1. Business Plan Preparation Introduction
Frank Moyes Leeds School of Business University of Colorado Boulder, Colorado
FLM background
How many in a business?
How many starting a business in next 6 months?
What kind of businesses? Retail, manufacturing, high-tech, service, non-profit
Ask questions
Introduction

2. Tonight’s Agenda Introductions Course organization & syllabus
Writing a business plan
Discuss your ideas
Students introduce selves
Major
What have done that is entrepreneurial?
What want from course?
What is your wicked idea?
Frank Moyes
David Drake
Introduction

3. Communications George Deriso geode@usa.net Frank Moyes
Communications
Frank Moyes
Office Hours: Koelbel 210 B
Wednesday 3:00 to 5:30pm
Thursday 3:00 to 6:00pm
And by appointment
George Deriso
Office Hours by appointment
Website
Introduction

4. Materials Required (download)
Materials
Required (download)
Lawrence and Moyes, “Writing a Successful Business Plan”, 2007
Moyes and Lawrence, “Financial Spreadsheets for the Business Plan”
The New Business Road Test, John Mullins, 2006, FT Prentice Hall
Introduction

5. Materials
Lawrence and Moyes, “Writing a Successful Business Plan”, 2007
Moyes and Lawrence, “Financial Spreadsheets for the Business Plan”
Introduction

6. Objectives of the Course
Understand what is a business plan & when to write one
Write a plan for viable business
Experience the process
Drink the cool aid, as it were.
Painful
Health Warning
Amount of work – if stay on top of assignments, same as other courses
Problem you get caught up
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7. Course Structure Weeks 1 & 2: Evaluate opportunities
Week 3: Select concept & team
Weeks 4 & 5: Market & Industry Analysis
Week 6 to 13: Instructor to describe a section of the business plan (slides posted on course website)
Weeks 5 to 12: In the Fire sessions
Week 14: Present business plan & hand in
Week 15: Competition
New material is really old stuff: marketing, finance
Who has a concept?
Who has done feasibility plan?
Who has a team to write the plan? See me after class
Concept and team selection: Trade fair
Presentations: friendly fire
STOP: Introduce Roving Planet
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8. Grading Individual Team Assignments Resume Concept Participation
Peer evaluation
Team Assignments
In the Fire sessions
Written assignments & Presentations
Final Business Plan & Presentation
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9. Why Write a Business Plan?
Road Map
Establish goals to make sure that are on track and heading in the right direction
Action Plan
Small steps lead to large results
Sales Tool to attract investors, vendors, customers, partners, employees
So You Can Throw It Away!
Process is the key
Cauldron - test ideas & strategies
Think through problems to solutions
Lowers the risk
“If we don’t have a plan for ourselves, we will be part of someone else’s.” Joan Lunden
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10. A Good Business Plan Explains how you are going to do it
Provides evidence that customers want to buy
Tells a story - creates excitement
Addresses the critical elements
Should be painful to write
Not a substitute for action
Living document
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11. Critical Elements of a Business Plan (& You Must Address)
Strong market
Attractive industry
Compelling Need
Clear value proposition
Sustainable competitive advantage
Understanding of profitability & cash flow
Management
Introduction

12. Why Not Write a Business Plan?
Lack experience
Information
Time & cost to get causes too great a delay
Can’t get
Situation changes too quickly
Founder has great experience, successful track record & has a “gut feel” for the business
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13. Business Plan Sections
Executive Summary
Company Overview
Product/Service Description
Market & Industry Analysis
Marketing Plan
Operations Plan
Development Plan
Management
Competitive Advantage
Financial Plan
Funding
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14. “Writing a business plan is a life changing event.”
Comfortable with
Uncertainty
Lack of information
Working in groups
Frustrating
Puzzle pieces keep changing shape
May not be a lot of information
Synthesis vs. Analysis - creative
Conflict - normal, desirable
All consuming
Most common criticism on FCQ; should be 4 credits
Ultimately, very rewarding
Put your education together
Excellent resume item
Accomplishment
Who said that?
STOP: Exercise teams of 4, 10 minutes
Is this a good opportunity?
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15. Discuss Ideas
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16. Concept Description Brief description
Why is there an opportunity/need?
What is the product/service? What are the unique benefits? How will it be produced or delivered?
Who is the target market?
What are the benefits to the target market?
Who is the competition? What advantages do you have over the competition?
Profitability
Revenue model
Contribution margins
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17. Assignments for Next Week
Sept 17 (before 1:00pm) Business Concept and team members (if decided) to Instructor
Sept 19 Instructor to list of selected concepts
Sept 20
Organize teams. Students whose concepts are selected to make short presentation to the class.
Review Mullins 1, read Mullins 10
Read Writing a Successful Business Plan
Introduction