The slides from our 2nd webinar presented by entrepreneurship lecturer Sajjad Hamid.

1. Introduction To BusinessIntroduction To Business
PlanningPlanning
For EntrepreneursFor Entrepreneurs
Sajjad HamidSajjad Hamid
SME ConsultantSME Consultant

2. Session OutlineSession Outline
 Some successful entrepreneursSome successful entrepreneurs
 What is a business plan?What is a business plan?
 Functions of business planningFunctions of business planning
 Components of a business plan:Components of a business plan:
 MissionMission
 Analysis of the internal & external environmentAnalysis of the internal & external environment
 OperationsOperations
 MarketingMarketing
 FinanceFinance
 Human ResourcesHuman Resources

3. Successful EntrepreneursSuccessful Entrepreneurs
Charran The PublisherCharran The Publisher
Reginald Charran is anReginald Charran is an
example of anexample of an
entrepreneur who putentrepreneur who put
together the pieces overtogether the pieces over
time; planning his movestime; planning his moves
every step.every step.

4. Successful EntrepreneursSuccessful Entrepreneurs
Dindial SikumarDindial Sikumar
Meet one of theMeet one of the
country’s mostcountry’s most
innovative farmers. He’sinnovative farmers. He’s
one of the pioneers ofone of the pioneers of
grow box farming. Alsogrow box farming. Also
has a plant nursery andhas a plant nursery and
manufactures peppermanufactures pepper
sauce.sauce.

5. Successful EntrepreneursSuccessful Entrepreneurs
Bally The Hair StylistBally The Hair Stylist
 Bally is one of theBally is one of the
country’s leading haircountry’s leading hair
stylist and his target canstylist and his target can
easily pay 4 times moreeasily pay 4 times more
for a hair cut. His clientsfor a hair cut. His clients
are the rich & famousare the rich & famous

6. Importance of BusinessImportance of Business
PlanningPlanning
How can business planning deal with some ofHow can business planning deal with some of
these ways?these ways?
 It can help chart the way forwardIt can help chart the way forward
 It can assist in resource allocation & cashIt can assist in resource allocation & cash
managementmanagement
 It helps in strategy and beating the competitionIt helps in strategy and beating the competition

7. Business PlanningBusiness Planning
What is a business plan?What is a business plan?

8. What is a Business Plan?What is a Business Plan?
Is a road map that outlines the entrepreneur’sIs a road map that outlines the entrepreneur’s
proposed or current business venture, itsproposed or current business venture, its
operationaloperational && financialfinancial details, itsdetails, its marketingmarketing
opportunities & strategy, & its manager’sopportunities & strategy, & its manager’s skillsskills
& abilities.& abilities.

9. Business PlanningBusiness Planning
FunctionsFunctions
1.1. Guides the company operations by charting itsGuides the company operations by charting its
future & devises a strategy for successfuture & devises a strategy for success
2.2. To attract lenders & investorsTo attract lenders & investors
3.3. It forces the entrepreneur to take a hard lookIt forces the entrepreneur to take a hard look
at the business & assess its chances of successat the business & assess its chances of success

10. Business PlanningBusiness Planning
OutlineOutline
 Executive summaryExecutive summary
 Mission StatementMission Statement
 Business descriptionBusiness description
 Environmental & Industry AnalysisEnvironmental & Industry Analysis
 Business ObjectivesBusiness Objectives
 Marketing PlanMarketing Plan
 Operations PlanOperations Plan
 Financial PlanFinancial Plan
 Human ResourcesHuman Resources
 ConclusionConclusion

11. Mission StatementMission Statement
 Mission StatementMission Statement
 What business are we in?What business are we in?
 What is the purpose of the business?What is the purpose of the business?
 ‘‘To help a girl reach her highest potential’-To help a girl reach her highest potential’-
Girl GuidesGirl Guides

12. Business DescriptionBusiness Description
 What are the business’s strengths & weaknessesWhat are the business’s strengths & weaknesses
 A description of the firm’s capabilityA description of the firm’s capability
 What does the business bring new?What does the business bring new?
 KFCKFC
 Strengths are its locations, brand name, etcStrengths are its locations, brand name, etc
 Its not so unhealthy menuIts not so unhealthy menu

13. Environmental AnalysisEnvironmental Analysis
 A description of the larger forces shaping theA description of the larger forces shaping the
world & impacting on your businessworld & impacting on your business
 An industry background outlining opportunitiesAn industry background outlining opportunities
& threats, trends, outlook for the future& threats, trends, outlook for the future
 TrendsTrends (examples)(examples)::
 Increased income & inflationIncreased income & inflation
 More working womenMore working women
 Time Poor consumerTime Poor consumer

14. Business ObjectivesBusiness Objectives
 The targets you are setting for your ventureThe targets you are setting for your venture
 What your business needs to achieve?What your business needs to achieve?
Examples:Examples:
 To achieve sales of $100,000 by 2014To achieve sales of $100,000 by 2014
 To open a new store by 2015To open a new store by 2015
 To meet all financial obligationsTo meet all financial obligations

15. Marketing PlanMarketing Plan
 This part outlines how to gain & keep customersThis part outlines how to gain & keep customers
and how deal with competitionand how deal with competition
 Who are yourWho are your customerscustomers, are they profitable,, are they profitable,
reachable, etc?reachable, etc?
 How are you going toHow are you going to priceprice for profit?for profit?
 WhatWhat promotionspromotions to get business?to get business?
 What type ofWhat type of distributiondistribution methods?methods?
 How are you going to cope withHow are you going to cope with competitioncompetition??

16. Operations PlanOperations Plan
A description of how the firm will turn itsA description of how the firm will turn its inputsinputs
intointo outputsoutputs::
 Supply chainSupply chain: who are these members and what: who are these members and what
advantages they bring?advantages they bring?
 QualityQuality: how are you going to meet the requirements: how are you going to meet the requirements
of your customers?of your customers?
 EfficiencyEfficiency: how are you going to reduce waste or: how are you going to reduce waste or
maximize the use of resources?maximize the use of resources?
 InventoryInventory: how it is going to be managed?: how it is going to be managed?

17. Financial PlanFinancial Plan
Deals with management of financial resources soDeals with management of financial resources so
that it will be used to the benefit of thethat it will be used to the benefit of the
organization?organization?
 How are you going toHow are you going to securesecure finance?finance?
 What is the timing of yourWhat is the timing of your cash flowcash flow (inflow &(inflow &
outflow)?outflow)?
 When will the firm make aWhen will the firm make a profitprofit??
 Can the proposed venture meet its current & futureCan the proposed venture meet its current & future
obligationsobligations??

18. Human Resources PlanHuman Resources Plan
 The use of human capital to create an advantageThe use of human capital to create an advantage
over your competitorsover your competitors
 How am I going toHow am I going to sourcesource the best people & get thethe best people & get the
best from them?best from them?
 How is the firm going toHow is the firm going to keepkeep them?them?
 How will I use myHow will I use my human capitalhuman capital as a competitiveas a competitive
weapon?weapon?
 How am I going to build aHow am I going to build a greatgreat organization?organization?

19. ConclusionConclusion
 Business planning provides a road map for theBusiness planning provides a road map for the
entrepreneurentrepreneur
 It takes all the important areas (marketing,It takes all the important areas (marketing,
financial, HR, operations, etc) and puts allfinancial, HR, operations, etc) and puts all
together so the entrepreneur can developtogether so the entrepreneur can develop
balanced strategiesbalanced strategies
 It shows how the business owner will gainIt shows how the business owner will gain
competitive advantage & convince investorscompetitive advantage & convince investors

20. QuestionsQuestions
 Any Questions or CommentsAny Questions or Comments
 VisitVisit www.entrepreneurTnT.comwww.entrepreneurTnT.com for morefor more
information on business planning & otherinformation on business planning & other
support for entrepreneurs like yousupport for entrepreneurs like you
 Look out for entrepreneurship articles in theLook out for entrepreneurship articles in the
Newsday’sNewsday’s Business DayBusiness Day supplementsupplement
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