Business plan

Question 1

Business Plan

Answer 1

is a written description of a business’s future aims and strategies. It is a roadmap that explains what the business plans to do and how it plans to do it.

Question 2

Reasons to prepare a business Plan

Answer 2

Sets targets to be achieved to help focus the business
Identifies problems in advance so solutions can be found
It is a required document when applying for a business loan
Useful tool to review performance (compare plan to actual performance)

Question 3

SWOT Analysis

Answer 3

identifies the Strengths, Weaknesses, Opportunities and Threats facing the business.

Question 4

Business Plan Layout

Answer 4

Title: Business Plan for “Business Name”
Background of the Business
The Business Team
Market and Marketing
Production
Costings and Finance
Structure of the Business
Signed and Dated

Question 5

Background of the Business

Answer 5

Aims and objectives of the business - what it is set up to do
Name and Address of Business

Question 6

The Business Team

Answer 6

The people involved in the business (education & work experience)

Question 7

The Market and Marketing

Answer 7

Description of target market
The current and potential size of market (no. of people)
Current competitors in the market
Marketing Mix (Product, Place, Price, Promotion)

Question 8

Production

Answer 8

List of premises and equipment the business owns
Production process (job, batch or mass production)

Question 9

Costing and Finance

Answer 9

How much it costs to produce item
Details of loans the business has
Amount of finance (loan) needed
How will finance (loan) be repaid
Cashflow Forecast (we will do next week)

Question 10

Structure of Business

Answer 10

Type of Business (Sole Trader, Private Limited Company, Partnership)