BUSINESS PLAN
[Company Name]
[One-line description of what the company does and for whom]
[Founder Name(s)] · [City, State] · [Month YYYY]
1. Summary
[Three to five sentences: the problem, the customer, the offer, how the company makes money, where it is today, and what it needs next.]
2. Problem
- [The main problem customers have, stated in their terms]
- [A second problem, if relevant]
- [How customers deal with it today, and why that falls short]
3. Customer
Target customer: [Who they are: role, business type, or household; size of the segment]
Early adopters: [The narrower group most likely to buy first, and why]
Market size
MEASURE | ESTIMATE | BASIS |
|---|---|---|
Total market | $[Amount] / year | [Source or calculation] |
Reachable market | $[Amount] / year | [Segment you can serve] |
3-year target share | $[Amount] / year | [N]% of reachable market |
4. Offer
[What the product or service is and the main things it does. Keep it to what exists or will exist within the next 12 months.]
Why customers choose it: [The main difference from the alternatives, stated as a fact customers can check]
5. Business model
REVENUE STREAM | PRICE | BILLING |
|---|---|---|
[Product, plan, or service] | $[Amount] | [Monthly / annual / one-time] |
[Product, plan, or service] | $[Amount] | [Billing] |
Costs
[Main cost drivers: people, hosting, materials, customer acquisition. Note which costs grow with sales.]
6. Go-to-market
- [Channel 1: how you reach early adopters, with an expected cost per customer]
- [Channel 2]
- [Partnerships or referrals, if any]
7. Competition
ALTERNATIVE | WHAT IT DOES WELL | WHERE IT FALLS SHORT |
|---|---|---|
[Competitor or current workaround] | [Strength] | [Gap] |
[Competitor or current workaround] | [Strength] | [Gap] |
[Doing nothing] | [Strength] | [Gap] |
8. Operations
Location: [Where the business operates: online, office, storefront, or shared space]
Key suppliers and partners: [Name or type, and what they provide]
Tools and systems: [Software, equipment, or facilities the business depends on]
Legal structure: [LLC, corporation, sole proprietorship; licenses or permits required]
9. Key metrics
METRIC | CURRENT | 12-MONTH TARGET |
|---|---|---|
[Paying customers] | [N] | [N] |
[Monthly recurring revenue] | $[Amount] | $[Amount] |
[Customer acquisition cost] | $[Amount] | $[Amount] |
[Monthly churn] | [N]% | [N]% |
10. Milestones
QUARTER | MILESTONE | HOW IT IS MEASURED |
|---|---|---|
[Q1 YYYY] | [Milestone] | [Measure] |
[Q2 YYYY] | [Milestone] | [Measure] |
[Q3 YYYY] | [Milestone] | [Measure] |
[Q4 YYYY] | [Milestone] | [Measure] |
11. Financial summary
USD | YEAR 1 | YEAR 2 | YEAR 3 |
|---|---|---|---|
Revenue | 120,000 | 360,000 | 720,000 |
Cost of goods sold | 36,000 | 108,000 | 216,000 |
Gross profit | 84,000 | 252,000 | 504,000 |
Operating expenses | 150,000 | 240,000 | 390,000 |
Net income | (66,000) | 12,000 | 114,000 |
Illustrative figures; replace them with your own projections. Values in parentheses are losses. Totals are typed values and do not recalculate.
12. Funding and use of funds
[Company Name] is seeking $150,000 to reach [milestone] by [Month YYYY].
USE | AMOUNT | SHARE |
|---|---|---|
Product development | $60,000 | 40% |
Sales and marketing | $40,000 | 27% |
Operations | $30,000 | 20% |
Reserve | $20,000 | 13% |
Total | $150,000 | 100% |
13. Assumptions and risks
ASSUMPTION OR RISK | HOW IT WILL BE TESTED OR REDUCED |
|---|---|
[e.g., customers will pay $[Amount] per month] | [Test and date] |
[Assumption or risk] | [Test or mitigation] |
[Assumption or risk] | [Test or mitigation] |
14. Team
[Name], [Role]: [Relevant experience in one sentence]
[Name], [Role]: [Relevant experience in one sentence]