Business Plan Product
What, specifically, are the company's products?
What do the products do?
Why would the customer buy these products?
What makes the product unique or special?
In general, how are they better than other products or alternative methods of solving the problem?
How much better are they than other solutions?
Can we demonstrate that they are cost effective?
What, if any, proprietary technologies are used to make them?
Are any proprietary processes required?
Are there patents? If so, what specifically, do they protect?
Why these patents be of value to the company?
What special issues relate to production of the product(s)? Any special materials or processes or equipment required?
What investment is required to set up manufacturing? For what capacity?
How do you know you can manufacture the product at a cost that will yield acceptable gross margin?
1. The Company:
This section should summarize the enterprise's overall objectives, its origins, its expectations, and the management team. Investors should get a clear indication early on of where the company is going and how it plans to get there.
2. The Market:
Within the business plan, the definition of the market to be served by the company is second in importance only to the definition of the company itself. An important part of that market definition is a description of the benefits to the user of the company's product or service and why. That is, entrepreneurs must demonstrate that they focus primarily on the market their company will serve rather than on the technicalities of their product or service. Investors are interested in companies which are market-driven, not product driven.
3. Product (or service):
This section describes the company's products or services, including a summarized theory of operation and a statement about performance and present status. The proprietary, patented, or patentable features of the company's products should be summarized in this section.
4. Sales:
Investors will want to know precisely how the company plans to approach its customer prospects and thus capitalize on its potential.
In this section, the business plan