Business Plan Flashcards
Importance of a business plan
Its a document that outlines all the important facts and procedures of the business
It will be used to secute financing investors
Environmental factors in the macro Environment
They influence the success of the business
Do a pestle analysis
Components of a business plan
Cover page Index page Executive summary Description Swot analysis Marketing plan Operational plan Management plan Financial plan addition document
Elements to include
Cover page-Name of the business
Logo and slogan
Index page- page numbers of each section
Description- form of ownership
Reason for the specific form of ownership
Detailed description of the product
Purpose of the executive summary
To summarise key points of documents for its readers
Aspects that must be included in the executive summary
Business name, location and contact information
Brief description of the product or service and why its necessary
Reasons for writing a business plan
Size of the business
Choice of ownership depends on
The way capital will be raised
How profits and losses will be shared
Registration formalities
Continuity of the business
CIPC
Companies must register with the companies intellectual property commission
New inventions and patents must be registered
SARS
Register with SOUTH AFRICAN REVENUE SERVICE to fulfill tax obligations
Most businesses must register as VAT vendors
Local municipality
Businesses that supply meals or food need a license
Importance of the marketing plan
Explains how the product or service will be marketed
Businesses must learn as much as possible from their potential customers
Importance of market research
Aims to understand the reasons why consumers will buy a certain product or service
A marketing mix
Place Price Product Promotion Physical environment Process
Price
Allow the business to cover costs and make a profit
Place
Where the goods and services are sold
