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A Guide to Writing a Business Plan: Part 3
03 March 2009
The next section to be included in your business plan is the “Legal Status and Licenses” section. With this, you will illustrate what legal status your business will have, if any. These decisions affect your tax liability and determine when your taxes will be paid. Investors are concerned about this, as it concerns money. It’s up to you to choose the appropriate legal status.If your business needs legal licensing, you need to acquire the necessary licensing before investors will lend. If your business is a work-from-home type of business, you may need to approach a landlord for permission, or something similar. Make sure you don’t fail to include any licensing details in the plan.In the “Management Processes” section, you will carefully illustrate how you plan to manage your business. Making sure that you’re organized will make your business run more fluently, and by illustrating this on the business plan, investors will know how you plan to handle your business.Here are some key aspects to include:
- Administration
- General Management
- Sales and Marketing
- Finance
- Product Development
- HR and Recruitment
- Your initial marketing targets
- Deals and products/services offered to your customers
- Your unique selling proposition, and how it’s different than competitors
- Share of the market you hope to achieve
- A date by which you hope to achieve these targets
- Reasons why you’re choosing a particular market
- Your next targets in the future, and the reasons for pursuit
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