Business Plan Layout – Part 1

Business Plan Layout and Business Plan Structure

When it comes to deciding on business plan layout or business plan structure, I estimate that around 80% fall into a frustrating and misleading trap.

The consequences of this can be disastrous. Let me explain:

I assume that you are looking on the Internet for useful information on deciding the structure or layout of your Business Plan.

Now here’s the trap that you need to know about. Most Internet-based information is related to the structure, or layout of type “B” business plans.

If it’s a type “A” business plan you need, this information could be very misleading and confusing. So what’s the difference?

Get Smart Quick

The first thing you need to know is what’s a type “A” business plan and what’s a type “B” business plan. You can then make smart choices on what you need for your success pathway.
You will also understand why the business plan structure and business plan layout of each type needs to be completely different.

A Type “A” Business Plan is about Achieving Success

The purpose of a type “A” business plan is to get you and your team organized so that you can achieve business success.

It’s about clarity of thinking and clarity of implementation.

Type “A” business plans are frequently referred to as Strategic Business Plans or Internal Business Plans.

The desired outcome of a plan of this type is an inspired team with a clear understanding of what needs to be done to achieve business success. Soon we will cover the appropriate layout and structure.

A Type “B” Business Plan is about Getting Money

The purpose of a type “B” business plan is to convince some person or some organization to provide funds for business development.

A type “B” business plan is essentially a selling or proposal document. Its job is to persuade or convince people on the merits of your business proposition.

If your intention is to create a business plan for the sole purpose of securing money, it’s a type “B” plan you need.

The terms Funding Plan or Information Memorandum are other names that are used for type “B” business Plans.

The desired outcome of a plan of this type is an agreement to provide funds or other forms of assistance – with terms that suit your requirements.

Now let’s talk about business plan structure and business plan layout.

Structure and Layout Suggestions

In general, type “A” and type “B” business plans should have a structure and layout to suit the particular application. Who the audience is, and what their needs are, should be key considerations.

As a guideline, here are two designs I have used frequently.

Type “A” Business Plan Structure and Layout An example Business Plan Layout for a Type “A” Business Plan

This is the layout or structure you use to plan your business success
Type “A” Business Plan Layout Example- Internal or Strategic Business Plan

Remember, the purpose of a type “A” business plan is to answer the question: “How do we intend to achieve business success?”

1. The first section of this plan or document should be about why the business exists and what the business seeks to achieve in the short, medium, and longer-term. In the layout, this may be called Vision & Goals.

2. Marketing will normally be an early and important part of your business succession plan. Where the business chooses to position itself – and the marketing strategies that will be used, are described here. This will be your Marketing Plan. Depending on your definition of marketing, you may wish to call this the Sales & Marketing Plan.

3. Most businesses exist to provide products or services – or a combination of both. A section of your plan will likely be needed to develop or describe your strategies on how this will be done – or how you will improve your current methods. Typically, I call this the Delivery Plan. Other titles could be Operations Plan or Customer Service Plan.

4. The Finance Plan. To succeed in business, good financial management is critical. A Finance Plan will typically look after the management of cash flow, expense control, and profitability. Depending on the type of business, capital expenditure planning may also be covered in this section of your plan. You could also use the term Financial Management Plan to name this section of your plan layout.

5. To make all of this happen, you will need people – good people. For a large organization, your plan layout should include a Human Resources Plan. In a smaller business, the name Team Plan may be more suitable.

6. For a business to be able to grow, a systems approach is desirable or essential. Typically 80% to 95% of administration and general business activities can be systemized. The portion of your business plan layout that deals with this is simply the Systems Plan.

7. If your business does or will require expensive plant or machinery or specialized facilities, a portion of your business plan structure should be dedicated to covering how you will manage in this area. Your accountant might call this the Asset Management Plan. Other names are Plant & Equipment Plan or Working Environment Plan. In the graphic above I have named this Equipment Plan.