Chapter 3

THE BUSINESS PLAN

The business plan is a direct by-product of the vision and mission statements and the goals.

The steps to create a business plan are:

Determine the vision and mission.
Define the goals of the organisation.
Do a SWOT (Strengths, Weaknesses, Opportunities and Threats) analysis.
Identify opportunities for growth.
Create competitive advantages.
Assess why your organisation is better.
Do the Cash Flow budget.

It is management who needs to write the plan. Your accountant or business advisor should review the plan to provide an independent opinion. As a guide to writing a plan, this book includes a checklist of useful headings. By simply writing down each heading and filling in the answers, you will create your plan.

Remember, the business plan is about the organisation's product, service, manufacturing system, capacity and technology, human resources and financial data.

The plan must be renewed monthly, and updated.