Business plan guidelines: 12 elements a strong plan needs Step-by-step guide to planning your new business The Startups Team May 12, 2021 3 min read Our experts We are a team of writers, experimenters and researchers providing you with the best advice with zero bias or partiality. This article was authored by: The Startups Team If you've never written a business plan before, it can be hard to tell exactly how to go about it. What kind of format do you use? Is there an ideal length? How should you order the different sections?The following business plan guidelines have been provided by BUSINESS PLAN SERVICES in association with the London Business School.Overall considerationsLanguage must be concise, and written in layman's prose in the 3rd personEach section must stand on its own and clearly define and satisfy its objective.All facts are to be supported with sufficient documentation, quoting the source of research as a numbered footnote.All conclusions drawn from facts are to be reasonable and credible albeit not definitive.Where appropriate, facts are to be supported with colour charts and graphs.PresentationFont choice should be readable and suitable, suggested use of Times/Arial – Size 11/12.Single spacing should be used between lines.Plan should contain subheads.Formatting on heads and subheads must be consistent. Heading 1 in black – size 12 font – and in BOLD CAPITALS. Heading 2 in dark blue – size 12 font – and in Bold Title Case.Page numbers to be shown on right hand bottom corner.Formatting on page numbers must be consistent.Bullet point marks should be used effectivelyAvailable client branding should be run through the plan as a header in the top right hand corner of each pageThe plan should contain enough white space for readability.Cover page / Table of contentsThe cover page should detail:the name of business;the main contact's name;full address details;the client's company logo; andreader confidentialityTable of contents should be auto-generated using the Word tool, identifying 2 Header type levels.It should also include the following list of appendices:1. Executive Summary:The section needs to read well in a positive yet realistic tone.It must not be too fragmented into subsections to impair overall readability and detract from the appropriate tone for the target reader typeThe length of summary should not exceed two pages, to include:-One or two sentences to clearly and succinctly describe the client's activityA brief description of the company's unique features.Any relevant background details including, where relevant,Details of when and why the company was formed.Details of any IPRA desription of the marketing history of the product/service.Outlines the company's annual sales, profits and overall performance to date.A brief description of key management.One or two sentences highlighting the size of the market and its growth potentialDetails of the nature and proposed source of the company's funding requirement.2. Background / Introduction (if relevant) 3. The businessActivities – USPObjectivesReadiness for marketFuture activitiesMission statementLegal and Capital Structure4. Management, organisation and personnel This section needs to establish the credibility of the management team.List key management positions, outlining the primary job duties and responsibilities assigned to each position.Identify the individuals who are expected to fill each position and summarise each person's prior business experience and skills to illustrate how they are suitable for the relevant roleProvide an explanation of how deficiencies /skills gap will be overcome.Identify the future management and personnel requirements to accommodate the business' growthIllustrate the business' existing structure in an Organisation Chart, showing anticipated changes/migrations within that diagramExplain the use of non-Execs, partners and sub contractors where appropriate5. The marketsTarget Customers – identify and quantify (if possible)Market Trends, Size, Segmentation, Positioning6. Competitive Analysis 7. MarketingMarket Strategy, Pricing, Promotional Plans, Selling ChannelsDetails of any test marketing8. Operational DetailsPremisesMaterials and SuppliersEquipmentStaffingTransport and DistributionInsurance and Legal9. Financial OverviewSales, Profit and Cashflow ModelsSensitivity AnalysisNotes on Financial Projections, AssumptionsFunding Requirements Share this post facebook twitter linkedin The Startups Team