Different steps should be explained to understand the way from a simple idea to the real business launched at the end:
- Generation of ideas and choice of a concept: you should explain the choice of your method to initiate ideas, select ones, and choose the final concept to be launched. Why this method? Why these results? How did you get these results?
- Structure of the offer: you can use the concepts of peripheral and core services to explain the choice of your offer: what are the added values of core and peripheral services you are proposing to your customers? Which methodology did you use to find these results? How did you get the datas?
- Market study: you need to explain the method (quantitative and/or qualitative studies), the relevance of this choice (it’s adapted to your specific situation or concept), and the results. According to the results of your market study, we need to understand your choices concerning the targets of your future customers: why these specific customers? The question of time consumption is usually a key variable to choose the customers.
- Location: please explain your choice of this particular area you would like to invest (lot of customers, interesting patterns of competition, image, etc.). You need to explain the methodology you used to choose this place. Please use maps and pictures to make it real.
- Competition analysis: you can use the 5 forces model of Michael Porter but usually, this study is very geography-driven. Results are concerning a little piece of a town. Key questions are concerning direct competitors and possible substitution. A key result should be the stabilization of the offer, of the concept, your added value, the decoration and the price.
- Resources & staff: presentation of the “factory”. What are your resources, how does it work? Present a plan of your space, the competencies of your staff, the salaries, the machines, the furnitures, etc… How did you get the datas? Why these choices? After this part, we need to understand clearly your cost structures.
- Financial facts: you need to justify your turnover forecasts, the structure of your costs, your level of margin, the profit and loss balance.
- Team presentation: as an investor, we need to understand the reason why you become an
entrepreneur. What is your personal project? What is your network of people you can mobilize to help you in the project? What is your team? What are their own personal objectives? Why them?
- Capital structure: you need to describe precisely the investments required and the structure of your capital, what is your part, what is the part of other investors? Why them? What are their objectives? How can you find them? What is the governance of your business? Who will take the main decisions? What is the possible evolution of the capital in 3 years?
- Launching period: this is a key explanation of the success of a business. Lot of good ideas crashed after several months. What are your specific actions to launch quickly your business? How can you protect yourself against the copy of possible competitors? Do you have a good P&L quickly or do you need to finance possible loss during the first months? For how long?
- Financial statements: balance sheets and P&L can be put as annex but you need to explain and comment your investments, your capital, your revenue streams (precisely), your costs, and finally the construction of your net result. This structure is a proposed plan for your written report. You can adapt some parts to your specific situation with the supervisor.
The business plan as a result (presentation for an investor) could be used during the oral presentation. For the written report, we need to understand the process of thinking and the result itself. You need to justify your choices and the way you obtain the required information to decide.
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