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Importance of Business Plan: Ma. Dhanica Rosal

The document discusses the importance of business planning. It explains that planning involves determining goals, methods to achieve goals, management of the process, and timelines. Plans are important to determine feasibility, profitability, reduce failure risk, anticipate issues, and improve success chances. The document also notes that even small businesses benefit from writing plans, as plans communicate vision, persuade others to help meet goals, include research and strategies, and help stay on track to meet goals. Finally, it provides steps to register a business, including entity registration, permits, registering with tax authorities, and other registrations like for social security, labor, and health insurance.

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JannaRica Beason
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39 views12 pages

Importance of Business Plan: Ma. Dhanica Rosal

The document discusses the importance of business planning. It explains that planning involves determining goals, methods to achieve goals, management of the process, and timelines. Plans are important to determine feasibility, profitability, reduce failure risk, anticipate issues, and improve success chances. The document also notes that even small businesses benefit from writing plans, as plans communicate vision, persuade others to help meet goals, include research and strategies, and help stay on track to meet goals. Finally, it provides steps to register a business, including entity registration, permits, registering with tax authorities, and other registrations like for social security, labor, and health insurance.

Uploaded by

JannaRica Beason
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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IMPORTANCE OF

BUSINESS PLAN
Ma. Dhanica Rosal
What is Planning?
Planning involves working out:
 What is to be achieved
 How this will be achieved
 Who will manage the process
 The time frame of the process

Plans are important in order to:


 Determined feasibility
 Determine profitability
 Reduce change of failure
 Anticipate probable trouble areas
 Improve chance of success
 Compare anticipated results with actual

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Why is it important to have a Business Plan?
Even the smallest business can benefit from writing up a business plan. In short, a
business plan allows you to communicate your vision to others and persuade them to help
you meet your goals. It will include thorough market research and detailed information
about your marketing strategies, target audience, staff, obstacles and goals.

They assist in getting financing for a project, help in the decision-making process of
whether to proceed with a business, help an entrepreneur stay on track and meet goals,
and allow for business improvements.

3
How to register your
business and other
registering agencies
4 steps to register your
business
As stated in the Department of Trade and Industry’s MSME Publications, here’s the
process flow on how to register your business.
Step 1: Business entity registration
A.) Sole proprietorship – Register with the Department of Trade and Industry
B.) Partnership/Corporation – Register with the Securities and Exchange
Commission
C.) Cooperative – Register with the Cooperative Development Authority
Step 2: Business permit
Apply for the business permit and license from the city or municipality where the
business is located. Secure sector-specific clearances such as Department of Tourism
(DOT) for travel agencies, Food and Drugs Administration (FDA) for food and
cosmetics, and Department of Education (DepEd) for learning centers.

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Step 3: Register with BIR
Register with the Bureau of Internal Revenue District Office where the business is going
to be located for authority to print Invoice and Book of Journal.

Step 4: Other registration requirements


Register your business with the following offices to comply with existing regulations:

A.) Social Security System (SSS)

B.) Department of Labor and Employment (DOLE)

C.) PhilHealth

D.) PAG-IBIG

E.) Department of Environment and Natural Resources


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ASSESSMENT
CHECKLIST
Whether it’s for a bank, investors, validation, and/or a roadmap, your company needs a written business plan to convert your
ideas into an organized, professional document.

The business plan format will change depending on why you’re writing it and who you’re writing it for. If you’re seeking
validation, it’s best to start with a simple one-page pitch. On the other hand, if you’re pursuing funding, you’ll need a
professional, formal business plan.
Regardless of the intentions behind your business plan, having a checklist of what needs to be included is helpful to make
sure you’re effectively getting your ideas and strategies down on paper.

As a baseline, your business plan should include these 10 sections:


1. Executive Summary
2. Company Overview
3. Industry Analysis
4. Customer Analysis
5. Competitive Analysis
6. Marketing Plan
7. Operations Plan
8. Management Team
9. Financial Plan
10. Appendix

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Financial Statement
Financial statements are a collection of reports about an organization’s financial
results, financial
condition, and cash flows. They are useful for the following reasons:

 To determine the ability of a business to generate cash, and the sources and uses
of that cash.
 To determine whether a business has the capability to pay back its debts.
 To track financial results on a trend line to spot any
looming profitability issues.

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The standard contents of a set of financial statements are:

Balance sheet - Shows the entity’s assets, liabilities, and


stockholders’ equity as of the report date. It does not show
information that covers a span of time.

Income statement - Shows the results of the entity’s operations and


financial activities for the reporting period. It includes revenues,
expenses, gains, and losses.

Statement of cash flows - Shows changes in the entity’s cash flows


during the reporting period.

Supplementary notes - Includes explanations of various activities,


additional detail on some accounts, and other items as mandated by
the applicable accounting framework.

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thank you!

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