Business Plan Update

1
Business Plan Update

• Where you should be
• Where you should be going

2
Gather the Pieces

• Organize what you have so it is logical and
  consistent in its flow
• Refine existing parts so they are in final draft
  form
• Look for holes in the information and fill them
• Refine the look and layout
• Produce the final draft
• Create the presentation

3
Organization

• Logical and professional
• Use appendices for material that is supportive
  but not essential to the main narrative
• Use graphs instead of tables of numbers whenever
  possible
• Use quarterly and/or annual summaries to help
  show statements in good format

4
Financials

• List and justify all assumptions and inputs
• Model and discuss risk and contingency plans
• Clearly describe your financial plan how much
  money will you need, when will you need it, how
  will you get it, and why do you think you can get
  it?
• Use basic ratio analysis to describe your
  companys financial health over time

5
Financials

• Dont forget to put funds raised from equity and
  debt in the cash budget as cash inflows, and
  payments as cash outflows
• To get the balance sheet to balance while the
  statements are under construction, zero out
  depreciation, interest income/payments on ST debt
  and marketable securities, and taxes. When you
  get it to balance (close is good) then put these
  items back in.

6
Financials

• Dont try to make my example
• Fit your business
• Unless it really fits!
• Your model needs to be appropriate
• For YOUR business.

7
Grading

• Grade form examples are posted
• Business Plan Write-Up 60
• Presentation 40

8
What Do We Expect?

• Professional quality writing
• Professional quality analysis
• Professional quality layout
• Professional quality presentation