Business Plan Executive Summary - What is It?

First, what the executive summary is NOT:o It's notpartnership, or proprietorship) and whether it will
an overture or a prelude to the main body of themanufacture, market, or provide a service. How will
business plan - something that introduces the themeyour business operate? State your goals and your
of the plan and sets the mood with sweepingstrategy for achieving them. Include your mission
imagery and generalities about "opportunity,"statement.o Products or Services. What are your
"innovation," and "meeting needs".o It's not only forproducts or services? Give a clear, concise
summaries about the company's executives.o It's notdescription. What developmental stage are you in?
just an introduction to the business plan.What is your competitive advantage?o Market.
Now, what the executive summary is:o It's yourWhat's the demand for your product or service?
business plan in miniature, an overview.o It must beWhat's your company's market potential? What's
clear, logical, interesting, and exciting.o It's your bestyour customer base? Comment on your
sales pitch, on paper.competition.o Management. List the key members of
What's the purpose of the executive summary? Theyour management team. Include biographical sketches
main purpose is to spark the reader's interest. Theand show why they are qualified to lead your
first reader of your plan will probably be thecompany to success.o Finance. Include basic financial
decision-maker at a venture capital firm, an angelinformation and funding requirements. Show how
investor, or your banker. You have this person'sfunds will be used. Summarize projected revenues
attention for the time it takes to read the 1 to 2and market share.
pages of your executive summary. In that briefTips:o Write your executive summary after you
period you must deliver a longer version of your bestcomplete the formal business plan.o Stick to the
"elevator pitch". Your reader will judge the quality ofessential information. Be concise. There's room in the
your idea and your team. If he or she is favorablyrest of the business plan for elaboration.o Use strong,
impressed, your business plan will be referred to staffpositive language - but watch out for hype. If you
analysts for evaluation. If not, it goes to the trash.come on too strong, you might turn off your
Contents of the executive summary:o Businessreader.o Close with a strong statement of why your
description. What form it will take (corporation,company will be a winner.