REVIEWERS

Module 1

Business - refers in the organized efforts and activities of individuals to produce and sells goods
and services for profit.

Business plan - is a detailed and integrated written document that describes the various
activities involved in opening and operating a new entrepreneurial venture.

Entrepreneur - refers to a person who strongly advocates and correctly practices the concepts
and principles of entrepreneurship in operating and managing the self-owned entrepreneurial
venture. They prepares the business plan.

Entrepreneurship - is the act of observing correct practices in managing and operating a self-
owned, wealth creating a business enterprise by providing goods and services that are valuable
to the customers.

Feasibility - the possibility that can be made, done, or achieved, or is reasonable.

Corporation - is a legal entity created by individuals, stockholders, or shareholders, with the

purpose of operating for profit.

A business plan is also a road map that provides directions so a business can plan its future and
helps it avoid bumps in the road.

10 reasons why you need to prepare a business plan for small business.
1. To help you with critical decisions.
There is another written document that
2. To iron out the kinks. must be prepared and is equal importance
3. To avoid the big mistakes. as the business plan. This is the feasibility
study which serves as the forerunner of
4. To prove the viability of the business. the business plan.
5. To set the better objectives. 2 MAJOR TESTS to be conducted every
6. To communicate with objectives and benchmarks. time a new business idea is created

7. To provide a guide for service providers. 1. Test Of Possibility

8. To secure financing. 2. Test Of Feasibility

9. To better understand the broader landscape. Business Plan vs. Feasibility Study

10. To reduce the risk. The content and structure of the business
plan are almost the same as those of the
feasibility study.
MAJOR PARTS OF BUSINESS PLAN

1. Introduction 6. Production Plan

2. Executive Summary 7. Operation Plan
3. Environmental Analysis 8. Marketing Plan
4. Business Description 9. Financial Plan
5. Organizational Plan 10. Appendix

INTRODUCTION

- It presents the general perspective of the business.

1. Proposed name of the business

2. Address of the business

3. Name of the owner/s

4. Description of the business

5. Location of the business

6. Funding requirements and source

Statement Of Confidentiality - added as the last section.

Proposed Name Of The Business Name Description Of The Business

1. Reflect the business identity and image; It must include information about the type of
product or service that the business intends
2. Promote the philosophical values and culture
to produce or provide
that the business values the most;
Funding requirements and source
3. Profess the brand identity of the product; and
- the estimated total initial cost of the
4. Attract or influence the target customers
business venture must be clearly indicated.
Location of the Business

1. Proximity to the target customers

5. Presence of direct competitors
2. Distance from the sources or raw materials, labor,
and utilities 6. The geographic and climatic condition

3. Availability and cost of transportation 7. Peace and order situation

MODULE 2
Executive - relating to or having the power to put plans or actions into effect.

Summary - a brief statement or account of the main points of something.

Environment - the circumstances, objects, or conditions, by which one is surrounded.

Analysis - detailed examination of the elements or structure of something.

Model - a description or analogy used to help to visualize something that cannot be directly
observed.

Business Model - defines the perspective of the business in terms of its structure, production,
operation, and financial activities that will lead to the achievement of the Vision, Mission, Goals,
and Objectives.

Environmental Analysis - is a strategic tool that helps determine the external and internal factors
that affecting the performance of the business.

Executive Summary is commonly the last section to be written after all other major parts have
been completed, it is the next major part of the business plan after the introduction.

1. Vision, mission, goals and objectives of the business (VGMO)

2. Business Model

3. Business and product position

4. Wealth improvement approaches

5. Parties supporting the business

The business model defines the perspective of the business in terms of its structure,
production, operation, and financial activities that will lead to the achievement of the VGMO.

The business and product position will help determine how the business defines its course
and the process of accumulating wealth.

The wealth improvement approaches describes the methodologies or approaches that will be
taken by the business in order to
PARTIES SUPPORTING THE BUSINESS
1. Maintain a competitive advantage,
1. Consumers
2. Position the business in the market,
2. Creditors
3. Improve the market share, and
3. Suppliers
4. Maximize the utilization of resources.
4. Employees and staff
The environmental analysis is a strategic tool that helps to determine the external and
internal factors affecting the performance of the business.

GLOBAL ANALYSIS

SOCIAL ANALYSIS

INDUSTRY ANALYSIS

The demand and supply analysis, also called the consumer and competitor analysis, is the
backbone or the foundation of all other analyses.

Entrepreneurs may use a perceptual map, also called positioning map, to help them
understand their position against their competitors in the market.

The business description section presents the nature and form of the business to be
undertaken, and may cover two to three pages.

1. Product or service that it plans to produce or serve

2. Various plant and office equipment

3. Size of the proposed business

4. Future parties with whom contracts may be necessary

5. Personal requirement

6. Administrative operation

Module 3

Suppliers - refer to individual persons or companies that provide the required materials, parts, or
services to the business.

Creditors - refers to the banks, financial institutions, and financial intermediaries engaged in the
lending of money to the borrower usually usually for a fee or charge in the form of interest.

Liability - is an obligation between one party and another not yet completed or paid for.

Demand - is an economic principle referring to a consumer’s desire to purchase goods and

service and willingness to pay a price for a specific good or service.

In transit - means that the product is no longer in the custody of the seller, but the buyer has not
yet received it.
EXECUTIVE SUMMARY

1. VGMO

2. Business Model
MARKETING PLAN
3. Business and product positions
1. Product
4. Wealth improvement approaches
2. Price
5. Parties supporting business
3. Place

4. Promotion
ORGANIZATIONAL PLAN
5. People
1. Form of the business organization
6. Packaging
2. Liability of the owner/s
7. Positioning
3. Organizational structure

4. Roles and responsibilities

5. Salary requirements
FINANCIAL PLAN

1. Major assumption
PRODUCTION PLAN
2. Projected statement of
1. Production schedule comprehensive income
2. Production process 3. Projected statement of
3. Processing plant and equipment cash flows

4. Sources of materials 4. Projected statement of

changes in equity
5. Production cost
5. Projected statement of
financial position
OPERATION PLAN 6. Financial statement
1. Evaluation of the suppliers analysis

2. Materials requisition and receiving procedures

3. Storage and inventory control system

4. Shipment system and control

5. Functions of support service