Business Plan

1
Business Plan

• Karisha Devlin
• Agricultural Business Specialist

2
Agenda

• Introduction
• The importance of a business plan
• Key elements of a business plan
• Tools
• Computer time questions

3
What is a Business Plan?

• Written document that
• Defines your business
• Identifies your goals and mission
• Serves as your business resume

4
Why is a Business Plan Important?

• Roadmap for your business
• Gives you a better chance for success
• Required by financial institutions
• Helps communicate goals and objectives
• Forces you to look at whole business
• Stimulates development of new/future business
  opportunities

5
Elements of a Business Plan

• Executive summary
• Farm description
• Strategic plan
• Production operation
• Marketing plan
• Personnel plan
• Financial plan

6
Executive Summary

• Doorway of business plan
• A one-page overview of business
• Placed in the front, but done last
• Summarize key points
• Content depends on purpose of plan

7
Farm Description

• Business type and size
• Location
• Facilities
• History
• Ownership structure

8
Strategic Plan

• Mission statement
• Goals
• Business Strategy
• Where you want the business to go and how to get
  there
• SWOT

9
Mission Statement

• A description of what you and/or your business
  hope to do and be
• Values
• Vision
• Purpose

10
Goals and Objectives

• Goals
• Dream with a deadline
• Desired outcomes for your business
• Short term (within one year)
• Long term (2-5 years)
• Objectives
• Strategies for reaching goals

11
Production and Operation

• Crop system
• Livestock system
• Other enterprises

12
Marketing Plan

• Marketing strategy
• Marketing resources
• Promotion and distribution
• Inventory and storage management

13
Personnel Plan

• Family and hired labor
• Management team
• Consultants
• Personnel management

14
Financial Plan

• Financial statement
• Balance sheet
• Income statement
• Cash flow statement
• Long range projections
• Projected profitability
• Capital required
• Asset management

15
Tools

• Books
• Agricultural Business Specialist
• Examples
• Assistance
• Software
• FINPACK Business Plan

16
Questions

• Karisha Devlin
• devlink_at_missouri.edu
• 573-633-2640