■ to convince someone to join with you in the business;
■ to help in selling a business;
■ to obtain a grant or regulatory approval.
Importantly, the discipline of producing a business plan and then
using it as a point of reference can also provide a basis for
driving and managing a business.
HOW SHOULD A BUSINESS PLAN BE
STRUCTURED?The structure of a business plan will vary according to its pur -
pose and the type of business it is dealing with. The following
are typical headings based on those suggested by Brian Finch in
How to Write a Business Plan (Kogan Page):
■ summary;
■ the business background;
■ the proposal;
■ financial projections;
■ supporting information on the market, operations, finance,
control systems, management and personnel;
■ a risk assessment;
■ conclusion.
Summary
This should be short (no more than one page long) and give
anyone who may not be inclined to read a lengthy document the
essential information they need to attract their attention. The key
points to be made include a brief description of the business, the
essence of the plan (what you intend to do), why you believe the
plan will succeed, the investment of cash required and the return
expected from that investment.
The business background
Describe the essence of the business – what is produced or what
services are provided, its markets, customers and suppliers, and
an outline of its trading history, unless it is a start-up business.
208 How to be an Even Better Manager