资源描述
January 2003,The Nuts and Bolts of Business Plans,Joe Hadzima,*,The 14th Annual,The Nuts and Bolts of Business Plans,MIT Course 15.975January 2003,Joe Hadzima,(MIT S.B., M.S. in Management; Harvard Law),Senior Lecturer, MIT Sloan School,Managing Director, Main Street Partners LLC,Joost Bonsen Yonald Chery,MIT Sloan Graduate Student MIT Course 6, PhD Candidate,Former Lead Organizer, MIT $50K Competition $50K Finalist, Founder Virtual Ink,jpbonsenalum.mit.edu yonaldalum.mit.edu,TA:,Jorge Bravo,(15975-tamit.edu),Why Should You Be Here?,-14,th,Year, 1,600 to 2,000 people, Multiple companies started,-Who Am I?,-Why Do We Do This Course?,-Who Should Take This Course?,-Who Is In The Audience?,-Take This Course For CREDIT,The Nuts and Bolts of Business Plans,The Nuts and Bolts of Business Plans,Course Information,MIT Course 15.975 :/entrepreneurship.mit.edu/15975/,3 Credits Pass/Fail,Class Attendance Required,Written Requirement,-Executive Summary,or-Analysis of Business Plan,The Nuts and Bolts of Business Plans,We Want You To SUCCEED,-Jorge Bravo, TA,15975-tamit.edu,-Krisztina Holly,$10K and $50K Winner, Executive Director of the Deshpande Center,-Joost Bonsen,Former $50k Entrant, Lead Organizer, Television Personality,-Yonald Chery,Course 6, $50K Finalist, Founder of Virtual Ink,The Nuts and Bolts of Business Plans,Krisztina Holly,January 2003,Worthy IAP Entrepreneur Events(This Week),Wed 1/22 10a-12n 2-105 : Fostering Innovation w/ Prof Vander Sande, American Superconductor (plus bustour),Weekly Wed Muddy 8p+ (AgeID),Thurs 1/23 4p Lobby 13 : Deshpande $50K Dinner,Friday 1/24 1-5p Wong e51 : SEBC Technology & Entrepreneurship Forum & VentureFest,January 2003,Worthy IAP Entrepreneur Events(Next Week),Mon 127 10a-12noon 4-231 : Fostering Innovation w/ Sherwin Greenblatt, VMS (and former BOSE President; also a bustour),15.976 Starting & Running High Tech Co every afternoon 2:30-5p,Weekly Wed Muddy 8p+ (AgeID),JazzLink Thurs 1/30 6p Walker (AgeID),Charm School Friday;-),January 2003,Yonald Chery,A Brief Introduction to Virtual Ink,January 2003,Course Schedule,6:30pm to 8:30pm Room 10-150,BUSINESS PLAN BASICS - Tuesday, January 21,TECHNOLOGY STRATEGY; MARKET IDENTIFICATION Wed, January 22,SOLVING THE WEAKEST LINK, SALES - Thursday, January 23,*,LEGAL ISSUES; PRESENTATION SKILLS - Monday January 27,BUSINESS MODELS; FINANCIAL PROJECTIONS - Tuesday, January 28,FINANCING SOURCES; EXECUTING THE PLAN - Wed, January 29,*,In conjunction with the MIT Enterprise Forum Satellite Broadcast- 7:00pm- 9:00pm in Kresge Auditorium,January 2003,SESSION 1: BUSINESS PLAN BASICS,The Business Plan -,A SUPPORTED VISION,Technology,Intellectual,Property,Market,Analysis,Competitive,Analysis,Sales and,Distribution,Team,Financial,Projections,Detailed,Support/Foundation,Full Business Plan,PowerPoint Presentation,Executive Summary,Elevator Speech,Mission Statement,1 paragraph,30 seconds,2-5 pages,10-15 minutes,20-30 pages,January 2003,SESSION 1: BUSINESS PLAN BASICS,Why Write A Business Plan?,What Should Be In A Business Plan?,The Business Plan As A Financing Document,What We Will Discuss Today:,January 2003,SESSION 1: BUSINESS PLAN BASICS,Because I have to.,Needed for financing,Strategic partnering,To explain business to customers/suppliers,To attract key people,Why Write a Business Plan?,January 2003,SESSION 1: BUSINESS PLAN BASICS,Because I Need to Understand My Business,The Business Plan is a result of a PLANNING PROCESS,Who are your customers?,Why will the buy your service or product?,What will they pay?,How will you make and deliver the service/product,What resources (people, money, technology) will you need?,Can you make money/create value?,Why Write a Business Plan?,January 2003,SESSION 1: BUSINESS PLAN BASICS,Types of Plans,Operational plans,External plans,Summary Plan,Full Business Plan,Who should write the Plan?,CEO alone?,The team?,A hired writer/consultant?,January 2003,Business Plan Targeting,Audience,Issues to Emphasize,Issues to De-emphasize,Length,Investor,Fast growth, potential large market, management team,Assets,20 40 pages,Strategic Partner,Synergy, proprietary products,Sales force, assets,20 40 pages,Banker,Cash flow, assets, solid growth,Fast growth, hot market,10 20 pages,Large customer,Stability, service,Fast growth, hot market,20 40 pages,Key employees,Security, opportunity,Technology,20 40 pages,Merger & acquisition,Past accomplishments,Future outlook,20 40 pages,Excerpted from: Gumpert, David E.,How to Really Create A Successful Business Plan, INC Publishing 1990,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,Size/Packaging Of The Plan,Avoid the 3 thick binder,Separate binding of Executive Summary?,How to bind?,staple,spiral,Velabind,Accubinder,Appearance should be professional,but not overly slick,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,The Plan is a SELLING DOCUMENT,Dont lose sight of the vision,The excitement must come through,The Plan should project your image,BUT: The Plan Must Be Defensible,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,Elements of a Plan,Executive Summary,The Opportunity and the Company and its Services/Products,Market Research/Analysis,Economics of the Business,Marketing Plan,Design and Development Plan,Manufacturing and Operations Plan,Management Team,Schedule,Critical Risks, Problems and Assumptions,The Financial Plan,Appendices,Notice That “Technology” Is,NOT,A Section,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,Cover Page,Name of Company,Address,Telephone/fax/email,Confidentiality legend,Securities law legend,Control numbering of copies,January 2003,SESSION 1: BUSINESS PLAN BASICS,CONFIDENTIAL,This Business Plan has been prepared by Virtual Ink, a Delaware Corporation. It is being delivered, subject to prior execution of a Confidential Disclosure Agreement, to a limited number of parties who may be interested in investing in Virtual Ink Corporation. The sole purpose of this Business Plan is to assist the recipient in deciding whether to proceed with a further investigation of Virtual Ink, Corporation.,While Virtual Ink Corporation believes that the financial and other information contained herein is accurate, Virtual Ink Corporation expressly disclaims any and all liability for express or implied representations or warranties contained in, or for omission from, this Business Plan, or any other written or oral representations and warranties which may be made to the investor in a Stock Purchase Agreement when, as and if one is executed, and subject to such limitations and restrictions as may be specified in such Stock Purchase Agreement, shall have any legal effect.,This confidential Business Plan is the property of Virtual Ink Corporation and contains proprietary information belonging to Virtual Ink. It is submitted for the sole and confidential use of the person named below. No part hereof may be reproduced, distributed or used for any other purpose. This copy must be returned to Virtual Ink upon request. This confidential Business Plan does not constitute an offer of securities for any purpose.,Copy No. _ For: _,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,Table of Contents,Put one in,Include page numbers,January 2003,SESSION 1: BUSINESS PLAN BASICS,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,Executive Summary,An Executive Summary is,NOT an abstract of the plan,NOT an introduction,NOT a preface,NOT a random collection of highlights,An Executive Summary IS the Business Plan in miniature,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-Executive Summary (continued),Size,Two pages (preferable) to five pages (max),The Executive Summary must be,Logical,Clear,Interesting/Exciting,The Executive Summary is like a RESUME,If it gets the readers attention, the rest gets read,The Elevator Speech is to the Exec Summary as the Exec Summary is to the Full Plan,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-Executive Summary (continued),The Executive Summary tells,Who you are,What your strategy/vision is,What you are doing and/or propose to do,What is the market,How many $ do you need and what will you do with them,What your SUSTAINABLE COMPETITIVE ADVANTAGE is,When the reader is finished he or she should be able to tell someone what you are up to.,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-Executive Summary (continued),The Executive Summary Should Contain:,Description of the Business Concept and the Business,The Opportunity and Strategy,The Target Market and Projections,The Competitive Advantages,The Economics, Profitability and Harvest Potential,The Team,January 2003,January 2003,The Virtual Ink,Executive Summary,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,The Body of the Plan-,The Opportunity,What is the Market / Opportunity?,How big is it now?,What are the trends- how fast is it or will it grow?,Why Is,This,Time The,Right,Time For Your Product/Service?,Convergence of Opportunity and Solution,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-The Body of the Plan,Market Analysis,Existing and planned products in marketplace,Market segments,Market players/competition,Competitive Advantages,Estimated Market Shares,Current Players,You,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-The Body of the Plan,Economics of Business,What Are Your:,Expected Gross and Operating Margins,Profit potential and,erosion,Fixed, variable and semivariable costs,Months to breakeven,Months to Cash Flow Positive,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-The Body of the Plan,Marketing Plan,What is your Marketing Strategy?,Pricing and Distribution,Pricing and margin erosion,Distribution must match strategy/pricing,Sales Tactics,Who will be the first customer, second customer etc.?,How will you reach the customer?,Advertising and Promotion,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-The Body of the Plan,Development Plan,Where is development today- product status,What development is needed?,Time and resources needed for development,Do you have to produce a complete product to get going? Avoid “,Nuclear Fusion,”,Difficulty and Risks,Product Pipeline Plans,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-The Body of the Plan,The Development Plan (cont),Intellectual Property,Do you have patents?,How broad is your intellectual property protection?,How do you compare to your competitors?,Other technologies?,Proprietary Rights,Do prior employers have rights?,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-The Body of the Plan,Manufacturing and Operations Plan,Operating Cycle,Geographical Location,Facilities needed,Strategy and Plans,outsourcing vs. in-house,Regulatory and Legal issues,FDA,Environmental,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-The Body of the Plan,The Team,The Internal Team,Background of principals,How long has the company been in operation?,The External Team,Board of Directors,Advisory Board,Professional Advisors,Dont “name drop” if the external person has not agreed to be mentioned,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-The Body of the Plan,Action Plan,What Will You Do and When?,Identification of “Credibility Testers”,Sequencing to build VALUE,Eliminate or Reduce Dependencies,Coordination of Schedule, Value Recognition Events and Financing Requirements,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-The Body of the Plan,Risk Factors and Critical Assumptions,Be sure to address Negatives as well as Positives,There are always negatives/problems,Set the stage for the reader,Show that you have a plan for getting around or minimizing the negatives,Reduce Dependencies If Possible,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-The Body of the Plan,The Financial Plan,Actual Income Statements and Balance Sheets,Pro Forma,Income Statements,Balance Sheets,Cash Flow Statements,Breakeven Chart,Assumptions should be stated,Get these right or defensible,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,-The Body of the Plan,The Financial Plan (cont.),Spreadsheetitis,Do numbers balance?,Do the numbers tie to the PLAN,CASH IS KING C I M I T Y M,Use traditional financial statement presentation Now is NOT the time to invent new methods of presentation,Get help if you arent expert,Tie to rounds of financing/expansion,January 2003,SESSION 1: BUSINESS PLAN BASICS,What Should Be In A Business Plan?,Appendices,Separately Bound Volume,Resumes of Principals,Product Literature,Trade Press/Business Press,Patents (front page),Testimonials Letters,Technical Information,Confidentiality,Technical person to technical person discussion,January 2003,SESSION 1: BUSINESS PLAN BASICS,Fine Tuning/Targeting the Plan,Have an Independent Reader Review the Plan,One or more independent readers for feedback:,Retired industry pro?,Customer(?),Consultant?,Professor?,Accountant- yes definitely,Lawyer- yes definitely,January 2003,SESSION 1: BUSINESS PLAN BASICS,The Business Plan As A Financing Document,(Excerpts From Materials Prepared By Lita Nelsen, Director of MIT Technology Licensing Office),A.,First Reading,:,Like a Resume,Make The Cut, So That You Get An Opportunity To Tell Your Story,B.,Second Reading,:,Justify The Investment,C.,Third Reading,:,Commit To A Plan,That You And The Investors Can Live With.,REMEMBER: If you dont make the FIRST CUT, B and C never happen.,January 2003,SESSION 1: BUSINESS PLAN BASICS,The Business Plan As A Financing Document,MAKING THE FIRST CUT,An Idea Too Good To Ignore,A Financial Promise Too Good To Turn Down,A Team Good Enough To Believe In,An Action Plan Thats,Credible,Focused,Details That Give Assurance of Insight, Commitment and Follow Through,Format and Style That Show,Passion,Sanity,January 2003,SESSION 1: BUSINESS PLAN BASICS,The Business Plan As A Financing Document,.,WHY PLANS FAIL THE FIRST CUT,Insufficient Market,Non-Credible Technology,Too Wild,Too Blue-Sky (Unproven),Not Protectible,Too Mundane,Investment Too Large For The Promise,Failure to Understand The Market,January 2003,SESSION 1: BUSINESS PLAN BASICS,The Business Plan As A Financing Document,.,WHY PLANS FAIL THE FIRST CUT (cont.),Action Plan Not Credible,Too Optimistic,Nave About The Hurdles,Runs Off In All Directions,Not Ambitious Enough,Regulatory Barriers Insufficiently Addressed,Gaps Filled By Handwaving,No Promises At All,Team Not Credible,January 2003,SESSION 1: BUSINESS PLAN BASICS,The Business Plan As A Financing Document,COSMETIC” REASONS FOR FAILING THE FIRST CUT,I Cant Understand It.,Filled With Market Or Technology-Specific Jargon,i.e., WHAT,IS,THE BUSINESS?,Nave Projections,Sloppy: Misspellings, Poor Grammar, Poor Quality Printing,Too Damn Long,Ignores The Basics,“Forget Marketing, My Technology Is Best”,Nave (or Terrible) Writing,January 2003,SESSION 1: BUSINESS PLAN BASICS,SUMMARY,We Have Covered,Why Write A Business Plan?,What Should Be In A Business Plan?,The Business Plan As A Financing Document,January 2003,SESSION 1: BUSINESS PLAN BASICS,The Business Plan -,A SUPPORTED VISION,Technology,Intellectual,Property,Market,Analysis,Competitive,Analysis,Sales and,Distribution,Team,Financial,Projections,Detailed,Support/Foundation,Full Business Plan,PowerPoint Presentation,Executive Summary,Elevator Speech,Mission Statement,1 paragraph,30 seconds,2-5 pages,10-15 minutes,20-30 pages,January 2003,SESSION 1: BUSINESS PLAN BASICS,NEXT TIME:,Tuesday Jan 22, 6:30pm Room 10-250,TECHNOLOGY STRATEGY; MARKET IDENTIFICATION,Professor Fiona Murray, Sloan School,Bob Jones, Functional Foods,Reading: Moore, Geoffrey A.,Crossing the Chasm, Marketing and Selling High-Tech Products to Mainstream Customers, Chapters 1 and 2. Focus on the descriptions of markets in Chapter 2.,TA: Jorge Bravo (15975-,ta,),Website:,enterpreneurship,January 2003,
展开阅读全文