Business Model Plan

Business Model Plan  This document should be well written in a highly presentable but succinct form for the explicit purpose of gaining a mentor and possibly an investor. It is your marketing material to enthuse an investor to buy into your business endeavor. The proposal should flow and be easily read. No acronyms or jargon should be used, keep it to simple layman’s terms. This document should recover the highlights of the pitch and supply the details and evidence of the pitch. It is a rendition of your Business Model. It tells your story and reinforces what you have said, provides the persuasion to invest and allows the investor the additional and recapped information needed to make that decision. The proposal should explain your Business model and be easily evident to the audience on what your concept is, what your business is about, what are the immediate and long term objectives and provide enthusiasm for the opportunity you have discovered. It should provide your Vision, Your Beach head market (who and where are they, and its value), the potential larger market and opportunities to scale. In this document you need to clearly define what problem you are solving and why this market will purchase from you? – Your Unique Selling Point – your Competitive Advantage. You need to describe your MDP – this can be a expanded on via a brochure or specification sheet in the appendix. You must clarify your revenue model and profitability, (with supplied financials in the appendix). Supply your presumed sales with justification and evidence (a graphic is best used here) – make sure your numbers add up. In essence this document should build upon the excitement for your pitch and provide the greater detail, explanation and evidence of the highlights given in your pitch. The document should commence with a succinct executive summary which spells out in no more than 3 pages the reason for this proposal, the investment required and the Opportunity being offered. It should clearly explain the business model and provide the highlight details only; ie: expected sales & revenues; profits & growth potential (can be in graphic form), Your key metrics and marketing information that supports these figures – eg Life time value of customer. These are the pertinent market, customer and financial information. The document is written in the format provided by the Business Model Plan Template Cover page – Business Prospectus – Business Name – Founding Members Executive Summar) Title Page – Business Name – Founding Members – date prepared Contents page – list of content, illustrations & tables, Appendices Business Background Market Attractiveness Unique Value Proposition Revenue Model Sales Model Sustainability Harvest – Exit Strategy Operational Overview Appendix List of what should be in the appendices: i. Financial Statements a. Assumptions for financial statements b. Proforma Financial Statements – Revenue & Expense Assumptions i. 12-month Budget, including Start-up Requirements ii. Account Receivable Budget ie: %- cash, 30d, 45d, 60d +, 2% bad debt (include assumptions) iii. Cash-flow Projection (1st year by monthly, then yearly for Yr 1, 2, 3) iv. Income Statement (1st year by Monthly, then yearly for Yr 1, 2, 3) v. Balance Sheet (Annual Yr 1-3) vi. Profit & Loss (Annual Yr 1-3) vii. Ratios & Analysis: including Liquidity, Profitability (ROI), Activity and Leverage. ii. Marketing Supporting Documents a. Marketing Tools eg: any of following i. PEST ii. Porter’s Five Forces iii. Cost-Benefit &/or Cost Analysis Model iv. Value Chain Analysis v. Target data b. Advertising & Promotion c. Communication Strategy & Media Plan d. Uses & Costs of Specific Marketing Tools i. Marketing budget e. Individual Costs & Total Costs as a Percentage of Sales iii. Supporting Documents a. Resumes, contracts, maps, Legal, Insurance, and Technical: ie. Product Specifications, etc. iv. Minimum Viable Product – Brochure, specifications, benefits/features v. Bibliography of References By using the lean canvas in developing your opportunity, it will give you the insights and the understanding of your business to enable the business plan canvas to be completed and be the basis of the information for completing the Business Model Plan . When using the Business Model Plan Template in writing the Business Model Plan please do so in conjunction with the full criteria guide for this plan (which can be accessed on learnJCU) which indicates the information expected and thus a guide to marking of this plan. (above is the requirements and attached file is a sample document)