Busines Plan Format

TECHNOLOGICAL INSTITUTE OF THE PHILIPPINES 1
SENIOR HIGH SCHOOL
COMPANY NAME
Address
Business phone
Website URL
Email address
A Business Plan
Presented to the
Senior High School
Technological Institute of the Philippines
by
NAME OF PROPONENTS
(Last Name, First Name Middle Initials)
March 2018
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TABLE OF CONTENTS
Page
1.0 Introduction 1
1.1 Description of the Business 1
1.2 Location of the Business 1
1.3 Funding Requirements and Source of Funds 1
2.0 Executive Summary
2.1 Goals for the Business 7
2.2 Target Market 18

2.3 Competition in the Market 22
2.4 Management Team 23
2.5 Financial Outlook of the Business 23
3.0 Company Description 24
3.1 Company Name’s Mission Statement 26
3.2 Company Name’s Philosophy and Vision 29
3.3 Company Name’s Goals 30
3.4 Target Market 31
3.5 Industry 32
3.6 Legal Structure 33
4.0 Products and Services 24
4.1 Products and Services 26
4.2 Special Benefits 29
4.3 Unique Features 30
4.4 Limits and Liabilities 31
4.5 Production and Delivery 32
4.6 Suppliers 33
47 Intellectual Property Special Permits 33
5.0 Marketing Plan 34
5.1 Market Research 34
5.2 Barriers to Entry 34
5.3 Threats and Opportunities 34
5.4 Product and Service Features and Benefits 34
5.5 Target Customer 34
5.6 Key Competitors 34
5.7 Positioning/Niche 34
5.8 Promotion 34
5.9 Promotional Budget 34
5.10 Pricing 34
5.11 Location 34
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5.12 Distribution Channels 34

5.13 12-Months Sales Forecast 34
6.0 Operational Plan 34
6.1 Production 34
6.2 Quality Control 34
6.3 Location 34
6.4 Legal Environment 34
6.5 Personnel 34
6.6 Inventory 34
6.7 Suppliers 34
6.8 Credit Policies 34
7.0 Management and Organization 34
7.1 Biographies 34
7.2 Gaps 34
7.3 Advisors 34
7.4 Organization Chart 34
8.0 Start-up Expenses and Capitalization 34
8.1 Start-up Expenses 34
8.2 Opening Day Balance 34
8.3 Personal Financial Statement 34
9.0 Financial Plan 34
9.1 12-Month Profit & Loss Project 34
9.2 Cash Flow Projection 34
9.3 Projected Balance Sheet 34
9.4 Break-Even Calculation 34
9.5 Use of Capital 34
APPENDICES 34
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CHAPTER 1
INTRODUCTION
This section of the business plan presents the overview of your business
idea, description of the business (What problems are you solving for your target
customers?), its location, and the total funding requirements and the possible
funding resources.
1.1 Overview of the Business
This presents your founding year, development stages &
establishment of the business (specific mo’s/ years)
1.2 Description of the Business
Explain briefly what is the industry/ type of the business & describe
its significant and function.
1.3 Location of the Business
Identify your ideal business location or strategic location and

why?
1.4 Funding Requirements and Source of Funds
How much is the ideal overall capital needed by the business and
who will fund it.

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CHAPTER 2
EXECUTIVE SUMMARY
The Executive Summary is the most important part of your business plan. Often,
it’s the only part that a prospective investor or lender reads before deciding
whether or not to read the rest of your plan. It should convey your enthusiasm
for your business idea and get readers excited about it, too.
Write your Executive Summary LAST, after you have completed the rest of the
business plan. That way, you’ll have thought through all the elements of your
startup and be prepared to summarize them.
The Executive Summary should briefly explain each of the below.
1. Your goals for the business. Where do you expect the business to
be in one year, three years, five years?

2. Your proposed target market. Who are your ideal customers?
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3. Your competition and what differentiates your business. Who are
you up against, and what unique selling proposition will help you
succeed?
4. Your management team and their prior experience. What do
they bring to the table that will give your business a competitive
edge?
5. Financial outlook for the business. If you’re using the business
plan for financing purposes, explain exactly how much money you
want, how you will use it, and how that will make your business
more profitable.
Limit your Executive Summary to 3 or 5 pages in total.
After reading the Executive Summary, readers should have a basic understanding
of your business, should be excited about its potential, and should be interested
enough to read further.
2.1 Goals for the Business
2.2 Target Market
2.3 Competition in the Market
2.4 Management Team

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2.5 Financial Outlook of the Business
CHAPTER 3
COMPANY DESCRIPTION
This section explains the basic elements of your business.
3.1 Company Name Mission Statement

A mission statement is a brief explanation of your company’s reason for
being. It can be as short as a marketing tagline (“MoreDough is an app
that helps consumers manage their personal finances in a fun, convenient
way”) or more involved: (“Doggie Tales is a dog daycare and grooming
salon specializing in convenient services for urban pet lovers. Our mission
is to provide service, safety and a family atmosphere, enabling busy dog
owners to spend less time taking care of their dog’s basic needs and more
time having fun with their pet.”) In general, it’s best to keep your mission
statement to one or two sentences.
3.2 Company Name Philosophy and Vision

a. What values does your business live by? Honesty, integrity, fun,
innovation and community are values that might be important to
your business philosophy.

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b. Vision refers to the long-term outlook for your business. What do
you ultimately want it to become? For instance, your vision for
your doggie day-care center might be to become a national chain,
franchise or to sell to a larger company.
3.3 Company Name Goals
Specify your long- and short-term goals as well as any milestones or
benchmarks you will use to measure your progress. For instance, if one of
your goals is to open a second location, milestones might include
reaching a specific sales volume or signing contracts with a certain
number of clients in the new market.
3.4 Target Market

You will cover this in-depth in the Marketing Plan section. Here, briefly
explain who your target customers are.
3.5 Industry
Describe your industry and what makes your business competitive: Is the
industry growing, mature or stable? What is the industry outlook long-
term and short-term? How will your business take advantage of projected
industry changes and trends? What might happen to your competitors
and how will your business successfully compete?

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3.6 Legal Structure

Is your business a sole proprietorship, LLC, partnership or corporation? Why
did you choose this particular form of business?

If there is more than one owner, explain how ownership is divided. If you
have investors, explain the percentage of shares they own. This information is
important to investors and lenders.
After reading the Company Description, the reader should have a basic
understanding of your business’s mission and vision, goals, target market,
competitive landscape and legal structure.

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CHAPTER 4
PRODUCTS AND SERVICES
This section expands on the basic information about your products and services
included in the Executive Summary and Company Description. Here are some
items to consider:
1. Your company’s products and/or services: What do you sell, and how
is it manufactured or provided? Include details of relationships with
suppliers, manufacturers and/or partners that are essential to
delivering the product or service to customers.

2. The problem the product or service solves: Every business needs to
solve a problem that its customers face. Explain what the problem is
and how your product or service solves it. What are its benefits,
features and unique selling proposition? Yours won’t be the only
solution (every business has competitors), but you need to explain
why your solution is better than the others, targets a customer base
your competitors are ignoring, or has some other characteristic that
gives it a competitive edge.

3. Any proprietary features that give you a competitive advantage: Do
you have a patent on your product or a patent pending? Do you have

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exclusive agreements with suppliers or vendors to sell a product or
service that none of your competitors sell? Do you have the license
for a product, technology or service that’s in high demand and/or
short supply?
4. How you will price your product or service: Describe the pricing, fee,
subscription or leasing structure of your product or service. How does
your product or service fit into the competitive landscape in terms of
pricing—are you on the low end, mid-range or high end? How will
that pricing strategy help you attract customers? What is your
projected profit margin?
Include any product or service details, such as technical specifications, drawings,
photos, patent documents and other support information, in the Appendices.
After reading the Products & Services section, the reader should have a
clear understanding of what your business does, what problem it solves for
customers, and the unique selling proposition that makes it competitive.
4.1 Products and Services
4.2 Special Benefits
4.3 Unique Features

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4.4 Limits and Liabilities
4.5 Production and Delivery
4.6 Suppliers
4.7 Intellectual Property Special Permits
CHAPTER 5
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MARKETING PLAN
This section provides details on your industry, the competitive landscape, your
target market and how you will market your business to those customers.
5.1 Market Research
There are two kinds of research: primary and secondary. Primary market
research is information you gather yourself. This could include going online or
driving around town to identify competitors; interviewing or surveying people
who fit the profile of your target customers; or doing traffic counts at a retail
location you’re considering.
Secondary market research is information from sources such as trade
organizations and journals, magazines and newspapers, Census data and
demographic profiles. You can find this information online, at libraries, from
chambers of commerce, from vendors who sell to your industry or from
government agencies.
This section of your plan should explain:
The total size of your industry

Trends in the industry – is it growing or shrinking?
The total size of your target market, and what share is realistic for you to obtain
Trends in the target market – is it growing or shrinking? How are customer
needs or preferences changing?

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5.2 Barriers to Entry
What barriers to entry does your startup face, and how do you plan to overcome
them? Barriers to entry might include:
High startup costs

High production costs
High marketing costs
Brand recognition challenges
Finding qualified employees
Need for specialized technology or patents
Tariffs and quotas
Unionization in your industry
5.3 Threats and Opportunities
Once your business surmounts the barriers to entry you mentioned, what
additional threats might it face? Explain how the following could affect your
startup:
Changes in government regulations

Changes in technology
Changes in the economy
Changes in your industry
SWOT Analysis
Strengths Weaknesses Opportunities Threats

Product/
Service
Offering
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Brand/
Marketing
Staff/HR
Finance
Operations/
Management
Market
Can any of your strengths help with improving your weaknesses or combating
your threats? If so, please describe how below.
Based on the information above, what are your immediate goals/next steps?
Based on the information above, what are your long-term goals/next steps?
Table 1. SWOT Analysis
5.4 Product and Service Features and Benefits
Describe all of your products or services, being sure to focus on the customer’s
point of view. For each product or service:
 Describe the most important features. What is special about it?

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 Describe the most important benefits. What does it do for the customer?
In this section, explain any after-sale services you plan to provide, such as:
 Product delivery
 Warranty/guarantee
 Service contracts
 Ongoing support
 Training
 Refund policy
5.5 Target Customer
Describe your target customer. (This is also known as the ideal customer or buyer
persona.)
You may have more than one target customer group. For instance, if you sell a
product to consumers through distributors, such as retailers, you have at least
two kinds of target customers: the distributors (businesses) and the end users
(consumers).
Identify your target customer groups, and create a demographic profile for each
group that includes:
For consumers:
Age
Gender
Location
Income
Occupation
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Education level
For businesses:
Industry
Location
Size
Stage in business (startup, growing, mature)
Annual sales
5.6 Key Competitors
One of the biggest mistakes you can make in a business plan is to claim you have
“no competition.” Every business has competitors. Your plan must show that
you’ve identified yours and understand how to differentiate your business. This
section should:
List key companies that compete with you (including names and locations),
products that compete with yours and/or services that compete with yours. Do
they compete across the board, or just for specific products, for certain
customers or in certain geographic areas?
Also include indirect competitors. For instance, if you’re opening a restaurant
that relies on consumers’ discretionary spending, then bars and nightclubs are
indirect competitors.
Competitor Data Collection Plan
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Price
Benefits/Features
Size/profitability
Market strategy
Table 2. Competitor Data Collection Plan
Competitive Analysis
For each factor listed in the first column, assess whether you think it’s a strength
or a weakness (S or W) for your business and for your competitors. Then rank
how important each factor is to your target customer on a scale of 1 to 5 (1 =
very important; 5 = not very important). Use this information to explain your
competitive advantages and disadvantages.

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Competito Importan
r Competito Competito
FACTOR Me ce to
rB rC
A Customer
Products
Price
Quality
Selection
Service
Reliability
Stability
Expertise
Company
Reputatio
n
Location
Appearan
ce
Sales
Method
Credit
Policies
Advertisin
g
Image
Table 3. Competitive Analysis
5.7 Positioning/Niche
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Now that you’ve assessed your industry, product/service, customers and
competition, you should have a clear understanding of your business’s niche
(your unique segment of the market) as well as your positioning (how you want
to present your company to customers). Explain these in a short paragraph.
5.8 Promotion
In this section, explain the marketing and advertising tactics you plan to use.
Advertising may include:
 Online
 Print
 Radio
 Cable television
 Out-of-home
Which media will you advertise in, why and how often?
Marketing may include:
 Business website
 Social media marketing
 Email marketing
 Mobile marketing
 Search engine optimization
 Content marketing
 Print marketing materials (brochures, flyers, business cards)
 Public relations
 Trade shows
 Networking
 Word-of-mouth
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 Referrals
What image do you want to project for your business brand?
What design elements will you use to market your business? (This includes your
logo, signage and interior design.) Explain how they’ll support your brand.
5.9 Promotional Budget
How much do you plan to spend on the marketing and advertising outreach
above:
 Before startup (These numbers will go into your startup budget)

 On an ongoing basis (These numbers will go into your operating plan
budget)
Marketing Expenses Strategy Chart
Target Market
Target Market 1 Target Market 2
3
One-Time
Expenses
Monthly or
Annual Expenses
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Labor Costs
Table 4. Marketing Expenses Strategy Chart
5. 10 Pricing
You explained pricing briefly in the “Products & Services” section; now it’s time
to go into more detail. How do you plan to set prices? Keep in mind that few
small businesses can compete on price without hurting their profit margins.
Instead of offering the lowest price, it’s better to go with an average price and
compete on quality and service.
 Does your pricing strategy reflect your positioning?

 Compare your prices with your competitors’. Are they higher, lower or the
same? Why?
 How important is price to your customers? It may not be a deciding
factor.
 What will your customer service and credit policies be?
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Pricing Strategy
Business Name
Which of the following pricing strategies will you employ? Circle one.
Cost Plus Value Based Other:
The costs of making/obtaining Based on your competitive

your product or providing your advantage and brand
service, plus enough to make a (perceived value)
profit
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Provide an explanation of your pricing model selection.

Include strategy info on your major product lines/service offerings. List
industry/market practices and any considerations to be discussed with your
mentor.
Table 5. Pricing Strategy
5.11 Location
If you have a location picked out, explain why you believe this is a good location
for your startup.

If you haven’t chosen a location yet, explain what you’ll be looking for in a
location and why, including:

Convenient location for customers
Adequate parking for employees and customers
Proximity to public transportation or major roads
Type of space (industrial, retail, etc.)
Types of businesses nearby
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Focus on the location of your building, not the physical building itself. You’ll
discuss that later, in the Operations section.
5.12 Distribution Channels
What methods of distribution will you use to sell your products and/or services?
These may include:
 Retail
 Direct sales
 Ecommerce
 Wholesale
 Inside sales force
 Outside sales representatives
If you have any strategic partnerships or key distributor relationships that will be
a factor in your success, explain them here.
Distribution Channel Assessment
Distribution Distribution Distribution

Channel 1 Channel 2 Channel 3
Ease of Entry
Geographic
Proximity
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Costs
Competitors’
Positions
Management
Experience
Staffing
Capabilities
Marketing
Needs
Table 6. Distribution Channel Assessment
5.13 12-Months Sales Forecast
If you’ve already made some sales, you can use those as a basis for your
projections. If, like most startups, you haven’t sold anything yet, you’ll need to
create estimates based on your market research, your proposed marketing
strategies and your industry data.
Create two forecasts: a “best guess” scenario (what you really expect) and a
“worst case” scenario (one you’re confident you can reach no matter what).
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Keep notes on the research and assumptions that go into developing these sales
forecasts. Financing sources will want to know what you based the numbers on.
After reading the Marketing Plan section, the reader should understand
who your target customers are, how you plan to market to them, what sales and
distribution channels you will use, and how you will position your
product/service relative to the competition.

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CHAPTER 6
OPERATIONAL PLAN
This section explains the daily operation of your business, including its location,
equipment, personnel and processes.
6.1 Production
How will you will produce your product or deliver your service? Describe your
production methods, the equipment you’ll use and how much it will cost to
produce what you sell.
6.2 Quality control
How will you maintain consistency? Describe the quality control procedures
you’ll use.
6.3 Location
Where is your business located? You briefly touched on this in the Company
Overview. In this section, expand on that information with details such as:
a. The size of your location

b. The type of building (retail, industrial, commercial, etc.)
c. Zoning restrictions
d. Accessibility for customers, employees, suppliers and transportation if
necessary
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e. Costs including rent, maintenance, utilities, insurance and any buildout or
remodeling costs
f. Utilities
6.4 Legal Environment
What type of legal environment will your business operate in? How are you
prepared to handle legal requirements? Include details such as:
g. Any licenses and/or permits that are needed and whether you’ve obtained
them
h. Any trademarks, copyrights or patents that you have or are in the process
of applying for
i. The insurance coverage your business requires and how much it costs
j. Any environmental, health or workplace regulations affecting your business
k.Any special regulations affecting your industry
l. Bonding requirements, if applicable
6.5 Personnel
What type of personnel will your business need? Explain details such as:
m.What types of employees? Are there any licensing or educational
requirements?
n. How many employees will you need?
o. Will you ever hire freelancers or independent contractors?
p. Include job descriptions.
q. What is the pay structure (hourly, salaried, base plus commission, etc.)?
r. How do you plan to find qualified employees and contractors?
s. What type of training is needed and how will you train employees?
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6.6 Inventory
If your business requires inventory, explain:
 What kind of inventory will you keep on hand (raw materials, supplies,
finished products)?
 What will be the average value of inventory (in other words, how much are
you investing in inventory)?
 What rate of inventory turnover do you expect? How does this compare to
industry averages?
 Will you need more inventory than normal during certain seasons? (For
instance, a retailer might need additional inventory for the holiday shopping
season.)
 What is your lead time for ordering inventory?
6.7 Suppliers
List your key suppliers, including:
Names, addresses, websites

Type and amount of inventory furnished
Their credit and delivery policies
History and reliability
Do you expect any supply shortages or short-term delivery problems? If so, how
will you handle them?

Do you have more than one supplier for critical items (as a backup)?
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Do you expect the cost of supplies to hold steady or fluctuate? If the latter, how
will you deal with changing costs?

What are your suppliers’ payment terms?
6.8 Credit Policies
If you plan to sell to customers on credit, explain:
 Whether this is typical in your industry (do customers expect it)?

 What your credit policies will be. How much credit will you extend? What are
the criteria for extending credit?

 How will you check new customers’ creditworthiness?
 What credit terms will you offer?
 Detail how much it will cost you to offer credit, and show that you’ve built
these costs into your pricing structure.

 How will you handle slow-paying customers? Explain your policies, such as
when you will follow up on late payments, and when you will get an attorney or
collections agency involved.
After reading the Operational Plan section, the reader should understand how
your business will operate on a day-to-day basis.

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CHAPTER 7
MANAGEMENT AND ORGANIZATION
This section should give readers an understanding of the people behind your
business, their roles and responsibilities, and their prior experience. If you’re
using your business plan to get financing, know that investors and lenders
carefully assess whether you have a qualified management team.
7.1 Biographies
Include brief biographies of the owner/s and key employees. Include resumes in
the Appendix. Here, summarize your experience and those of your key
employees in a few paragraphs per person. Focus on the prior experience and
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skills that have prepared your team to succeed in this business. If anyone has
previous experience starting and growing a business, explain this in detail.
7.2 Gaps
Explain how you plan to fill in any gaps in management and/or experience. For
instance, if you lack financial know-how, will you hire a CFO or retain an
accountant? If you don’t have sales skills, will you hire an in-house sales manager
or use outside sales reps?

7.3 Advisors
List the members of your professional/advisory support team, including:
 Attorney
 Accountant
 Board of directors
 Advisory board
 Insurance agent
 Consultants
 Banker
 Mentors and other advisors
If they have experience or specializations that will increase your chances of
success, explain. For instance, does your mentor have experience launching and
growing a similar business?
7.4Organization Chart
Develop and include an organization chart. This should include both roles that
you’ve already filled and roles you plan to fill in the future.
After reading the Management & Organization section, the reader should feel
confident that you have a qualified team leading your business.

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Bio/s
Gaps in
Management or
Experience
Advisors
Table 7. Management Worksheet

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Organization Chart
TITLE
TITLE TITLE TITLE

TITLE
TITLE
TITLE TITLE
TITLE TITLE TITLE
TITLE TITLE
Figure 1. Organization Chart

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CHAPTER 8
START-UP EXPENSES AND CAPITALIZATION
In this section, detail the expenses involved in opening for business and how
much capital you’ll need. (Do not include ongoing expenses after your business
opens; those are listed in the Financial Plan.) Estimating startup expenses as
accurately as possible helps you gather enough startup capital.
8.1 Start-up Expenses
In working on this Business Plan, you should already have gathered most, if not
all, of the information you need. In the body of this section, be sure to explain all
of the assumptions behind the figures. How did you come up with these
expenses? If you’ve secured or expect to secure loans, explain the source/s,
amount/s and terms. If you’ve secured or expect to secure investors, explain how
much each investor will contribute and what percentage of ownership each
receives in return.
Be sure to include extra capital for unexpected expenses. Opening a new
business almost always ends up costing more than expected, and you need to be
prepared. List this figure in the Start-Up Expenses template under “Reserve for
Contingencies.” How much should you set aside for contingencies? You can talk
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to other business owners in your industry to get a ballpark figure. If you can’t
come up with a figure this way, a good rule of thumb is to set aside 20% to 25%
of your total startup costs for contingencies.
8.2 Opening Day Balance
Complete the Opening Day Balance Sheet. Use it to detail the expected state of
your business finances on opening day. As with the Start-Up Expenses sheet, be
sure to explain the assumptions behind the figures.
8.3 Personal Financial Statement
If you are using the business plan to seek financing, include personal financial
statements for each owner and each major stockholder. The personal financial
statements should detail each person’s assets and liabilities outside of the
business and their personal net worth. Investors and/or lenders typically expect
business owners to use personal assets to finance a startup, and they’ll want to
see how much capital you have available from your personal finances.
After reading the Startup Expenses & Capitalization section, the reader should
know how much money is needed to start the business and how well capitalized
you are.
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CHAPTER 9
FINANCIAL PLAN
Your financial plan is perhaps the most important element of your business plan.
Lenders and investors will review it in detail. Developing your financial plan helps
you set financial goals for your startup and assess its financing needs. Include the
following:
9.1 12-month Profit & Loss Project
Also known as an income statement or P&L, the 12-month profit and loss
projection is the centerpiece of your business plan. Using the 12-month profit
and loss projection, fill in your projected sales, cost of goods sold and gross
profit. (Refer to the Sales Forecast you created in Section IV). Then list your
expenses, net profit before taxes, estimated taxes and net operating income.
Be sure to explain the assumptions behind the numbers in your P&L. Keep
detailed notes about how you came up with these figures; you may need this
information to answer questions from potential financing sources.
9.2 Cash Flow Projection

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The cash flow statement tracks how much cash your business has on hand at any
given time. Once your business is up and running, you’ll want to keep close tabs
on your cash flow statement. For now, however, you’re creating a cash flow
projection. Think of the cash flow projection as a forecast for your business
checking account. It details when you need to spend money on things such as
inventory, rent and payroll, and when you expect to receive payments from
customers and clients. For example, you may make a sale, have to buy inventory
to fulfill the sale, and not collect payment from the customer for 30, 60 or 90
days. The cash flow projection takes these factors into account, helping you
budget for upcoming expenses so your business doesn’t run out of money.
9.3 Projected Balance Sheet
A balance sheet subtracts the company’s liabilities from its assets to arrive at the
owner’s equity. You already created an opening day balance sheet in Section 1.
Now, using the Balance Sheet (Projected) and create a projected balance sheet
showing the estimated financial condition of your business at the end of its first
year. The major difference between the two is that the projected balance sheet
includes any owner’s equity resulting from the business’s first year in operation.
Lenders and investors may want to see this projection.
9.4 Break-Even Calculation

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The break-even analysis projects the sales volume you need in order to cover
your costs. In other words, when will the business break even? Using the Break-
Even Analysis template and, using your profit and loss projections, enter your
expected fixed and variable costs. Adjust the categories to reflect your own
business.
You can even create a couple of different break-even analyses for different
scenarios. For example, your payroll costs will vary depending on whether you
hire full-time employees or use independent contractors. Creating different
break-even analyses can help you determine the best option.
9.5 Use of Capital
If you’re using the business plan to seek financing from lenders or investors,
provide a breakdown of how you will use the capital and what results you expect.
For example, perhaps you will use the money to buy new equipment and expect
that to double your production capacity.
After reading the Financial Plan section, the reader should understand the
assumptions behind your financial projections and be able to judge whether
these projections are realistic.

SENIOR HIGH SCHOOL
APPENDICES
Don’t slow your readers down by cluttering your business plan with supporting
documents, such as contracts or licenses. Instead, put these documents in the
Appendices, and refer to them in the body of the plan so readers can find them if
needed.
Below are some elements many business owners include in their Appendices.
1.Agreements (Leases, contracts, purchase orders, letters of intent, etc.)

2.Intellectual property (trademarks, licenses, patents, etc.)
3.Resumes of owners/key employees
4.Advertising/marketing materials
5.Public relations/publicity
6.Blueprints/plans
7.List of equipment
8.Market research studies
9.List of assets that can be used as collateral
You can also include any other materials that will give readers a fuller picture of
your business or support the projections and assumptions you make in your plan.
For instance, you might want to include photos of your proposed location,
illustrations or photos of a product you are patenting, or charts showing the
projected growth of your market.
After reviewing the Appendices, the reader should feel satisfied that the
assumptions throughout the plan are backed up by documentation and evidence.
REFINING THE PLAN

SENIOR HIGH SCHOOL
Modify your business plan for your specific needs, audience and industry. Here
are some guidelines to help:
For a Manufacturing Business
 Explain the operations involved in manufacturing your product/s.

 What equipment is needed? What are the production/capacity limits of the
equipment?
 What are the production/capacity limits of the proposed physical plant?
 Is specialized labor needed?
 What raw materials do you need for manufacturing? Are there any special
requirements for storing these?
 What quality control procedures will you use?
 How will you manage inventory levels?
 What is your supply chain?
 Explain any new products you’re developing, or products you plan to begin
developing after startup.
For a Service Business
 Explain your prices and the methods used to set them.

 What systems and processes will you use for ensuring consistent delivery of
services?
 What quality control procedures will you use?
 How will you measure employee productivity?
 Will you subcontract any work to other businesses? If so, what percentage of
work will be subcontracted? Will you make a profit on subcontracting?
 Explain your credit, payment and collections policies and procedures.
 How will you maintain your client base and get long-term contracts?
 Explain any new services you’re developing or services you plan to add after
startup.
For a Retail Business
 List specific brands you plan to carry that will give you a competitive
advantage.
 How will you manage inventory? What inventory management software will
you use?
 What forms of payment will you accept? What payment processing service
will you use?
SENIOR HIGH SCHOOL
 What point-of-sale software and hardware will you use?

 Explain your markup policies. Your prices should be profitable, competitive
and in line with your brand.
 Initial inventory level: Find the industry average annual inventory turnover
rate. Multiply your initial inventory investment by the average turnover rate. The
result should be at least equal to your projected first year's cost of goods sold. If
not, you may need to budget more for startup inventory.
 What are your customer service policies?
 How will you handle returns and exchanges?
 Will your retail store also have an ecommerce site, or is one planned for the
future?
For an Ecommerce Business
 Will you sell a physical product, a service, a digital product (such as eBooks) or
some combination of these?
 If you’re selling physical products, how will you brand and package them?
 Will you sell on your own website, online marketplaces (such as Amazon) or
both?
 What technology providers and platforms will you use to run your ecommerce
site?
o Web hosting service
o Web design service
o Shopping cart provider
o Payment processing service
o Fulfillment & shipping services
o Email marketing services
 Can the solutions you’ve chosen quickly scale up or down as needed?
 Where will you get your products? Will you manufacture them in-house, buy
them from manufacturers or use drop shippers?
 How will you handle returns and exchanges?
 What are your customer service policies? How will you provide customer
service?
 Will you use any proprietary technology of your own and if so, what
advantages does that give you?
For a Software or SaaS business
 What is your pricing structure? Will you use a free trial, “freemium” or paid
business model?
SENIOR HIGH SCHOOL
 If you offer free services or a free trial option, how will you upsell customers to
a payment model? What percentage of customers are expected to become
paying customers?
 Have you tested your software? Are any “early adopters” already using the
product?
 How will you encourage long-term contracts in order to create recurring
revenues?
 How will you manage rapidly changing markets, technologies and costs?
 How will you keep your company competitive?
 Will you use in-house developers or outsource this function?
 How will you provide customer support?
 How will you retain key personnel?
 Are you using any proprietary or exclusive software that will give you a
competitive edge?
 How will you protect your intellectual property?
 What additional products or updates to current products are you planning
after launch?

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TECHNOLOGICAL INSTITUTE OF THE PHILIPPINES 1

SENIOR HIGH SCHOOL

2.2 Target Market 18

5.12 Distribution Channels 34

1.1 Overview of the Business

This presents your founding year, development stages &

establishment of the business (specific mo’s/ years)

1.2 Description of the Business

its significant and function.

1.3 Location of the Business

Identify your ideal business location or strategic location and

who will fund it.

startup and be prepared to summarize them.

The Executive Summary should briefly explain each of the below.

be in one year, three years, five years?

3. Your competition and what differentiates your business. Who are

Limit your Executive Summary to 3 or 5 pages in total.

enough to read further.

2.1 Goals for the Business

2.2 Target Market

2.3 Competition in the Market

2.4 Management Team

2.5 Financial Outlook of the Business

This section explains the basic elements of your business.

3.1 Company Name Mission Statement

being. It can be as short as a marketing tagline (“MoreDough is an app

that helps consumers manage their personal finances in a fun, convenient

way”) or more involved: (“Doggie Tales is a dog daycare and grooming

is to provide service, safety and a family atmosphere, enabling busy dog

statement to one or two sentences.

3.2 Company Name Philosophy and Vision

innovation and community are values that might be important to

your business philosophy.

b. Vision refers to the long-term outlook for your business. What do

you ultimately want it to become? For instance, your vision for

your doggie day-care center might be to become a national chain,

franchise or to sell to a larger company.

3.3 Company Name Goals

Specify your long- and short-term goals as well as any milestones or

your goals is to open a second location, milestones might include

reaching a specific sales volume or signing contracts with a certain

number of clients in the new market.

3.4 Target Market

explain who your target customers are.

industry growing, mature or stable? What is the industry outlook long-

industry changes and trends? What might happen to your competitors

and how will your business successfully compete?

3.6 Legal Structure

did you choose this particular form of business?

important to investors and lenders.

understanding of your business’s mission and vision, goals, target market,

competitive landscape and legal structure.

PRODUCTS AND SERVICES

is it manufactured or provided? Include details of relationships with

suppliers, manufacturers and/or partners that are essential to

delivering the product or service to customers.

features and unique selling proposition? Yours won’t be the only

solution (every business has competitors), but you need to explain

your competitors are ignoring, or has some other characteristic that