How To Use This Module: Module 6: Developing A Business Plan

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HOW TO USE THIS MODULE

Welcome to the Module “Developing a Business Plan”. This module


contains training materials and activities for you to complete.

The unit of competency “Developing a Business Plan” covers the


knowledge, skills, behavior and values needed in developing a workable
business plan.

You are required to go through a series of learning activities in order to


complete each of the learning outcomes of the module. In each learning
outcome there are Information Sheets, Evaluation Sheets and Activity
Sheets. Follow these activities on your own and answer the Self-Check at the
end of each learning activity.

If you have questions, don’t hesitate to ask your teacher for assistance.

Entrepreneurship 9
Sto. Domingo Module
Page 1 of
National Trade 17
School Module 6: Developing a Business
Plan
MODULE 6

COURSE : ENTREPRENEURSHIP 9

UNIT OF COMPETENCY : Develop a Business Plan

MODULE TITLE : Developing a Business Plan

SUGGESTED DURATION : 20 Hours

WHAT IS THIS MODULE ALL ABOUT?

This module covers the knowledge, skills and values required in


developing a workable business plan.

WHAT WILL YOU LEARN?

Upon completion of this module you must be able to:


1. Organize the main parts of a business plan.

Entrepreneurship 9
Sto. Domingo Module
Page 2 of
National Trade 17
School Module 6: Developing a Business
Plan
WHAT YOU ALREADY KNOW?

Name: _________________________________ Score: ___________


Section: _________________________ Date Accomplished: __________

Directions: Read and understand the items being describes below. Choose
the letter of the correct answer.

1. It refers to the group of persons who use and patronize the products
that specifically fits their needs/wants.
2. These are the documents or information attached to clarify or support
the information in the original documents.
3. It is a clear description of goals.
4. It is a description of what the proponent sees if the problem is solved.
5. It means support for business in environment issues.

A. Addendum
B. Market trends
C. Mission
D. Target Market
E. Sustainability
F. Vision

Remarks:

Parent Name and Signature: __________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 3 of
National Trade 17
School Module 6: Developing a Business
Plan
Lesson 1

ORGANIZE AND CONSTRUCT THE MAIN PARTS OF A BUSINESS PLAN

WHAT IS THIS LESSON ABOUT?


This lesson presents concepts on how to organize the main parts of a
business plan.

WHAT WILL YOU LEARN?


At the end of the lesson, you should be able to:
1. Organize the main parts of a business plan;
2. Use survey instruments to gather data;
3. Analyze and interpret survey results; and
4. Construct preliminary parts of a business plan based on the organized
main parts.

LET US STUDY

Words to Study

Sustainability – is the support for a business on environmental issues.


Addendum – is a document or information attached or added to clarify,
modify or support the information in the original document or written
work.
Target Market – refers to a group of persons who use and patronize
the products that specifically fit their needs/wants.
Market Trends – are used to provide strategic information and leads
that will maid and sustain business development.
Market Size – is the number of buyers and sellers in a particular
market.
Business Risk – is the probability inherent in a firm’s operations and
environment that may impair its ability to provide return of
investments.

BUSINESS PLAN
A good business plan guides you through each stage of starting and
managing your business. You’ll use your business plan as a roadmap for how
to structure, run, and grow your new business. It’s a way to think through
the key elements of your business.
Business plans can help you get funding or bring on new business partners.
Investors want to feel confident they’ll see a return on their investment. Your
business plan is the tool you’ll use to convince people that working with you
— or investing in your company — is a smart choice.

Entrepreneurship 9
Sto. Domingo Module
Page 4 of
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School Module 6: Developing a Business
Plan
Activity Sheet no. 1: The Business Plan

Name: _________________________________ Score: ___________


Section: _________________________ Date Accomplished: __________

Directions: Recall your previous lesson on the parts of a business plan. Then
fill in the parts of the business plan in the illustration below.

Parts of A Business Plan

Remarks:

Parent Name and Signature: __________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 5 of
National Trade 17
School Module 6: Developing a Business
Plan
Activity Sheet no. 2: The Problem/ Need

Name: _________________________________ Score: ___________


Section: _________________________ Date Accomplished: __________

The problem/need pertains to the description of the problem/need


being addressed to, as well as the reasons/rationale why the problem/need
must be addressed by the business and the description on how the business
has solved the problem/need.

Directions: Identify the problem/ need of the business based on your


gathered data.

The Problem/Need

Remarks:

Parent Name and Signature: __________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 6 of
National Trade 17
School Module 6: Developing a Business
Plan
Activity Sheet no. 3: Statement of Vision, Mission and Values

Name: _________________________________ Score: ___________


Section: _________________________ Date Accomplished: __________

Vision: It is a description or statement of what the proponent sees if the


problem/need is solved.
Mission: It is a clear description of goals and objectives that presents practical
steps to achieve the vision.
Values: It is a clear statement of values critical to the culture, integrity and
activities of the business.

Directions: Construct your own business mission, vision and values based on
your prepared product concept.

Vision:

Mission:

Values:

Remarks:

Parent Name and Signature: __________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 7 of
National Trade 17
School Module 6: Developing a Business
Plan
Activity Sheet no. 4: The Market Plan

Name: _________________________________ Score: ___________


Section: _________________________ Date Accomplished: __________

A. Directions: Write a market plan. Include the features of your products,


the target market and marketing strategies.

Product: _____________________________________________
Target Market: (Identify and explain who will buy your product why they
will buy it?)

Competitors: (Identify and explain who else sells a product similar to


yours? List up all possible competitors.)

Remarks:

Parent Name and Signature: __________________________________________

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Sto. Domingo Module
Page 8 of
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School Module 6: Developing a Business
Plan
B. Directions: Describe your competitor based on the following criteria.
Answer only Outstanding (O), Very Satisfactory (VS), Satisfactory(S),
and Needs Improvement (NI).

Market Quality Size of


Name of Competitor Share of Location Facility Process Reputation
Product
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.

Pricing
How much will you charge for your product? ________________________________
Why do you charge this price? _____________________________________________
___________________________________________________________________________
___________________________________________________________________________
___________________________________________________________________________
How much do your competitors charge their product? _______________________
Why do your competitors charge that price? ________________________________
___________________________________________________________________________
___________________________________________________________________________
___________________________________________________________________________

Advertising
Identify and explain your marketing strategy/sales tool.

Remarks:

Parent Name and Signature: _________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 9 of
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School Module 6: Developing a Business
Plan
C. Directions: Identify and explain your market plan on the following:

Public Relations
What can you do to get the attention of the potential customer?
What are the methods will you use to get your product into the hands
of the customer?

Remarks:

Parent Name and Signature: _________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 10 of
National Trade 17
School Module 6: Developing a Business
Plan
Activity Sheet no. 5: Production and Technical Plan

Name: _________________________________ Score: ___________


Section: _________________________ Date Accomplished: __________
The Production Paradigm

TRANSFORMATION
PROCESS
Assembling
INPUTS canning
constructing OUTPUTS
Labor Culturing
Land Drawing Finished
Machine Products
Sewing
Raw Materials Milling
printing
Baking

Directions: Create your own production paradigm based on your product


concept.

Remarks:

Parent Name and Signature: _________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 11 of
National Trade 17
School Module 6: Developing a Business
Plan
Activity Sheet no. 6: The Organizational/ Management Plan
Name: _________________________________ Score: ___________
Section: _________________________ Date Accomplished: __________

Directions: Design your own organizational/management chart based on your


chosen business.

Remarks:

Parent Name and Signature: _________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 12 of
National Trade 17
School Module 6: Developing a Business
Plan
Activity Sheet no. 7: Sustainability/ Financial Plan

Name: _________________________________ Score: ___________


Section: _________________________ Date Accomplished: __________

Directions: Show your projected expenses per month during the initial year of
your operation based on your product concept.

Fixed Cost

(A)Total fixed
Cost
Variable Cost

(B) Total Variable


Cost
(A + B) Total
Monthly Cost

Remarks:

Parent Name and Signature: _________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 13 of
National Trade 17
School Module 6: Developing a Business
Plan
Activity Sheet no. 8: Projected Revenue

Name: _________________________________ Score: ___________


Section: _________________________ Date Accomplished: __________

Directions: Compute your projected cost and revenue by month based on your
product concept. Use the format below.

Projected Revenue
Product Cost Daily Daily Monthly Monthly
Volume Revenue Volume Revenue
DR = DV x MV = DV X MR = MV
C 12 xC

Total

Projected Monthly Revenue


January February March April May June
Revenue 30,000.00
Cost 15,000.00
Projected 15,000.00
Net Profit

July August September October November December Total


Revenue
Cost
Projected
Net Profit

Remarks:

Parent Name and Signature: _________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 14 of
National Trade 17
School Module 6: Developing a Business
Plan
Activity Sheet no. 9: Projected Income Statement

Name: _________________________________ Score: ___________


Section: _________________________ Date Accomplished: __________

Directions: Compute your projected income statement for the year ended and
cashflow for the first and second quarter of fiscal year based on your product
concept. Use the table below.
Projected Income Statement for the Year Ended

Year 1 Year 2
Revenue
Cost Expenses
Projected Net Income

Cash Flow 1st Quarter


January February March
Cash Balance- 0.
Beginning
Cash Inflow
Net Income
Cash Outflow
Fixed Cost
Variable Cost
Cash Balance
Ending

Cash Flow 2nd Quarter

April May June


Cash Balance-
Beginning
Cash Inflow
Net Income
Cash Outflow
Fixed Cost
Variable Cost
Cash Balance
Ending

Parent Name and Signature: _________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 15 of
National Trade 17
School Module 6: Developing a Business
Plan
Activity Sheet no. 10: Social Impact

Name: _________________________________ Score: ___________


Section: _________________________ Date Accomplished: __________

Directions: Write the social impact of your chosen business by answering the
following questions.

1. What is the desired outcome of your business as stated in your vision


statement?

2. What are the business activities and its correspo9nding social impacts?
Write it in the appropriate column.
No. Business Activity Social Impact
1.

2.

3.

4.

5.

3. What are your business programs directly benefiting the following


stakeholders?
a. Employees
b. School
c. Community

Remarks:

Parent Name and Signature: _________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 16 of
National Trade 17
School Module 6: Developing a Business
Plan
HOW MUCH HAVE YOU LEARNED?

Name: _________________________________ Score: ___________


Section: _________________________ Date Accomplished: __________

I. Directions: Read and understand the items being describes below.


Choose the letter of the correct answer.

1. It refers to the group of persons who use and patronize the products
that specifically fits their needs/wants.
2. These are the documents or information attached to clarify or support
the information in the original documents.
3. It is a clear description of goals.
4. It is a description of what the proponent sees if the problem is solved.
5. It means support for business in environment issues.

A. Addendum
B. Market trends
C. Mission
D. Target Market
E. Sustainability
F. Vision

II. Directions. Identify the following word/s that are being asked in each
question.
1. It is the detailed description on how the business is implemented.
2. It is the process of setting goals for a particular business undertaking
done through a step-by-step process.
3. It gives information on financial concerns and stability of the plan.
4. Business production and services are varied based on _____________.
5. The part of business plan which can be both within or beyond the
control of entrepreneur.

Remarks:

Parent Name and Signature: _________________________________________

Entrepreneurship 9
Sto. Domingo Module
Page 17 of
National Trade 17
School Module 6: Developing a Business
Plan

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