How to write a business plan 

1. Create an executive summary

Even though it appears first in the plan, write your executive summary last so you can condense essential ideas from the other nine sections.

For now, leave it as a placeholder. Of course, this begs the question …

What is an executive summary?

The executive summary lays out all the vital information about your business within a relatively short space; typically, one page or less. It’s a high-level look at everything and summarizes the other sections of your plan. In short, it’s an overview of your business.

How do I write an executive summary?

• Below, you’ll find an example from a fictional business, Landscapers Inc. (We’ll use that same company through this guide and within the downloadable template to make each step practical and easy to replicate.)Its executive summary majors on what’s often called the value proposition or unique selling point: essentially, an extended motto aimed at customers, investors, and employees.
• You can follow a straightforward “problem, solution” format, or a fill-in-the-blanks framework:
• For [target customers]
• Who are dissatisfied with [current solutions]
• Our [product or service] solves [key customer problems]
• Unlike [competing product], we have [differentiating key features]
• That framework isn’t meant to be rigid, but instead to serve as a jumping-off point.
• meant to be rigid, but instead to serve as a jumping-off point.

Example of an executive summary

Market research indicates an increasing number of wealthy consumers in Cape Town are interested in landscape architecture based on sustainable design. However, high-end firms in the area are scarce. Currently, only two exist—neither of which focuses on eco-friendly planning nor are certified by green organizations.

Landscapers Inc. provides a premium, sustainable service for customers with disposable incomes, large yards, and a love of nature.

2. Compose your company description

Within a business plan, your company description contains three elements: (1) mission statement, (2) history, and (3) objectives.

What is a mission statement?

A mission statement is your business’ reason for existing. More than just what you do or what you sell … it’s about why.

Mission statements should be inspirational and emotional.

They should be rallying cries around which the heart and soul of your business turn.

Throughout every part of your plan, less is more. Nowhere is that truer than your mission statement.

Think about what motivates you, what causes and experiences led you to start the business, the problems you solve, the wider social issues you care about, and more.

tead, write it like you would a profile:

• Founding date
• Major milestones
• Location or locations
• Number of employees
• Executive leadership roles
• Flagship products or services

Then, translate that list into one or two paragraphs (see below).

Why do business objectives matter?

Business objectives give you a north star. These goals must be SMART: specific, measurable, achievable, realistic and time-bound. Or, they must be tied to key results.

When your objectives aren’t clearly defined, it’s hard for employees and team members to work towards a common purpose.

Worse, fuzzy goals won’t inspire confidence from investors. Nor will they have a profitable impact on your business.

Example of a company description

Landscape Inc.’s mission is to change the face of our city through sustainable landscaping and help you create the outdoor living space of your dreams.

Founded in 2019 by sisters Sherry and Shelly Smith, we have over 25 years of combined landscape-architecture experience. Our four employees work in teams of two and have already completed ten projects for some of Cape Town’s most influential business and community leaders.

Our objectives over the next three years are to:

1. Solidify a glowing reputation as a service-based business that always exceeds customer’s expectations and honors the environment
2. Complete at least 18 projects during year one, 24 in year two, and 36 in year three generated through word-of-mouth, referrals, and home shows
3. Increase revenue from R360,000 in FY2021 to R972,000 in FY2022 based upon ten completed projects in the last nine months.

3. Summarize market research and potential

The next step is to outline your ideal customer as well as the actual and potential size of your market.

Target markets—also known as personas—identify demographic information like:

• Location
• Income
• Age
• Gender
• Education
• Profession
• Hobbies
• Etc.

You can get even more targeted by mapping your customer’s journey