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[MyCompany]wasformedasa[proprietorship,partnership,corporation]in[Month,Year]in[City,State],by[JohnDoe]inresponsetothefollowingmarketconditions:
[Startup,growth]opportunitiesexistin[Product/Service].
Theneedforuseofefficientdistributionandfinancialmethodsintheseoverlookedmarkets.
[I/We]haveseveralcustomerswhoarewillingtoplacelarge[orders,contracts]withinthenextthreemonths.
Severalotherprospective[customers/clients]haveexpressedseriousinterestindoingbusinesswithinsixmonths.
[I/We]previouslyownedacompanythatwasactiveinthewidgetmarkets.OverthepastfewyearsIspentmuchtimestudyingwaystoimproveoverallperformanceandincreaseprofits.Thisplanisaresultofthatstudy.
Thebasiccomponentsofthisplanare:
<
Product>
1.Competitivepricing
2.Expandthemarkets
3.Increasedadvertising
4.Lowerourunitcosts,
5.Therebyachievinghigherprofits.
Service>
1.Signcontracts
2.Increasedadvertising
3.Increaseofficestaff
Tothisend,[I/we]needinvestmentfromprivateindividualsand/orcompanies.Atotalof$XXXisbeingraisedwhichwillbeusedtofinanceworkingcapital,plantandequipment.Thecompanywillbeincorporatedandcommonstockissuedtoinvestors.Thecompanywillberunasa[proprietorship,partnership,corporation].
FinancialGoals
Year1
Year2
Year3
Sales
$1,000,000
$1,400,000
$1,600,000
NetIncome
$25,000
$250,000
$375,000
Earningspershare
.01
.12
.14
Management
[Name]
[Title]
[Experience]
Salesgrowthfromzeroto$1,000,000infiveyears.
Ledmarketinmarketshare-30%.
Formulatedadvertisingbudgets&
campaigns.
Pioneerednewdistributionchannels.
Establishednationalsalesforce.
Establishednationalrepair&
servicecenters.
Broughtnewandinnovativeproductstothemarket.
Designedpoint-of-purchasematerials.
[Education}
UniversityofBoston
Boston,MA
B.A.-ComputerSciences
ShortBiographies
President
JohnQ.Doe,ChiefExecutiveOfficer,andDirectorsinceFebruary1988andPresidentsinceJanuary1990.Mr.DoewasthefounderandChiefExecutiveOfficeroftheoriginaloperatingcompanyknownasRandomExcess,Inc.Hehashadexperienceinthewidgetfieldwithhisownfirm,JohnDoeCo.,ofOshkosh(Wisconsin),from1980to1987.ThisfirmwassoldtoFatCatWidgets,Inc.in1987.Mr.DoehasheldasalespositionwithUSWestInc.sincethen.Mr.DoegraduatedfromtheUniversityofColoradoin1981withabachelor’sdegreeinphilosophy.Mr.DoeisemployedbytheCompanyonafull-timebasis.
ChiefFinancialOfficer
RichardRoe,CPA,ChiefFinancialOfficer,TreasurerandDirector.Mr.RoejoinedRandomExcess,Inc.inDecember1988asacorporatecontrollerandwasnamedChiefFinancialOfficerinJuly1989.Mr.RoewasappointedTreasurerandaDirectorinJuly1990.HeservedascorporatecontrollerofXYZLumberCompanyfromAugust1981toDecember1988.Mr.RoegraduatedfromMetropolitanStateCollegeinDenver,Coloradoin1976withabachelor’sdegreeinaccounting.Since1979hehasbeenlicensedasaCertifiedPublicAccountantintheStateofColoradoandisamemberoftheAmericanInstituteofCertifiedPublicAccountants.Mr.RoeisemployedbytheCompanyonafull-timebasis.
VicePresident
JoeDokes,Secretary,ExecutiveVicePresidentandDirector.Mr.Dokessupervisesthecompany’ssalesandimplementationstoitslargestcorporatecustomers,includingUSWest,GreatWestLifeInsurance,etc.Mr.DokeshasservedasSecretaryandaDirectorsinceFebruary1988,VicePresidentofOperationsfromFebruary1988toDecember1988,PresidentoftheCompanyfromDecember1988toJanuary1990andVicePresidentofContractSalessinceJanuary1990.Hehasbeeninvolvedsince1986withtheprivatecompanyoriginallyformedasRandomExcess,Inc.,wherehisdutiesincludedmanagingthepurchasingandsalesdepartment.FromNovember1984toMay1986hemanagedthesalesdepartmentatIntegratedManagementSystems,Inc.FromJune1983toOctober1984hewasabuyerforAdamsCounty,Colorado,SchoolDistrict50.Mr.DokesattendedOklahomaStateUniversityin1980and1981andTrinidadStateCollegeinTrinidad,Coloradoin1981and1982.Hedidnotreceiveadegreefromeitheruniversity.Mr.DokesisemployedbytheCompanyonafull-timebasis.
SallySeaughVicePresidentofMarketing.Ms.SeaughhasbeentheCompany’sVicePresidentofMarketingsinceNovember1988.FromSeptember1986toOctober1988shewasinvolvedinbusinessdevelopmentandmarketingforUnitedBankofAurora(Colorado).FromFebruary1980toAugust1986shewasself-employedasanindependentoilandgaslandman.Ms.SeaughgraduatedfromtheUniversityofDenverin1974withabachelor’sdegreeinEducation.SheisemployedbytheCompanyonafull-timebasis.
Responsibilities
JohnQ.Doe,ChiefExecutiveOfficer-Responsibleforentireoperation.Overseesmanagementfunctionandallotherexecutives.
Salary-$60,000.
RichardRoe,CPA,ChiefFinancialOfficer-Responsibleforfinancialoperations,accountspayable,accountsreceivable,interactionwithauditors,investorrelations.Salary-$40,000
JoeDokes,ExecutiveVicePresident-Responsibleprimarilyforsalesandsalessupport.
Salary-$35,000
SallySeaughVicePresidentofMarketing.Responsibleformarketing,humanresourcesandtraining.
Salary-$30,000.
TotalExecutiveCompensation
$165,000.
[ThisPageisforanOrganizationChart,ifapplicable.]
[Company]History
In[Month,Year][I/we]formeda[Product/Service]companythatmanufacturedstart-of-the-artcomplexwidgetry.Thiscompanywaslocatedin[City,State].[I/we]formedthiscompanyasa[proprietorship,partnership,corporation].Othersinvolvedinthisbusinesswere:
[names].
Themaingoalofthiscompanywasto[explain].
Financingwasarrangedthrough[homeequityloans,savings,venturecapital,friendsandfamily,etc.][Explainterms,ratesandabilitytorepay.]
Thisventurewasverysuccessfulingeneratingandincreasingsales,butwasnoteffectiveinachievingprofitability.Themainreasonforthiswastheamountofactualoverheadexperienced.Thisoverheadwasnotinitiallyanticipatedbymeatthebeginningofthatventure.Itemsincludingcreditchecking,warrantyprogrammanagement,extensivetravel,maintainingwarehousestockandthemanagementandexpenseofanationalsalesforcewereexpensesnotoriginallyforecastorexpected.Withthislevelofoverhead,itwasmathematicallyimpossibletoachieveprofitability.
or:
Thisventurewasverysuccessfulingeneratingandincreasingsales,aswellaseffectiveinachievingprofitability.Thiswasduetothefollowingreasons:
[Reason1}
[Reason2]
[Reason3]
OR:
[MyCompany]wasrecentlyconceivedandisstillinthebeginningstages.Tothispointthefollowinghasbeenaccomplished:
▪Ateamconsistingof[listnamesandprimaryresponsibility.(i.eJohnDoe-Marketing)hasbeenformed.
▪Aprospective[customer/client]listhasbeendrawnup.
▪StrategymeetingsarebeingheldeveryMonday,WednesdayandFridayevenings.
▪Thisbusinessplanhasbeendrawnup.
[Nowlinkthepasttothefuture-whyaformercompanywillleadintothisoneorhowyourpresentcompanyandhistorywillleadintoanyfutureplans.Ashortparagraphshouldsuffice.]
Wearenowabletoadequatelyaddressthemarketswehavetargeted.Wehaveadjustedourstaff,redirectedouradvertisingandsalesforce,andhaveaddedtheproductsnecessarytomeettheneedsandexpectationsofourcustomers.
[Product/Service]Description
[MyCompany]intendstooffer[product/service].This[product/service]offersourcustomersthebestpossiblesolutionasit:
▪Offersthelowestpriceonthemarket
▪Isthemosttechnicallyadvanced
▪Offersmoreusefulfeatures
▪Savesthemtimeandmoney
▪Offersourusersbettervalueperdollarspent
▪Providesanalternativewaytoachieveasimilartask.
▪Providesaservicewhichisnotpresentlyavailableinthisarea.
▪IsstrengthenedbyateamwithcombinedexperienceofXXyears.
▪Providesanalternative,costeffectivewayforthemtorealizeasimilargoal.
Wehavea[copyright,servicemark,trademark]or[exclusiveagency,marketingrights]forthis[product/service].ThisagencywilllastuntilXXXatwhichtimeitmaybeextendedforXXyearsorterminated.ThisagencyagreementiscancelableuponXXdayswrittennotice.
The[product/service]hasausefullifeofXXyears.Todistributethisproductsothatitremainsusableforourcustomers,wemustusethefollowingmethodsofstorageandtransportation:
1.Overnightdelivery
2.Coldstorage
3.Incorporatepreservatives
4.Shipmentwithintwoweekstodistributors.
5.Speciallypaddedboxcars.
Eventhoughthetechnologyusedtocreatethisproductisnew,weexpectthatotherswillbeabletosubstantiallyreproduceourpatentedresultswithinXXyears.Toremainontheleadingedgeofthisproduct,wewillneedtodevoteapproximatelyXX%ofrevenuestowardresearchanddevelopment.Alsoduetothefastchangingnatureofthisindustry,wewillneedtoretrofitthesemachineswithinXXyearsatcustomerexpense.Ourmanufacturingplanhasconsideredthis.
[Ifgeneralservicetobeofferedisnotobvious,suchascarpetcleaning,salesrep,lawncare,consulting,etc.explainwhatserviceis.Thengiveadetaileddescriptionofyourparticularserviceanditsuniqueness.]
ShortExamples:
1.Ourcarpet