describe the most important features. That is" $hat does the

product do= hat is special about it=

>o$" for each product or service" describe its benefits. That is" $hat does the product do

for the customer=

>ote the differences bet$een features and benefits" and thin! about them. :or e#ample"

a house gives shelter and lasts a long time& those are its features. Its benefits include

pride of o$nership" financial security" providing for the family" and inclusion in a

neighborhood. -ou build features into your product so you can sell the benefits.

hat after,sale services are supplied= :or e#ample< delivery" $arranty" service contracts"

support" follo$,up" or refund policy.

Customers

Identify your customers" their characteristics" and their geographic locations& that is"

demographics.

The description $ill be completely different depending on $hether you sell to other

businesses or directly to consumers. If you sell a consumer product" but sell it through a

channel of distributors" $holesalers" and retailers" you must carefully analy)e both the

end user and the intermediary businesses to $hich you sell.

-ou may have more than one customer group. Identify the most important groups.Then" for each consumer group" construct a demographic profileo$ analy)e each maor competitor. In a fe$ $ords" state ho$ you thin! they stac! up.

In the last column" estimate ho$ important each competitive factor is to the customer. 1

G critical& 5 G not very important.


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Page 10 of 28"a#le $: Competiti%e &nalysis

F&C"'( MeStrengt

hWeakness Competitor & Competitor ! Competitor C

)mportanc

to custome

roducts

rice

*uality

Selection

Ser%ice

(elia#ility

Sta#ility

E+pertise

Company

reputation

Location

&ppearance

Sales

method

Credit

policies

&d%ertising

)mage

fter you finish the competitive matri#" $rite a short paragraph stating your

competitive advantages and disadvantages.


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,iche

>o$ that you have systematically analy)ed your industry" your product" your

customers" and the competition" you should have a clear picture of $here your

company fits into the $orld.

In one short paragraph" define your niche" your unique corner of the mar!et.

Marketing Strategy

>o$ outline a mar!eting strategy that is consistent $ith your niche.

romotion< 'o$ do you get the $ord out to customers=

&d%ertising< hat media do you use" $hy" and ho$ often= 'as your advertising been

effective= 'o$ can you tell=

o you use other methods" such as trade sho$s" catalogs" dealer incentives" $ord of

mouth" and net$or! of friends or professionals=

If you have identifiable repeat customers" do you have a systematic contact plan=

hy this mi# and not some other=

romotional !udget

'o$ much $ill you spend on the items listed above=

%hould you consider spending less on some promotional activities and more on others=

ricing

hat is your pricing strategy= :or most small businesses" having the lo$est prices is

not a good strategy. @sually you $ill do better to have average prices and compete on

quality and service. oes your pricing strategy fit $ith $hat $as revealed in your

competitive analysis=

ompare your prices $ith those of your competition. re they higher" lo$er" the same=

hy=

'o$ important is price as a competitive factor=

hat are your payment and customer credit policies=


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Location

-ou $ill describe your physical location in the Operational Plansection of your business

plan. 'ere in theMarketing Plansection" analy)e your location as it affects your

customers.

If customers come to your place of businessot out of the $ay=

Is it consistent $ith your image=

Is it $hat customers $ant and e#pect=

here is the competition located= Is it better for you to be near them *li!e car dealers or

fast,food restaurants+ or distant *li!e convenience food stores+=

-istri#ution Channels

'o$ do you sell your products or services=

;etail

irect *mail order" orld ide eb" catalog+

holesale

-our o$n sales force

gents

Independent reps

'as your mar!eting strategy proven effective=

o you need to ma!e any changes or additions to current strategies=

Sales #orecast

>o$ that you have described your products" services" customers" mar!ets" andmar!eting plans in detail" it is time to attach some numbers to your plan. @se a forecast

spreadsheetto prepare a month,by,month proection. (ase the forecast on your

historical sales" the mar!eting strategies that you have ust described" your mar!et

research" and industry data" if available.
http://www.preview.score.org/internet/downloads/12%20Month%20Sales%20Forecast1.xlshttp://www.preview.score.org/internet/downloads/12%20Month%20Sales%20Forecast1.xlshttp://www.preview.score.org/internet/downloads/12%20Month%20Sales%20Forecast1.xlshttp://www.preview.score.org/internet/downloads/12%20Month%20Sales%20Forecast1.xls


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-ou may $ant to do t$o forecasts< 1+ a Ebest guess"E $hich is $hat you really e#pect"

and 2+ a E$orst caseE lo$ estimate that you are confident you can reach no matter $hat

happens.

;emember to !eep notes on your research and your assumptions as you build this sales

forecast and all subsequent spreadsheets in the plan. ;elate the forecast to your sales

history" e#plaining the maor differences bet$een past and proected sales. This iscritical if you are going to present it to funding sources.


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$perational Plan

#plain the daily operation of the business" its location" equipment" people" processes"

and surrounding environment.

Production'o$ and $here do you produce your products or services=

#plain your methods of

sample of balance sheet projected

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