minneapolis.score.org Click to edit Master title style Business Planning Guide for the Business Planning Center Suggestions on How To Develop a Plan and Save Time By SCORE Minneapolis

minneapolis.score.org What is a Business Plan? It is a document that presents a business story – Uses prose, graphs, diagrams and spreadsheets It is a ‘road map’ for your journey It presents financial projections – Start up costs, Profit and Loss, Balance Sheet – Cash Flow and Break-Even Analysis It provides a basis for lenders/investors/business associates to assess the viability of your ideas It facilitates communication of your concept “A failure to plan is a plan for failure” 2

minneapolis.score.org 3 Typical Business Plan Content Executive Summary Company description Product/Services to be offered Market Analysis and Strategy Competitive Analysis Operating plan to deliver services Management Summary Financial projections Appendices of supporting documents

minneapolis.score.org Steps to a Finished Plan Plan to spend time and several sessions on a plan 1.Preparation before coming to the BPC 2.Learn the basics of the software 3.Type your ‘first’ draft & print at home 4.Gather data to fill voids in first draft 5.Refine your draft plan 6.Review it critically 7.Finalize your Business Plan 4

minneapolis.score.org #1 – Preparation Before Coming to the BPC Roughly define your mission, product, niche, etc. Review a sample plan at www://bplans.comwww://bplans.com – 500 sample plans, articles and resources to help you – Select a sample, print it at home and review for content – Use the sample to visualize your idea and make notes Develop a list of Start-Up Costs Estimate monthly salary you will need List of cash & assets for transfer to the business Identify your major competitors Get a library card – research from home! 5

minneapolis.score.org #2 – Software Orientation Play the 9 minute ‘Introductory Movie’ Browse the system – TASKS on the left-- OUTLINE on the right Study the split screen – Instruction and examples on top half – Your plan on the bottom half Play with a Table – Start-Up Costs 6

minneapolis.score.org #2 – Learn Basics of the Software It is interactive with examples and many options Learn how to navigate and save time Sold by software companywww.paloalto.com 7

minneapolis.score.org #2 – Screen Layout 8

minneapolis.score.org #3 – Type your FIRST Draft Complete the eleven set up questions Type what comes to mind – don’t worry about spelling or sequence in which you work Enter numbers or estimates for data Make notes of data you need for the next draft Save your plan to: – User: – Password: you “Export” draft as.pdf file to a floppy to print and use for review at home 9

minneapolis.score.org #4 – Gather Additional Data First draft will have many voids needing data Get NAICS your business statistical code: Library – RMA ratios for your business code More detail on pricing, expenses, marketing, etc. Best/worst/expected volume estimates for sales Estimate staffing needs for volume estimates Determine your key milestones to launch Get answers to your first draft review questions 10

minneapolis.score.org #5 – Refine Your Plan Change first draft where new data dictates Review each element and add data Use spell checker if necessary Decide on most reasonable volume estimates Use BPC SCORE mentor for questions Review financial statements for ‘reasonableness’ Add appendices for detail resumes, product brochures, data sources, etc. Save and export as was done in Step #3 11

minneapolis.score.org #6 – Critically Review your Plan Modify plan for any at home revisions identified Does start up capital fund business to break-even point? Is profit adequate for the risk? Apply comparable Risk Management Assn. ratios to your financials – are they acceptable? Ask SCORE mentor read and comment Combine step #7 with #6 if time permits 12

minneapolis.score.org #7 – Finalize Your Plan Incorporate any changes from prior reviews Save final version to Export final version as.pdf to a floppy disc Reproduce on a color printer or a copy center Utilize to acquire funding or investors Launch business when funding and assets in place GOOD LUCK! 13

minneapolis.score.org SCORE Minneapolis Bremer Bank Bldg, Rm Highway 7, St. Louis Park, MN Use SCORE for follow-up counseling and workshops Contact us at Website: 14

minneapolis.score.org QUESTIONS Please contact us if you have questions or need additional help - clarifications 15