Introduction To CXC Business SBA Part3 (Description Of The Business)

THE DESCRIPTION OF THE BUSINESS

ALL business plans are vital to show:

1. The name of the business e.g. Lubin Advertising Agency.

            The name should be simple to say, and should ignite interest, and grab the awareness of the reader.

2.         In a few words show who owns the business, and how the thought for the business came about, e.g. your particular wellbeing, skills or credentials.

3. What is the legal position of the business? Is it a sole trader, partnership, private limited company, public limited company…?
4. Does the business have limited or unlimited liability?
5. Summarize what the type of liability means for the owner of the business.

6. Why was the business created? What are the business’ objectives?

            The objectives may be bulleted and a short clarification should go with the statement e.g.

To make a profit: Given the current market status the business predicts a 40% profit in its first 2 years of operation.

—  A business should operate with a:

1. Mission Statement or a
2. Vision Statement.

      The Mission Statement states precisely the aims of the business and helps keep the workers of the business on task. It also clearly tells the customers what the business stands for and should facilitate them to understand your ethics and build customer faithfulness.

       The Vision Statement tells clearly what your business expects to achieve in the medium or long time period.

Introduction To CXC Business SBA Part2 (Executive Summary)

THE EXECUTIVE SUMMARY

This is a summary of the whole business. If you were to take your business plan to an investor in expectation of funding (securing a loan), the executive summary should tell the potential investor all he needs to know about your business in a few words.

It should persuade the reader/investor that your business plan is well planned, well organized, and that your business will be successful.

Introduction To CXC Business SBA Part1

What is the Business Plan?

Ø  A business plan is an official application for funding and support for an idea to establish a business or to expand a business.

—  It may be done for a fresh business or for an

Already existing business

Purpose of a Business Plan

—  The entire proposal of the business plan is to confine the reader’s attention in your business to the degree that he or she knows your business well enough to choose whether it is possible or not.

—  The business plan should be to the point. The writer must sell his or her ideas to a potential investor.

—  Students must be encouraged to use proper English.

—  Students should be educated how to use point form effectively.   Point form should not substitute the use of complete sentences particularly if the point is not spelt out noticeably for the reader.