Home Based Business Plan Outline

A business plan is key to success in a home based business. The following elements should be included in a home business plan:

Executive Summary

This is a one page summary of the highlights of your home based business plan. It summarizes all of the other elements in your plan and should be written last.

Description of Home Based Business

Write a general description of the industry in which your business participates and a detailed description of your business including the legal structure, history if it is an existing business or whether it is a start-up or franchise. Describe the product or service you plan to provide in your home based business.

Product or Services

Describe your product or service in detail. If you are manufacturing the product, describe the process. If you are purchasing products to sell, describe the method by which will receive or be supplied with the product. If your business is a service, describe the service you will provide and its benefits.

Market Analysis

Describe your customer, your market, where your home based business market is located and how you plan to reach them.

Management

List your management team. Describe how the organization works and who will be responsible for what tasks. Resumes should be included in an appendix.

Financial Analysis

If you are seeking financing, investors, or partners, this section is important. You should include your projected Profit and Loss statement, Cash Flow statement, and Break-Even Analysis. Financial institutions and investors may require additional information. Check with them for their requirements.

Cover Page

This is the first page a potential investor or loan officer will see. It should make a good impression. You may want to number your copies if you are passing them out to more than one financial institution or investor. This will help you keep track of them and to remember to get them back when a decision has been made. You should also create one to identify the document even if it is just for you.

Table of Contents

The table of contents lists the items included in the plan. Pages should be numbered.

Appendix

Supporting documents like licenses, resumes, and additional material supporting your idea should be included in this section. Each should be listed in the Table of Contents with a page number so that the person viewing the home based business plan ca easily find them.

There are different feelings as to whether a business plan is necessary for a home based business. A business plan is your blueprint. It can be a formal document which may be submitted to investors in your home based business or it can be informal. You can use the informal plan to keep your thoughts and directions for the business on track. It will aid you in managing and growing your home based business opportunity.