April 25, at The funding would be used to expand the distribution network and continue brand development in key markets.
It should detail the proposed company offering business plan marketing strategy, sales and service policies, pricing, distribution and advertising strategies that will be used to achieve the estimated market share and sales pr 'ections.
It should describe specifically what is to be done, how it will be done. Describe the general marketing philosophy and strategy of the company. This should be derived partly from the market research and evaluation. It should include a discussion of: What kinds of customer groups will be targeted for initial intensive selling effort?
What customer groups for later selling efforts? How will specific potential customers in these groups be identified and how will they be contacted? What features of the product or service -- e.
Are there any innovative or unusual marketing concepts that will enhance customer acceptance -- e. Indicate whether the product or service will be introduced initially, nationally or on a regional level.
If on a regional level, explain why and indicate if and when you plan to extend sales to other sections of the country. Discuss any seasonal trends and what can be done to promote sales out of season.
Describe any plans to obtain government contracts to support product development costs and overhead. Many entrepreneurs have told us that they have a superior product thai they plan to sell for a lower price than their competitors' product. This makes a bad impression for two reasons.
First, if their product is as good as they say it la, they must think they are very poor sales people to have to offer it at a lower price than the competition.
Second, costs tend to be underestimated. The pricing policy is one of the more important decisions you will have to make. The "price must be right" to penetrate the market, maintain a market position and produce profits. Devote ample time to considering a number of pricing strategies and convincingly present the one you select.
Discuss the prices to be charged for your products or services and compare your pricing policy with those of your major competitors. Discuss the gross profit marcin between manufacturing and ultimate sales costs.
Explain how the price you set will enable you to: Justify any price increases over competitive items on the basis ol' newness, quality, warranty, and service.
If your product is to be priced lower than your competition's, explain how you will do this and maintain profitability -- e. Discuss the relationship of price, market share and profits. For example, a higher price may reduce volume but result in a higher gross profit. Describe any discount allowance for prompt payment of volume purchases.
Describe the methods that will be used to make sales and distribute the product or service. Will the company use its own sales force; sales representatives; distributors? Can you use manufacturers' sales organizations already selling related products?
Describe both the initial plans and longer range plans for a sales force. Discuss the margins to be given to retailers, wholesalers, and salesmen and compare them to those given by your competition. If distributors or sales representatives are to be used, describe how they have been selected, when they will start to represent you and the areas they will cover.
Show a table that indicates the build-up of dealers and representatives by month and the expected sales to be made by each dealer. Describe any special policies regarding discounts, exclusive distribution rights, etc.
If a direct sales force is to be used, indicate how it will be structured and at what rate it will be built up. This sales expense exhibit should also indicate when sales will commence and the lapse between a sale and a delivery.
Service and Warranty Policies: If your company will offer a product that will require service and warranties, indicate the importance of these to the customers' purchasing decision and discuss your method of handling service problems.
Describe the kind and term of any warranties to be offered, whether service will be handled by a company service organization, agencies, dealers and distributors, or factory return. Indicate the proposed charge for service calls and whether service will be a profitable or breakeven operation.
Compare your service and warranty policies and practices to those of your principal competitors. Describe the approaches the company will use to bring its product to the attention of prospective purchasers.Create your own business plan Business planning has never been easier.
With complete sample plans, easy financials, and access anywhere, LivePlan turns your great idea into a great plan for success. 36+ Sample Business Proposal Letters – PDF, DOC It is a proposal on behalf of the company to the concerned party / individual. The terms and conditions of the proposal are mentioned in this document.
In the second paragraph, spell out as to what your goals are and how you plan to achieve these. For you and other entrepreneurs seeking third-party support, the business plan is the most important sales document that you will need to raise finance for your startup or small business.
You've decided to write a business plan, and you're ready to get started.
Congratulations. You've just greatly increased the chances that your business venture will . There are many steps to the offering such as desired financing, offering, capitalization, use of funds, and investor’s return.
Sample Business Plans. A sample concise business plan template is provided on this page as well as other resources.