Business Plan Overview

What is a business plan?

A business plan is a document that can be shared with other people that explains the Who, What, Where,
When, Why, How, and How Much of your business. A business plan discusses not only where your business is
now, but also where your business is headed for the next several years.

If you have completed the other chapters in this training series, writing a business plan will be easy for you.
You have done most of the hard work and thinking already. If you have not yet completed the other chapters in
this training series, you may want to review them now.

Who should have a business plan?

Why should you have a business plan?

Writing a business plan can be a great opportunity for you to learn more about your business. When writing
your business plan, keep in mind that the thinking that goes behind the plan is even more important than the
final presentation of your plan.

Business plans generally consist of:

Cover Page

Table of Contents Helps reader navigate your plan

Executive Summary Summarizes each major heading of your plan

Explains why you are in business, what you are trying to achieve, the structure your
Business Description
business will take, and where you will be located

Product or Services Describes what the services are that your business will offer

Describes what the child care industry, your target market, your target customers, and
Market Research and Analysis
your competition are like

Marketing Plan Explains how you will reach your target customers

Operational Plan Describes how you will run your business (your policies, hours, etc.)

Management Plan Describes who will be involved in the business and what expertise they have
Shows how much money you need, how much income you will earn, and when you
Financial Plan
will be profitable
Provides documents that support the information that you provided in the rest of your
Appendix
business plan
Business Plan Overview
Checklist

Sometimes all the details that go into a business plan can start to feel overwhelming or confusing. Don’t worry,
just follow this checklist and you will be in good shape. If you don’t remember where to get the information that
is included in each section, refer to the chapter that covered that topic. The final format of your business plan
does not have to follow the format of the checklist exactly, but should contain all of the information.
Chapter
(if
Item applicable) Done?
Cover Page
Your business name
Your name
The contact details of your business and/or your contact details (and any other owners)
The date you finished the plan
Your logo (if you have one)
Confidentiality statement

Other ________________________________________________________________
Table of Contents
A list of the major and minor headings in your business plan with page numbers
Executive Summary
Summary of your business description, product or service, market research and
analysis, marketing plan, operational plan, and financial plan
Business Description
Your mission statement 1
Your short and long term goals 5
Strategies for achieving those goals 5
A description of your legal structure and why you chose that structure 2
When your business was or will be founded. If it is an existing business, the history of
5
the business

Other________________________________________________________________
_
Products and Services
Describe the services that your business will offer 1
Explain what makes your service unique 1
Detail your pricing policy 4
Other ________________________________________________________________
Market Research and Analysis
Describe industry trends 1
Define your target market (what is the demand for child care, # of children in your area,
1
etc.)
Describe your target customer 1
Describe your competition. Explain why your business is needed despite the
1
competition
Explain why you selected your location 1

Other________________________________________________________________
Marketing Plan
Detail your plan for marketing your business through word-of-mouth, direct marketing,
3
advertising, and public relations
Explain how you will provide excellent customer service 6
Other ________________________________________________________________
Business Plan Overview
Checklist
Chapter
(if
Item applicable) Done?
Operational Plan
Explain the policies that will be included in your parent handbook (include parent
handbook in Appendix) 6
Explain the terms of your enrollment packet (include enrollment packet in Appendix) 6
Identify your vendors and suppliers 4
Define your equipment, insurance, and space needs and how you are going to address
these needs 2

Other ________________________________________________________________
Management Plan
Define your management team (including yourself, your board, your employees, your
partners, and your entrepreneurial team –accountant, lawyer, etc.). Describe their
personal histories and experience levels as they relate to your business 9
Define your employee policies and strategies for selecting, training, and compensation
(if applicable) 9

Other ________________________________________________________________
Financial Plan
Existing business (Profit & Loss and Balance Sheet) 8
Start-up business (Start-up Costs) 4
Project Costs (if applicable) 4
Cash Flow Projections 4
Break-Even Analysis 4
Summary of your short-term and long-term financial assumptions 8
Overview of how you plan to handle your bookkeeping 7
Funds needed

Other ________________________________________________________________
Appendix
Resumes of key management, blurbs on other management members
Job descriptions
Copies of forms
Copies of licenses (child care, business, etc.)
Estimates
If you are applying for a loan, include Personal and Business Tax Returns
Marketing materials (brochures, pictures, etc.)
Other________________________________________________________________
_
Other________________________________________________________________
_

Idea!
Even though the Executive Summary comes at the beginning of the business plan, you should write it last, after you
have finished all the other pieces of your plan.
Business Plan Overview
Exercise 11-1: Business Plan Mix-Up

A child care provider has come to you with a business plan. The child care provider has gotten
all of her titles in her plan mixed up. Help her match the correct titles to the information that
should be in each section by drawing a line from the title to the correct description.

1. Table of Contents (a.) Describes what the services are that your business will
offer

2. Executive Summary (b.) Describes how you will run your business (your policies,
hours, etc.)

3. Business Description (c.) Explains how you will reach your target customers

4. Products and Services (d.) Describes who will be involved in the business and what
expertise they have

5. Market Research and (e.) Shows how much money you need, how much income
Analysis you will earn, and when you will be profitable

6. Marketing Plan (f.) Summarizes each major heading of your plan

7. Operational Plan (g.) Provides documents that support the information that
you provided in the rest of your business plan

8. Management Plan (h.) Describes what the child care industry, your target
market, your target customers, and your competition are like

9. Financial Plan (i.) Explains why you are in business, what you are trying to
achieve, the structure your business will take, and where
you will be located

10. Appendix (j.) Helps reader navigate your plan