National Certificate in New Venture Creation（四）.docVIP

Business plan Starting a new business is exciting because it is the start of a new opportunity. Everyone gets excited about a new idea but it is sometimes difficult to determine if the idea is a “true opportunity” or not. You may have an idea for a new business and you want to get going immediately. Most businesses start out with a huge amount of enthusiasm but about 50% of new businesses fail in the first year. This is why it is important to test every new idea by writing the idea down and looking at the implications. If you believe that the idea is sound, then draw up a more detailed business plan. What is a business plan? A business plan is a document that you will use to test your ideas. It is a document that you may use to convince other people that your business idea will work. It is also a road map - a guide for showing you the next step. Don’t start off by getting too complicated. Write your ideas down, and then go into more detail. Once you have written down some ideas, start doing some research on the market that you intend going into. Find out whether there is a need for your product or service. Then if you still believe that your idea will work start formulating your plan to achieve your goals. There are many ways to write a business plan but most business plans should have a number of common elements. ELEMENTS OF A BUSINESS PLAN Title page Includes the name of the business, contact person. Biographics page The biographics page is similar to a CV. It contains a short summary of the business including, name of the business, business type (i.e. sole trader), registration number, address, telephone, cell phone, fax, e-mail, business, banking details (if relevant). Table of contents Includes a list of the sections contained in the business plan including the appendices. Executive summary This describes your business in no more than 60 words. The executive summary should not only describe the business but also include the upfront bene