Key Elements of Effective Business Planning

Evaluating Market Opportunities

The following must be included in your business plan:

• Your Proposed Future Business. – What is the product/service (i.e. provide a clear description)? What does it do? What innovations does your idea bring to the market? Appropriate intellectual property rights (IPR) in order to protect your business idea/enterprise, if applicable
• Customers – identify your target customers. B2B or B2C? Who are the end-users? Who will buy your product/service? What is the USP of product/service? What customer needs does the product/service meet? The underpinning research for the target market and an evaluation of the businesses’ position in the market
• Competitors – who are your competitors for the product/service? What market share do your competitors have? Why might your customers buy your product/service rather than that of the competitors?
• Skills analysis – what skills do you have for developing and taking your business idea forward? What skills do you need? How will you address any skills gaps that you might have?
• Projected 2-year profit and loss account and proposed 2 years cash flow forecasts including break even
• Finding, evaluating and selecting suitable sources of funding to grow the business opportunity
• Your plans for obtaining your resources, both tangible and intangible between now and either 1-2 year ahead. This should include a breakdown of your start-up costs.
• The type of organisation and the management information systems required to effectively control the business
• Vision for your Business Idea – what future does your business have?

Evaluate the opportunities for advancing an idea so that it meets a market gap or requirement and allows the enterprise to grow into a growth sustainable business proposition

Analyse the skills and resources required for developing a business, including finance and people