Your Business Plan - Detailing Your Business Description

Your Business Plan - Detailing Your Business Description

Dr. Linda Hancock

ABOUT THE AUTHOR

Dr. Hancock has written a regular weekly column entitled “All Psyched Up” for newspapers in two Canadian provinces for more than a dozen years. Over the years, her readers and clients have said that they have benefited from her common-sense solutions, wisdom, and sense of humour. Dr. Linda Hancock, the author of “Life is An Adventure…every step of the way” and “Open for Business Success” is a Registered Psychologist who has a private practice in Medicine Hat. She can be reached at 403-529-6877 or through email office@drlindahancock.com

Published

February 22 2011

Do not assume that anyone who will be reading your Business Plan knows anything about your business. You will need to include a number of specific pieces of information that will help the reader to understand exactly how you have set up the business.

In order to do this, include the following in your description:

The legal name of the business and form that it takes under the law. For example, is it a sole proprietorship, partnership or corporation? Also talk about specific divisions or departments that you have set up within the business.
Business ownership - Are there shareholders and if so, what percentage of the company do they control and how active are they in the operation of the business. You might also want to include a paragraph or two here about the way that you involve other people in the business either through contracts or wages. Remember to include your role and the way that decision-making is done so that the business will flourish.
Location and facilities - Describe the address, size and costs of the places where your business operates. Don't forget to include any storage facilities.
Historical information - Summarize the way that the company started and any significant milestones along the way. Talk about products and services that have been provided in the past as well as the staffing that was required to this point in order to operate the business. If you do not have a history but are just starting up a new business, include your plans and what you hope to offer the market once you are open for business. You can talk about successes that you have enjoyed as well as difficulties and how you managed to overcome them.
Business Summary - Use a couple of detailed sentences that will give a brief but clear overview of the business, clientele and reputation.

The description of your business should leave the reader with a clear understanding of exactly what you have set up and how you not only served others in the past but also how you plan to continue, expand or change your business in the future, It is therefore important that you use clear language and details that will paint a picture in the mind of the reader while also inspiring that person to want to know more about your business because of the interest that they have developed during the reading.