Business Plan Questions To Answer

Stephanie Hoffman

Northeastern Small Business Development Center

Executive Summary Section

• Overview of owner, business, products, and industry (economic trends, growth)
• Address concerns a potential investor might have
• Include highlights of how and when the business will pay back investors

Company and Product Overview

• Brief history of the company, e.g., sole proprietorship?, manufacturing, wholesale, or retail, how many years in operation, owner’s background, who are the employees?
• Describe the products and how they will be improved on a regular basis
• What are the products’ features and benefits?
• Who are your suppliers?
• Gross sales per year (projected if a start-up)

Operations and Location

• How will the products be produced and sold
• What months, days, and hours will the business be opened?
• What furniture, equipment and machinery are needed?
• What kind of space does the business need?

Market Analysis

• What are your customers’ needs, interests, values, and wants?
• Demonstrate your understanding of the industry (do a Google search)
• Who is your target market? Describe demographics (age, income, etc)
• Who is your competition? What do they charge?
• Why would a customer prefer your product over others?
• How did you come up with your pricing?

Marketing Strategies

• How will customers know about your products?
• What marketing materials will you use?
• What are your marketing goals, e.g., 25 customers per month
• What is your marketing budget?

Management Team

• What skills and experience does the team have to run the business well?
• What is the plan to meet staffing requirements?

Financials

• List of existing equipment
• Breakdown of how loan funds will be used, explain in detail
• Personal financial statements
• Three year current income tax returns
• Profit and Loss statements
• Balance Sheet
• Cash Flow Projection