Business 2

Mr. Dehner

Total Points 300

REQUIREMENTS FOR THE BUSINESS PLAN:

*****Answer the questions and you will do well*****

The goal of this business plan is to enable you to receive a loan. Your classmates will have the opportunity to invest in your business if they like your idea and presentation. You will need to complete this plan by, January 9 if not earlier.

This is the order of your plan. However, page numbering does not begin until the Executive Summary (Page 1)

HEADER AND PAGE NUMBERS ON EVERY PAGE (Except the Cover letter and Cover page)

The total amount that you need for your business is the

Start-Up Cost Report Total + Organizational Chart Total.

You will contribute 30% to the entire cost of your loan (also show it as a $ figure) therefore, you will need a loan of 70% (also show it as a $ figure). You decide how much time it will take to pay it back.

1.  Cover letter (The letter goes to me)

As illustrated by example James Dehner

400 Penn Street

Lansdale, PA 19446

2.  Cover Page

Included on the Cover Page should be: a) Name of the Business

b)  Picture (Related to your project)

c)  Your Name(s)

d)  Location of Business—actual street address

3.  Table of Contents

Should be neat (Use custom tabs), and the page numbers in the Table of Contents should match those in the report. Use the header/footer feature to put in page numbers and your company name. Place your company name on the table of contents but don’t place a page number. Use custom tabs to set up the Table of Contents.

4.  Executive Summary (Page 1)

This is a brief summary (about two paragraphs), describing such items as, what is your company (what do you do). Indicate that you are a start up company and operate as either a partnership or as a proprietorship. What is your position within the company (Owner, President…)? Why do you plan to open this business (where did you come up with the idea or the reason you want to start this business)? Where do you plan to be located? (realistically, therefore mention the street address, city and zip code), who are the competition, and a couple of realistic goals for your company (such as you plan to offer friendly service, reasonable prices- these goals may be in bullet form) How many and types of employees will you need for your business (not people by name but by title, i.e. server, manager, cashier)? What is the exact amount of your loan? When will the loan be paid back? Keep in mind that you are contributing 30% of your total cost so your loan is only 70% of your TOTAL COST (Total you will pay yourself and employees + your start up costs from the financial plan)

5.  Market Analysis (Page 2)

Briefly describe your competition. This competition can be based on where your store would be located, but more importantly similar stores like yours (Direct and Indirect competition). Explain each business individually as to what they do and what you would do in order to make your company more competitive against each one. You should have FOUR (4) Competitors.

6.  Marketing (Page 3)

Who is your target market? How do you plan to inform people of your new business (You must complete an advertisement like a flyer). Indicate that a sample advertisement is located on the following page. How does your competition inform people? How will you compete against their advertising? Will you offer coupons, buy one get ones? Will your prices be realistic—compared to the competition?

7.  Flyer/Advertisement (Page 4)

8.  Financial Plans (Page 5)

Based on your cost report, you should indicate the exact amount of the loan that you are seeking in order to start your company and what that loan will be used for in your business (such as start up costs, salaries, operating costs). Attempt to reassure the reader that your company will be successful (how and why will it be successful—you have low prices, sales, better products than competition, friendlier staff, knowledgeable employees ). When will the loan be repaid? Keep in mind that you are contributing 30% of the Total Cost needed for the business; therefore, you only need 70% of the Total Cost. Indicate that the start-up cost report is located on the following page, page 6 and organizational chart is located after the Organization and Management section, page 8.

9.  Start-Up Cost Report (Page 6)

10.  Organization and Management (Page 7)

Describe the employees in your company. Start with yourself and work down to the lowest paid employee (a hierarchy). Provide a brief description of all the roles within the company, the number of employees needed for each position and if they are part time or full time. You must complete an organizational chart which has a little more detailed information. Indicate that your Organization chart can be found on the following page, page 8.

11.  Organizational Chart (Page 8)

Every page in the business plan should have the same company header and a page number.

Except the:

Cover Letter

Cover Page

Table of Contents