Chapter 8 The business planning process. The topics discussed in this chapter are: explain why it is important to look to the future when determining a venture’s value, describe how the time pattern of cash flows relates to venture value, understand the need to consider both forecast period and terminal value cash flows when determining a venture’s value, understand the difference between required cash and surplus cash,. | Entrepreneurship Canadian Edition William D. Bygrave, Andrew Zacharakis, Sean Wise 1 THE BUSINESS PLANNING PROCESS Chapter 8 2 3 Learning Objectives The Planning Process Learning Objective Describe the business planning process. The Story Model Learning Objective Explain what is a story model. The Business Plan Learning Objective Describe each section of a business plan. Types of Plans Learning Objective Describe the different types of business plans. Style Pointers for the Written Plan and Oral Presentation Learning Objective Describe how to do a written or oral business plan presentation. 3 4 Today’s Key Concepts Business Plan The Planning Process Back of the Napkin Diagram (BoND) KPIs UVP Defensible Competitive Advantage Elevator Pitching 4 It is a small investment in time and cost when compared to the time and cost of starting a business. It forces the entrepreneur to think critically about all aspects of the business venture. It can later be used as a benchmark to monitor the progress of the business. “Plans are nothing, but planning is everything” - GEN Dwight D. Eisenhower You Need a Business Plan ***new slide*** 5 Many established ventures use business model canvas instead of a business plan. Many startups use a lean startup canvas not a business plan So why write one? Helps stakeholders align. It forces the entrepreneur to think critically about all aspects of the business venture. It can later be used as a benchmark to monitor the progress of the business. Not the paper, but the ideas that matter. “No plan survives first contact with customer” Steve Blank Wait! No One Reads a Business Plan ***new slide*** 6 Start business planning when starting to think about a new venture Organize information into topic areas Focus on critical aspects of the business model and follow basic/common plan formats Keep in mind—the business plan is a “living document.” It will continue to evolve as you progress. Business Planning Is a Continuous Process 7 | Entrepreneurship Canadian Edition William D. Bygrave, Andrew Zacharakis, Sean Wise 1 THE BUSINESS PLANNING PROCESS Chapter 8 2 3 Learning Objectives The Planning Process Learning Objective Describe the business planning process. The Story Model Learning Objective Explain what is a story model. The Business Plan Learning Objective Describe each section of a business plan. Types of Plans Learning Objective Describe the different types of business plans. Style Pointers for the Written Plan and Oral Presentation Learning Objective Describe how to do a written or oral business plan presentation. 3 4 Today’s Key Concepts Business Plan The Planning Process Back of the Napkin Diagram (BoND) KPIs UVP Defensible Competitive Advantage Elevator Pitching 4 It is a small investment in time and cost when compared to the time and cost of starting a business. It forces the entrepreneur to think critically about all aspects of the business venture. It can later be used as a .
