Business Planning

WHERE DOES BUSINESS FAILURE START ─ A HIGH-LEVEL PERSPECTIVE

(Excerpted from A Canadian Black Empowerment Manifesto (CBEM) Version 2.0. Volume 001, pp. 117 – 121)

Notwithstanding a great idea or product, business expertise, capital financing, and digital technology, a business can fail. First, every business begins as a project, whether small or large scale. Large-scale corporate businesses utilize high-level project management techniques. Small business entrepreneurs tend to focus on unproven ideas, products, marketing, sales, and profitability. The passion of starting a business more than focusing on long-term business viability seems to be a bigger focus than the demands for more significant business planning and business capitalization ─the weak link.

WHAT SHOULD A COMPREHENSIVE BUSINESS PLAN TEMPLATE LOOK LIKE?

Table 01 (overleaf) is a representative sample of a Comprehensive Business Plan Elements. It is atypical and intended to encapsulate the broadest scope of cost elements that cuts across the widest range of projects and businesses? Regardless of a project or business, small or large-scale, a significant number of the 11 main elements and sub-elements apply. Likewise, business owners can choose to re-arrange some sub-elements to their business preference. Still, the goal should be to include every element that can have even marginal consequence to the project or business to the fullest extent. Experientially, some projects are suspended for various reasons or fail to succeed as expected. Discussions on these and other project management and business management objectives will be fundamental to the functioning of the Canadian Black Empowerment Think Tank (CBETT).

COMPREHENSIVE BUSINESS PLANNING TEMPLATE

GIBBS BUSINESS PLANNING TEMPLATE SUGGESTION:

CONTENTS:

EXECUTIVE SUMMARY NON-DISCLOSURE CONFIDENTIAL, AND NON-CIRCUMVENT AGREEMENT, ETC. (Not Included) BUSINESS VISION BUSINESS MISSION BUSINESS DETAILS: Business Address Nature of Business Years in Business Business Authorization (Charter) Business Goals and Objectives Business Timeline (Major Milestones and Key Events) Business Type (Sole Proprietor, Partnership, Venture Capitalist) Business Consultants and Qualifications Guidelines, Principles, and Values Product(s) of the Business SWOT Analysis (Strengths, Weakness, Opportunities, and Threats) KEY SUCCESS FACTORS: Financial Feasibility Capital Financing Communication Plan Business Plan Project Management Plan Construction Management Plan (If applicable) Customer Care Plan/Soft Skills/Certification Business Expertise Business Competency Business Integrity BUSINESS LEGAL FRAMEWOK Date Business Established Business Registration Number(s) Business Legal Representation Business Partners & Location Business Partnership Joint Liability Business Contracts and Agreements Business Employee Salaries and Incidentals Roles, Responsibilities, and Accountabilities Business Bookkeeping, Records Keeping, and Accounting Licenses, Permits, and Authorizations Legal and Financial Administration & Reporting Business and liability Insurance Note: Legal framework is critical to businesses’ functioning; often, some vital areas are overlooked and not accounted for in the overall budget process. MARKET ANALYSIS Industry Overview Digital Infrastructure Target Market(s) Fourth Industrial Revolution (4IR) (Industry 4.0.) Mega-trends Overall Market Analysis and Competitiveness Customer Characteristics and Needs Throughput Analysis Customer Purchasing Decisions Industry Response Business Achievements PRODUCT PRODUCTION PROCESS Rental Strategy Product Sourcing Product Preparation Resourcing Planning Product Quality Control & Assurance Product Packaging (Bottling Process) Delivery Strategy Waste Management Strategy Sales and Marketing Publicity and Marketing (Social Media Strategy) Advertising and Promotions Products Sales Tactics Customer Focus Shipping Safeguards Freight and Insurance PROJECT MANAGEMENT PLAN 10 CRITICAL MANAGEMENT AREAS Integration Management (Project Mandate/Organization Structure) Scope Management Time Management Cost Management Resource Management Quality Management Human resources Management Communications Management Risk Management Stakeholder Management BIOGRAPHIES AND ROLES, RESPONSIBILITIES, AND ACCOUNTABILITIES Advisory Council Resumes Specific Business Qualifications Roles, Responsibilities, and Accountabilities Letters of Intent (LOI) Letters of Endorsements Membership & Associations Note: Project Life Cycle Initiation, Planning, Execution, Monitoring and Controlling, and Closing.

APPENDICES:

FINANCIAL FEASIBILITY Income Tax Statements Overall Development Plan (Including Estimates) Capital Budget (Including Cost Contingency) 1 Year Operating Statement (Income/Expense) 5 Year Pro Forma Statement Product Throughput Analysis (An unfamiliar term among many small business owners) (https://www.investopedia.com/terms/t/throughput.asp). Return on Investment (FOI) Breakeven Analysis Asset Management Plan Contingency Planning (Miscellaneous) Accounting Management (Bookkeeping and Payroll Management) Corporate Reporting (Corporate Taxation) Archiving Strategy

Table 01.

Note 001:

Excluded are the Construction Elements. An excellent place to start on your journey into construction management could begin with the Construction Institute of Canada  (TCIC).[1] Likewise, the Construction Industry Institute (CII).[2]

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[1]The Construction Institute of Canada (TCIC) was founded in 2003 by a group of Canadian construction industry executives. The primary objective of these founders was to create an organization that would promote and implement the highest possible standards of professionalism and ethical conduct throughout the Canadian construction industry. The founders shared a strong belief in the power of education and skills upgrading to elevate professionalism and ethical standards throughout the construction industry. To this end TCIC offers Gold Seal certified professional development courses for Canadian practitioners. The Institute also recognizes the need for strong self-regulation in the construction industry and operates accordingly (http://www.tcic.ca/pub/index.html).

[2]CII, based at The University of Texas at Austin, is a consortium of more than 140 leading owners, engineering-contractor, and supplier firms from both the public and private arenas. These organizations have joined together to enhance the business effectiveness and sustainability of the capital facility life cycle through CII research, related initiatives, and industry alliances (https://www.construction-institute.org/about-cii).