I. Introduction
The introduction presents the general perspective of the business. It includes the following sections:
1. Proposed name of the business
2. Address of the business
3. Name of the owner or owners
4. Description of the business
5. Location of the business
6. Funding requirements and source
Proposed Name of the Business
The formulation and drafting of the proposed business name is a delicate and important entrepreneurial task. The name of the business may exist in the market for many years. Careful and in-depth planning is of prime importance.
The proposed business name must
1. reflect the business identity and image,
2. promote the philosophical values and culture that the business values the most,
3. profess the brand identity of the product, and
4. attract or influence the target consumers.
At least three suggested trade names must be submitted to the Department of Trade and Industry for approval and registration.
Address of the Business
It is important that the address of the business is correctly written because all business correspondence are mailed to the business address. Raw materials and other manufacturing supplies are also shipped by the seller to the designated business address.
Nowadays, it is also necessary for the business to have an email address to facilitate electronic communication between the business and the customers, suppliers, creditors, and other significant parties.
Name of the Owner
The name of the owner must be properly stated. In a sole proprietorship, there is only one owner. In case the venture is a partnership, the names of the partners, including the extent of their liabilities, must be indicated. For example, if a partner's contribution takes the form of a service, a description like industrial partner or limited partner must be properly mentioned.
For business ventures that will operate as a corporate entity, the names, nationalities, and addresses of the incorporators must be given. Incorporators are persons who originally formed the corporation.
example:
Grizzly Bear Financial Managers is a sole proprietorship owned by Meghan Malpraktus.
Description of the Business
A brief description of the business must include information about the type of product or service the business intends to produce or provide. The other products or services that the business plans to produce or provide must also be mentioned in the description of the business.
example1>>
Ann’s Office Hut recognizes the busy lives of small business owners and wants to bring essential items like printers, cash registers, paper, ink, and envelopes to their doorsteps. Ann’s Office Hut will conveniently provide office supplies to small business owners who are short on time.
example2>>
Grizzly Bear Financial Managers will offer comprehensive financial planning and estate planning for the upper-middle class in the Portland Metropolitan area.
Location of the Business
The basic entrepreneurial consideration in the selection of the business address is to place the proposed business in a strategic location that will assure competitive advantage.
The difference between the Address of the Business and the Location of the Business is that the former simply states the exact business address. No additional description provided to highlight the exact business address. The latter indicates the reason/s for the selection of the location. In case the processing plant is not within the vicinity of the business, its exact location must also be described.
The following factors must be considered when deciding on the location of the proposed business:
1. Proximity to the target consumers
2. Distance from the sources of raw materials, labor, and utilities
3. Availability and cost of transportation
4. Peace and order situation
5. Presence of direct competitors
6. The geographic and climatic conditions
example1>>
The proposed business location for the first UPer Crust store will be in downtown Yubetchatown.
The stores will be located on high traffic commuter routes and close to shopping facilities in order to catch customers going to or from work, while they are out for lunch, or on a shopping expedition.
example2>>
Laser Tag will be located in Big Mall shopping center, in a space between Reaction Fitness center and Big Mall. The address is 4415 Suite B, North West Birch Road, MyTown, Ohio.
This is an excellent location to serve our target market. The shopping center is centrally located and easy to reach from anywhere in the metropolitan area. Traffic at this location is one of the highest in the MyTown area, with a count of over 37,000 cars passing by east and over 34,000 passing by west daily.
Funding Requirement and Source
The estimated total initial cost of the business venture must be clearly indicated. It should include the projected breakdown or allocation of the total cost, e.g., how much will be for building, fixtures, equipment, supplies, working capital?
Uses of Funds: The money needed for various purposes for business startup, including beginning quantities of supplies, equipment, and furniture needed, purchase of building/land or costs of deposits for rent, and other startup costs.
example>>
Grizzly Bear Financial Managers will incur the following start-up costs:
- Desk, chair and file cabinet.
- Couch and table.
- Fax machine, copier.
- Computer with printer, CD-RW, and Internet connection.
- Legal fees for business formation.
1. Proposed name of the business
2. Address of the business
3. Name of the owner or owners
4. Description of the business
5. Location of the business
6. Funding requirements and source
Proposed Name of the Business
The formulation and drafting of the proposed business name is a delicate and important entrepreneurial task. The name of the business may exist in the market for many years. Careful and in-depth planning is of prime importance.
The proposed business name must
1. reflect the business identity and image,
2. promote the philosophical values and culture that the business values the most,
3. profess the brand identity of the product, and
4. attract or influence the target consumers.
At least three suggested trade names must be submitted to the Department of Trade and Industry for approval and registration.
Address of the Business
It is important that the address of the business is correctly written because all business correspondence are mailed to the business address. Raw materials and other manufacturing supplies are also shipped by the seller to the designated business address.
Nowadays, it is also necessary for the business to have an email address to facilitate electronic communication between the business and the customers, suppliers, creditors, and other significant parties.
Name of the Owner
The name of the owner must be properly stated. In a sole proprietorship, there is only one owner. In case the venture is a partnership, the names of the partners, including the extent of their liabilities, must be indicated. For example, if a partner's contribution takes the form of a service, a description like industrial partner or limited partner must be properly mentioned.
For business ventures that will operate as a corporate entity, the names, nationalities, and addresses of the incorporators must be given. Incorporators are persons who originally formed the corporation.
example:
Grizzly Bear Financial Managers is a sole proprietorship owned by Meghan Malpraktus.
Description of the Business
A brief description of the business must include information about the type of product or service the business intends to produce or provide. The other products or services that the business plans to produce or provide must also be mentioned in the description of the business.
example1>>
Ann’s Office Hut recognizes the busy lives of small business owners and wants to bring essential items like printers, cash registers, paper, ink, and envelopes to their doorsteps. Ann’s Office Hut will conveniently provide office supplies to small business owners who are short on time.
example2>>
Grizzly Bear Financial Managers will offer comprehensive financial planning and estate planning for the upper-middle class in the Portland Metropolitan area.
Location of the Business
The basic entrepreneurial consideration in the selection of the business address is to place the proposed business in a strategic location that will assure competitive advantage.
The difference between the Address of the Business and the Location of the Business is that the former simply states the exact business address. No additional description provided to highlight the exact business address. The latter indicates the reason/s for the selection of the location. In case the processing plant is not within the vicinity of the business, its exact location must also be described.
The following factors must be considered when deciding on the location of the proposed business:
1. Proximity to the target consumers
2. Distance from the sources of raw materials, labor, and utilities
3. Availability and cost of transportation
4. Peace and order situation
5. Presence of direct competitors
6. The geographic and climatic conditions
example1>>
The proposed business location for the first UPer Crust store will be in downtown Yubetchatown.
The stores will be located on high traffic commuter routes and close to shopping facilities in order to catch customers going to or from work, while they are out for lunch, or on a shopping expedition.
example2>>
Laser Tag will be located in Big Mall shopping center, in a space between Reaction Fitness center and Big Mall. The address is 4415 Suite B, North West Birch Road, MyTown, Ohio.
This is an excellent location to serve our target market. The shopping center is centrally located and easy to reach from anywhere in the metropolitan area. Traffic at this location is one of the highest in the MyTown area, with a count of over 37,000 cars passing by east and over 34,000 passing by west daily.
Funding Requirement and Source
The estimated total initial cost of the business venture must be clearly indicated. It should include the projected breakdown or allocation of the total cost, e.g., how much will be for building, fixtures, equipment, supplies, working capital?
Uses of Funds: The money needed for various purposes for business startup, including beginning quantities of supplies, equipment, and furniture needed, purchase of building/land or costs of deposits for rent, and other startup costs.
example>>
Grizzly Bear Financial Managers will incur the following start-up costs:
- Desk, chair and file cabinet.
- Couch and table.
- Fax machine, copier.
- Computer with printer, CD-RW, and Internet connection.
- Legal fees for business formation.
START-UP REQUIREMENTS |
~ |
Start-up Expenses: |
~ |
Advertisement (radio ad, newspaper ad, posters, flyers) |
2,000 |
Taxes & licenses (business permit, certificate of registration) |
5,000 |
Rent (1 month advance & 1 month deposit) |
20,000 |
Internet Connection |
1,500 |
TOTAL START-UP EXPENSES |
₱ 28,500 |
Start-up Assets: |
~ |
Cash Required (working capital) |
30,000 |
Furniture & Fixtures (desk, chair, file cabinet, couch & table) |
80,000 |
Equipment (fax machine, copier, computer, printer & CD-RW) |
120,500 |
TOTAL ASSETS |
₱ 230,000 |
TOTAL REQUIREMENTS |
₱ 258,500 |
START-UP FUNDING |
~ |
Start-up Expenses to Fund |
28,500 |
Start-up Assets to Fund |
230,000 |
TOTAL FUNDING REQUIRED |
₱ 258,500 |
This section also presents the source/s of funds. The initial cost of the investment may be provided solely by the owner/s or partly by the owner and creditors.
The estimated period to settle the funding source provided by creditors must also be mentioned.
Sources of Funds: Where the money for all funding is going to come from. You will probably have a mix of different funds for different parts of your plan. For example, you may be contributing office furniture yourself, getting a loan for purchasing major equipment, and getting a line of credit for working capital.
The estimated period to settle the funding source provided by creditors must also be mentioned.
Sources of Funds: Where the money for all funding is going to come from. You will probably have a mix of different funds for different parts of your plan. For example, you may be contributing office furniture yourself, getting a loan for purchasing major equipment, and getting a line of credit for working capital.
Capital |
~ |
Planned Investment |
~ |
Meghan |
₱ 260,000 |
Investor 2 |
0 |
Total Planned Investment |
₱ 260,000 |
BUSINESS PLAN (Name and Address of Your Proposed Business) JYNAPHI PROCESSING COMPANY 216 JALIPA STREET, POBLACION 1 PIGCAWAYAN, COTABATO [email protected] OWNED BY: (Your Names as the Owners) ANGEL TOLEDO PRINCESS MALAZARTE |
INTRODUCTION This section of the business plan presents the description of the business, its location, and the total funding requirements and the possible funding source. Description of the Business Location of the Business Funding Requirement and source of Funds |