How to Create a Free Business Plan – Business plans are traditionally used by new or established businesses trying to secure financing from investors or lending institutions. The plan lays out the future growth and development plans of the company. It is an important tool to guide the progress and growth of any business. A basic plan includes at least seven sections. These are the executive summary, company summary, product or service, market analysis, strategy, executive team and financial analysis.
Gather Data
- Gather the data for each section of your business plan. The seven sections are the executive summary, company summary, product or service, market analysis, strategy, executive team and financial analysis. The executive summary is the first section of your business plan. It is a summation of everything in your plan. You will compose it last. Complete the remaining sections in any order that works for you.
- Craft a company summary. It is the basic description of your company. Describe its product or service, its history, legal name and length of time in business. If your business is a start-up include future plans. Office locations and/ or manufacturing plants need to be included.
- Compose your products and services section. Focus on the customer benefits of your product. Communicate why your product is unique and who will purchase it. Describe any problems it will solve for customers. Include what makes it better than the competition. For example, the light bulb is a big improvement over candlelight. Also describe how you manufacture and distribute your product.
- Put together the market analysis portion of the plan. Describe your customers and how you plan to reach them. Include your advertising, promotion and product distribution plans. Explain the difference between you and your competition and describe why your product is better.
- Do your strategy section. Create a sales and distribution time-line for your business with deadlines. Explain how you will accomplish and track these goals. List management responsible for the various goals.
- Craft the financial portion of the plan. List assets, cash flow information and earning projections. Include a projected profit and loss table.
- Do the management team portion of your plan. Describe the previous experience and successes of the members of your executive team. Include this section even if you are the only executive.