If you're about to start a business (or approach a financial institution for funding to expand your existing business), then you must have a business plan. Your plan allows you to set your goals, assess your strengths and address your weaknesses.

You wouldn't set out on a journey not knowing where you were going, yet many people establish a business with no real concept of what they want to achieve or how they'll achieve it.

The outline below shows what you need to include in your business plan; use it to gather the appropriate information so that you get your business off to the best start.

EXECUTIVE SUMMARY

Quote (about your vision for the business)

What already exists

The niche -- as you see it and benefits your business will bring

Type of business proposed -- benefits you will bring to the market niche

Overall financial goals -- anticipated sales and profits

Funds required to start up business

BUSINESS PROFILE

Business name

Principals

Description of business:
what it aims to do
its target market

Vision -- ultimate goals

Mission -- value, service you'll offer

Competitive advantage you have -- e.g. flexibility, able to draw on wide base of talents, connections in the industry etc.

SWOT analysis [Strengths Weaknesses Opportunities Threats](Be honest with these, but only put in threats, weaknesses that you know you can meet and overcome successfully)

Objectives:
at the end of the first 12 months of operation
after 12 months

PRODUCT AND MARKET ANALYSIS

Product / Service -- description of what you're offering

Features

Benefits

Price structure

Industry description and outlook

Market demand -- percentage of market you think you can capture; competition share you think you can take etc.

OPERATING PLAN

Resource requirements:
what you need in order to operate
what this will cost

List items and specify prices (tables etc)

MANAGEMENT PLAN

Manning levels:
details of staff required
training needed

Experience of managers and their skills

MARKETING PLAN

Divide this into: Internal - how you'll win repeat customers and referrals

External - how you'll get new customers

Impact - how you'll target specific groups

Detail how you'll go about targeting and selling to each group e.g.

Service levels
Vouchers
Hand-outs
Music
Decor
Entertainment
Special add-ons
Etc.

Publicity and direct approaches you'll make (specify targets e.g. music schools etc)

Promotion (e.g. freebies, discounts, buy one get one free, every 6th something free, charity performances, openings etc)

The actual product / service you're selling

FINANCIAL PLAN

Details:
Projected sales
Projected costs
Projected profits

Give SPECIFIC details e.g. break down into gross profits, overheads, net profits etc.

ACTION PLAN

Use table to show:
Activities to be carried out
When these will be done
Who will do each

Give a chronological sequence of action to show how you plan to start and develop the business.

Provide plenty of graphs (use different styles), tables, facts and figures.

Get info from Bureau of Statistics on demography, socio-economic groups, age etc etc.

Have AN appendix and include any extra details (for example: newspaper cuttings about bands bemoaning the fact that they can't get their CDs cut etc).

By following this outline, you'll have a realistic goal for your business ... and your bank manager!