Your

Business
Plan
Workbook

PREFACE

This workbook is prepared for both veterans and civilians who either want to start their
own businesses, or who want to expand and improve their businesses.
This is a very important aspect of business development and requires careful
undertaking by both the trainer and trainee.
This business plan handbook was developed in collaboration with a number of VOCA
volunteers, partners and organizations.
These include:
Organizations and Partners.
zSoroti Catholic Diocese Integrated Development Organisation (SOCADIDO)
zSoroti District Association of NGOs Network (SODANN)
zUganda Veterans Assistance Board
zVision Terudo (Teso Rural Development Organisation)
zWorld Learning, Inc.
zWorld Vision, Soroti Project office.
zAmerican Peace Corps
Volunteers
zMr Dave Hammond
zProf. Surrendra Singh
zMr. Clair Hein
zMs Donna Kerner
zMr. Bob Nottleman
Thanks goes to Dave Hammond whose TOT in January and February of 1996, provided
the backbone to this handbook. His input during the September/October, 1996 pilot TOT
for "Your Business Plan handbook" and "Your Business Plan workbook" were of
valuable benefit in the development of the materials. Donna Kerner's field testing of
these materials during veterans training and subsequent feedback from the same is also
highly appreciated. Appreciation also goes to Bob Nottleman for his contribution to the
materials during the January/February Grand ToTs.
Our appreciation also goes to Mr. Clair Hein and Prof. Surrendra Singh who worked
hand in hand with VOCA staff, Mr. Martin Owiny to develop "Your Business Plan
Workbook" and "Your Business Plan Workbook" and the Trainers Guide to the two.
Special thanks also goes to VOCA staff Ms Elsie Mukasa for the development of the
graphics, design and layout of these materials.
This handbook was funded by the United States Agency for International
Development (USAID).

HOW TO USE THIS WORKBOOK

This workbook is designed to be studied and filled out by a trainee in conjunction with a
trainer.

You are therefore advised to go step by step through it with the help of your trainer. Do
not rush through it or try to understand it immediately, but allow your trainer to take you
chapter by chapter, step by step, exercise by exercise.
To complete this workbook, use the answers in the recommended sections of the
handbook to fill out your workbook. If you do this, you will then have a business plan that
you understand and which you can present to a lending institution.
What is a business plan?
In a business plan, you think about and work out what will happen in a business.
This will help you put your business in order, plan how your business will grow and see
the problems you may face when it starts.
A business plan has a number of parts to it.
PARTS OF A BUSINESS PLAN
I)
II)
III)
IV)
V)
VI)
VII)

Title page
Summary
Goals for your business
Management and organization
Marketing plan
The work plan
The financial plan
- Start-up capital
- Projected income statement
- Cash flow plan
- Break even analysis
- Balance Sheet
- Profit and loss statement

A business plan will help you:

z Understand your business better,
z Expand and improve your business,
z Decide whether to continue in business or not,
z It can help you start looking for financial assistance,
z It also helps you prepare for the future of your business.
*You should revise your business plan every year.

EXECUTIVE BUSINESS
PLAN SUMMARY

To answer this section please refer to page 98 and 99 of

YOUR BUSINESS PLAN HANDBOOK

EXECUTIVE BUSINESS PLAN SUMMARY

The business (group) __________________________located in _______________

It was formed for the following purposes _________________________________

_____________________________________________________________________
Since we were formed we have accomplished _____________________________
_____________________________________________________________________
In the next year, we plan to _____________________________________________
_____________________________________________________________________
We produce (or render service) _________________________________________
_____________________________________________________________________
We sell our products or services to ______________________________________
_____________________________________________________________________
We have a plan of activities to produce our product/service outlined in the following
Business plan.
Decisions are made by ________________________________________________.
We expect to make a profit of _________________during __________________ .
We will use the profit to _______________________________________________
_____________________________________________________________________.
If the activity goes as planned the benefit to the group and the community will be
__________________________________________________________________
_____________________________________________________________________
Our cash flow analysis shows that we will have enough money to pay our
bills on the requested loan of ________________________ which will be used to
_____________________________________________________________________
We will repay the loan by ____________ with money from the sales of _______
_____________________________________________________________________

LOAN REQUEST
(Complete only if seeking a loan)
Business (Group) _____________________________________________________
How large a loan do you need? _________________________________________
_____________________________________________________________________

When will you need the money? ________________________________________

______________________________________________________________________
How will the money from the loan be used? ______________________________
_____________________________________________________________________
_____________________________________________________________________
How will the loan help you make a profit? _______________________________
_____________________________________________________________________
_____________________________________________________________________
What security do you have to guarantee the loan? ________________________
_____________________________________________________________________
_____________________________________________________________________
When will you repay the loan? __________________________________________
_____________________________________________________________________
How will you be able to repay the loan? Where will you get the money to repay the
loan?
_____________________________________________________________________
_____________________________________________________________________
Why do you think you should receive the loan? ___________________________

BYLAWS

To answer this section please refer to page 11 to 18 of

YOUR BUSINESS PLAN HANDBOOK
(This section is only relevant to groups and not to individuals.)
PURPOSE OF THE BUSINESS GROUP.
A)

The purpose of the group is to:

_______________________________________________________________
_______________________________________________________________

MEMBERSHIP OF THE GROUP.

A)

The requirements for membership are:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________
B)

To remain a member in good standing, members must:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

C)

The following action will be taken when members:

Do not attend meetings:
_______________________________________________________________
_______________________________________________________________
_______________________________________________________________
Misuse money:
_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

Do not contribute money:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________
Neglect group work:
_______________________________________________________________
______________________________________________________________

D)

The following is a list of members of the group:

______________________________________________________________
______________________________________________________________
______________________________________________________________

LEADERSHIP OF THE GROUP

A)
The officers will be Chairman, Vice - chairman, Secretary and Treasurer. They
must be members of the group in good standing.
_______________________________________________________________
_______________________________________________________________
B)

The officers will serve a term of _________________ (months).

C)

The officers will be elected

_______________ (date).

by

the

members

of

the

meeting

on

The actions of all officers shall be fully transparent. They shall account to the
members upon request.
D)

The duties of the officers are as follows:

Chairman be the spokesman for the group, preside at meetings, maintain
order at meetings, direct the activities of the group between meetings.
_______________________________________________________________
_______________________________________________________________
Vice Chairman -- acts in place of the chairman when the chairman is unable to
act. Carries out other activities as designated by the chairman.
_______________________________________________________________
_______________________________________________________________
Secretary -- records minutes of meetings, keeps the list of all group
members, keeps record of all group activities and meetings.
_______________________________________________________________
______________________________________________________________

E)

If an office is vacant for any reason, the members shall elect a replacement at
the next regular meeting.

F)

Records will be taken of all proceedings of meetings conducted.

FINANCES
A)

The treasurer shall be responsible to keep the following records of the

group.

_______________________________________________________________
_______________________________________________________________
B)

All records of the group shall be available for inspection by group members who
give at least __________________ (time) notice of their desire to inspect.

C)

Any expenditure of group money over _______________ shall require

the approval of two officers.

D)
The treasurer shall keep no more than ______________ (amount) of the group's
funds in cash and the rest shall be deposited in the bank account.
E)

If an official of the group carries out the theft, or other illegal actions,
disciplinary actions and/or criminal proceedings shall be taken against
that

official.
F)

The profits of the group will be distributed ________________ (when).

G)

The profits of the group will be divided among members by:

_______________________________________________________________
_______________________________________________________________

Treasurer -- keep the financial records of the group, be ready to report

the
financial status at meetings, collect money due to the group, open and maintain a bank
account for the group. The treasurer shall be
personally responsible for the funds
of the group.
_______________________________________________________________
_______________________________________________________________
THE EXECUTIVE COMMITTEE
A)

The executive committee shall be composed of the officers of the group.

B)

The executive committee may act on behalf of the group on day to day matters
between meetings. The executive committee may act in emergency situations on
behalf of the group. Major decisions should be presented at meetings of the
entire group if possible. Any decisions of the executive committee shall be ratified
by the next regular or special meeting of the group.

MEETINGS
A)

The regular meetings of the group will be held:

_______________________________________________________________
_______________________________________________________________

B)

The executive committee may act on behalf of the group on day-to-day matters
between meetings. The executive committee may act in emergency situations on
behalf of the group. Major decisions should be presented at meetings of the
entire group if possible. Any decisions of the executive committee shall be ratified
by the next regular or special meeting of the group.

MEETINGS
A)

The regular meetings of the group will be held:

_______________________________________________________________
_______________________________________________________________

B)
Special meetings of the group can be called by two of the officers. They shall
notify members at least ____________ before the special meeting
except
in
emergencies.
HOW THE GROUP WILL SOLVE CONFLICT
The group will handle conflict in the following ways:
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
The group will reduce chances of conflict by:
______________________________________________________________________
______________________________________________________________________
__
______________________________________________________________________
The group will maintain trust by:

______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
VOTING
A)

Officers can be removed from office by a vote of _____________ of all the

members of the group, at a meeting of the group.

B)

The bylaws can be changed by a vote of a ______________ of all the

members of the group at a meeting of the group.

C)

The group shall be dissolved under the following circumstances:

On completion of tasks for which the group was formed by a vote of
___________ % of the membership.

ASSETS
A)

When the group dissolves, the assets of the group will be:
_______________________________________________________________
_______________________________________________________________

B)

The bylaws were adopted by the group on ___________________ (Date).

GOALS FOR
THE BUSINESS

To answer this section please refer to page 21 and 22 of

YOUR BUSINESS PLAN HANDBOOK

GOALS FOR THE BUSINESS

THE REASONS FOR THE BUSINESS.
A)

Products or services to be produced are:

_______________________________________________________________
_______________________________________________________________

B)

Personal reasons for starting a business:

_______________________________________________________________
_______________________________________________________________

C)

Group reasons for starting a business:

_______________________________________________________________
_______________________________________________________________

D)

Benefits of the business to the community:

_______________________________________________________________
_______________________________________________________________

THE ACHIEVEMENTS AS A BUSINESS OR BUSINESS GROUP.

A)

What the business has been able to do since it began:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

B)

Grants received by the business:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

C)

Loans received by the business and repayment history:

_______________________________________________________________
_______________________________________________________________

D)

Other sources of funds received by the business:

_______________________________________________________________
_______________________________________________________________

E)

Problems faced by the business:

_______________________________________________________________
_____________________ __________________________________________
_______________________________________________________________

GOALS
A)

Intended accomplishments of the business in the next:

Six months:
_______________________________________________________________
_______________________________________________________________
One year:
_______________________________________________________________
_______________________________________________________________
Three years:
_______________________________________________________________
_______________________________________________________________

MANAGEMENT
AND ORGANIZATION

To answer this section please refer to page 25 and 27 of

YOUR BUSINESS PLAN HANDBOOK

MANAGEMENT AND ORGANIZATION OF THE BUSINESS

EMPLOYEES REQUIRED FOR EACH ACTIVITY
A)

ACTIVITY

NUMBER OF LABORERS

___________________________________ _______________________
___________________________________ _______________________
___________________________________ _______________________

________________________________ _____________________
________________________________ _____________________
________________________________ _____________________
B)

Number of hired employees: _______________________________

C)

Number of family or group members: _______________________

D)

Total number of laborers in the business: ___________________

EMPLOYEE PAYMENT AND MOTIVATION

How much staff will be paid:
A)

Management: _____________________________

B)

Hired labor: _____________________________

C)

Family or group labor: ____________________

D)

Labor will be motivated to work hard by:

__________________________________________________________
__________________________________________________________

__________________________________________________________

MARKETING PLAN

To answer this section please refer to page 33 and 40 of

YOUR BUSINESS PLAN HANDBOOK

PRODUCT
A)

Product or service produced by the business:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

B)

Need or want that the product or service meets:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

C)

Customers:
_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

D)

Difference with other similar goods or services:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

E)

Why customers buy from us:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

PRICE.

A)

Cost of product or service:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

B)

Amount customers are willing and able to pay:

______________________________________________________________
_______________________________________________________________
_______________________________________________________________

C)

Price that other businesses charge for providing similar products or

services:
_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

D)

Price charged by our business:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

E)

Reason for prices:

_______________________________________________________________
_______________________________________________________________

__________________________________________________________

PLACE.
A)

Location of the business and how it operates:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________
B)

Distance from suppliers:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

C)

Location of customers:
_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

D)

How will the business get new customers:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

PROMOTION.
A)

How we will promote about the business to attract people to buy.

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

CUSTOMERS.
A)

Sex of the people who buy from the business:

_______________________________________________________________

_______________________________________________________________
_______________________________________________________________
B)

Age group of customers:

Below 16 yrs.

C)

16 - 25yrs.

26 - 35yrs.

36 - 40yrs.

over 40yrs.

How customers are treated in the business:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

YOUR COMPETITION.
A)

Others in the area providing the same goods and services as our business:
_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

B)

Number of customers going to our major competitor ________________

C)

Our major competitor is getting bigger/smaller.

D)

How will we attract additional customers:

_______________________________________________________________
_______________________________________________________________
_______________________________________________________________

E)

Comparison of our business with our major competitors:

Better
Same
Worse
____________________________________________________________________
Quality of your goods or services
____________________________________________________________________

Easy for customers to reach your business

____________________________________________________________________
Price of your goods and services
____________________________________________________________________
Appearance of your business
____________________________________________________________________
What customers say about your business
____________________________________________________________________
F)
The following changes will be made to our business so that more people buy
from us:
_______________________________________________________________
_______________________________________________________________

THE WORK PLAN

To answer this section please refer to your answer to step 6 on page 45 of

YOUR BUSINESS PLAN HANDBOOK

Seasonal Requirements
Work Plan for
Seasonal Activity
Duration of Activity
Estimated Start Date
Labor Requirements
Period - Weeks, Months or Acres

Task & (Period)

No. of Laborers

No. of Periods

Rate Per
Period

Total Cost

Total Labor Cost =

Seasonal Requirements
Work Plan for
Seasonal Activity
Duration of Activity
Estimated Start Date
Material Requirements
Material &
(Period)

Units per
Period

No. of Periods

Cost Per Period Total Cost

Total Material Cost =

Total Activity Cost (Labour + Materials) =

START-UP CAPITAL

To answer this section please refer to your answer on

the table on page 52 of YOUR BUSINESS PLAN HANDBOOK
START-UP CAPITAL
START -UP CAPITAL

SHS.

A) INVESTMENT
1. TOTAL MONEY FOR LAND AND
BUILDINGS
2. TOTAL MONEY FOR EQUIPMENT, +
TOOLS AND FURNITURE etc.
TOTAL INVESTMENTS
B) WORKING CAPITAL

1. TOTAL
MONEY
FOR
RAW
MATERIALS OR FINISHED GOODS
2. TOTAL MONEY FOR WAGES

3. TOTAL MONEY FOR RENT

4.TOTAL MONEY FOR OTHER COSTS

TOTAL WORKING CAPITAL

TOTAL START-UP CAPITAL

PROJECTED INCOME
STATEMENT

To answer this section please refer to your answer to the table

on page 66 and 67 of YOUR BUSINESS PLAN HANDBOOK
PROJECTED INCOME STATEMENT FOR.......................................................
Details

Months
Jan
.

Sales
Less DIRECT
MATERIAL
COSTS
Less DIRECT
LABOR

Feb.

Mar.

Apr.

May

June

Sub
Total

COSTS

GROSS
PROFIT

INDIRECT
COSTS
Rent for land
Rent of
Building

Electricity
Water
Workers
salary
Owners salary
Stationary
Furniture
Loan Interest
Tax
Depreciation
Others
Total
Costs

Indirect

NET PROFIT
(Gross profit
minus Total
Indirect Costs

PROJECTED INCOME STATEMENT FOR.......................................................

Details

Months
Jan
.

Sales
Less DIRECT
MATERIAL
COSTS

Feb.

Mar.

Apr.

May

June

Sub
Total

Less DIRECT
LABOR
COSTS
GROSS
PROFIT

INDIRECT
COSTS
Rent for land
Rent of
Building

Electricity
Water
Workers
salary
Owners salary
Stationary
Furniture
Loan Interest
Tax
Depreciation
Others
Total
Costs

Indirect

NET PROFIT
(Gross profit
minus Total
Indirect Costs

CASH FLOW PLAN

To answer this section please refer to your answer to the table on page 75 of
YOUR BUSINESS PLAN HANDBOOK
YOUR CASH FLOW PLAN.
CASH FLOW PLAN

MONTHS
JAN

SOURCES OF CASH
1. CASH AT THE START
OF THE MONTH
2. CASH IN FROM SALES
3. CASH FROM MEMBERS
4. MONEY RECEIVED
FROM DEBTORS
5. CASH LOAN RECEIVED
6. CASH GRANT
RECEIVED

FEB

MAR

APRIL

MAY

JUNE

7. ANY OTHER CASH IN

8. TOTAL CASH IN (SUM OF
NO.2 THROUGH NO.7)

USES OF CASH
9. CASH OUT FOR DIRECT
MATERIAL COSTS
10.

CASH

OUT

FOR

DIRECT LABOR COSTS

11. CASH OUT FOR
INDIRECT COSTS
12. CASH OUT FOR
PLANNED INVESTMENT IN
EQUIPMENT
13. CASH OUT TO
MEMBERS
14. LOAN PRINCIPAL
REPAID
15. LOAN INTEREST PAID
16. ANY OTHER CASH
OUT
17. TOTAL CASH OUT
18. MONTHLY NET (No. 8 N0. 17)
19. CASH AT THE END OF
THE MONTH (No. 1 - No.
18)

YOUR CASH FLOW PLAN.

CASH FLOW PLAN

MONTHS
JAN

SOURCES OF CASH
1. CASH AT THE START
OF THE MONTH
2. CASH IN FROM SALES
3. CASH FROM MEMBERS
4. MONEY RECEIVED
FROM DEBTORS
5. CASH LOAN RECEIVED
6. CASH GRANT
RECEIVED

FEB

MAR

APRIL

MAY

JUNE

7. ANY OTHER CASH IN

8. TOTAL CASH IN (SUM OF
NO.2 THROUGH NO.7)

USES OF CASH
9. CASH OUT FOR DIRECT
MATERIAL COSTS
10.

CASH

OUT

FOR

DIRECT LABOR COSTS

11. CASH OUT FOR
INDIRECT COSTS
12. CASH OUT FOR
PLANNED INVESTMENT IN
EQUIPMENT
13. CASH OUT TO
MEMBERS
14. LOAN PRINCIPAL
REPAID
15. LOAN INTEREST PAID
16. ANY OTHER CASH
OUT
17. TOTAL CASH OUT
18. MONTHLY NET (No. 8 N0. 17)
19. CASH AT THE END OF
THE MONTH (No. 1 - No.
18)

BREAK EVEN
ANALYSIS

To answer this section please refer to your answer to the table on page 83, if you
are, providing many products or service's or page 85 if your are providing one
product or service in YOUR BUSINESS PLAN HANDBOOK
BREAK EVEN POINT SALES LEVEL

I. CALCULATE GROSS PROFIT

TOTAL SALES IN YOUR BUSINESS

SHS.
/=

Less
TOTAL DIRECT COSTS (DIRECT
MATERIAL COSTS AND DIRECT
LABOR COSTS)
GROSS PROFITS
II. CALCULATE GROSS MARGIN

SHS
SHS

GROSS MARGIN = GROSS PROFIT

TOTAL SALES
---------------------GROSS MARGIN

--------------------III. CALCULATE TOTAL INDIRECT COST

INDIRECT COSTS
Rent for land
Rent of building
Electricity
Water
Workers' salary
Stationery
Furniture
Loan interest
Tax
Depreciation
TOTAL INDIRECT COST

IV. BREAK EVEN POINT SALES LEVEL

TOTAL INDIRECT COSTS
GROSS MARGIN
BREAK EVEN POINT SALES LEVEL

BREAK EVEN POINT PRICE LEVEL FOR _________________________________

I. CALCULATE TOTAL COST

TOTAL COST

DIRECT COST + INDIRECT COST

TOTAL COST

II. CALCULATE TOTAL YIELD

= NUMBER OF PRODUCTS PRODUCED IN

THEIR UNITS OF MEASUREMENT e.g. Kg.

TOTAL YIELD

TOTAL YIELD

III. CALCULATE BREAK EVEN POINT PRICE LEVEL

BREAK EVEN POINT PRICE
LEVEL (TOTAL COST OF
MANUFACTURING A GOOD

_____________________________
__
TOTAL YIELD OR TOTAL PRODUCTION OF
THE
GOOD)

____________________________

THE BALANCE SHEET

BALANCE SHEET FOR .........................................................

ASSETS
CURRENT ASSETS
1.
2.
3.

Cash
Items in the store
Money other people owe to your business

SHILLINGS
+
+
+

TOTAL CURRENT ASSETS

FIXED ASSETS
1.
2.
3.
4.
5.
6.

Land
Buildings
Machinery
Tools
Equipment
Furniture

TOTAL FIXED ASSETS

+
+
+
+
+

TOTAL ASSETS (TOTAL CURRENT + TOTAL

FIXED)

LIABILITIES

SHILLINGS

CURRENT LIABILITIES
1.
2.
3.
4.

Interest on short term loans, long term loans

Taxes
Wages and salaries earned but not paid
Money owed to other businesses for goods
purchased on credit

+
+
+
+

TOTAL CURRENT LIABILITIES

LONG TERM LIABILITY
1.
2.
3.
4.

Loans incurred to buy land

Loans incurred to buy buildings
Loans incurred to buy equipment
Loans incurred to start a business

+
+
+
+

TOTAL LONG TERM LIABILITY

TOTAL LIABILITY (TOTAL CURRENT +

TOTAL LONG TERM)

OWNERS EQUITY
(TOTAL ASSETS - TOTAL LIABILITY)

TOTAL LIABILITY PLUS OWNERS

EQUITY

SHILLINGS
+

PROFIT AND LOSS

STATEMENT

To answer this section please refer to your answer to the table on page 95 of
YOUR BUSINESS PLAN HANDBOOK

PROFIT AND LOSS STATEMENT

TOTAL SALES
Less

MATERIAL COSTS

Less

DIRECT LABOR COSTS

GROSS PROFIT
Less

INDIRECT COSTS
Rent for land
Rent of building
Electricity
Water
Workers salary
Stationary
Furniture

...................................................

Loan interest
Tax
Depreciation
Others
TOTAL INDIRECT COSTS
NET PROFIT