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Limit this section to about two pages by focusing on major, longer term issues. Use succinct, affirmative statements and make every noun, adjective and verb important.

After the 2. Summary, this is probably the most important section in your entire plan as it sets out the direction, tone and framework for all the detail that follows. If the proposed strategies and their rationale are flawed then the whole orientation of the business may be wrong.

To compile this section, considerable research may been needed particularly on markets, competition and sales potential.

For further guidance, review the white papers at the PlanWare site on:

• Devising Venture Strategies
• Developing a Business Strategy

Also, have a look at the free On-line Strategic Planner and the Sample Strategic Plan for more detailed help on completing this critical section.

The sub-sections below are presented here for general guidance only. They could result in some undesirable duplication or overlapping of proposals and ideas. Accordingly, you may prefer to amalgamate some of them (e.g. Vision & Mission or Values & Objectives) or even dispense entirely with headings and cover all the relevant matters in a series of short paragraphs.

Note: Free-Plan, a 150-page Word-based template based on this business plan guide, can be downloaded for free here.

3.1. Vision

Describe what your business will look like in, say, five years time (size and the nature, location, breadth and depth of its operations/resources etc.). A few sentences should suffice. For example, start your vision with the following:

By 20xx, xxx will be engaged in xxx (activities). It will be selling xxx (offerings) to a customer base comprising xxx. It expects to have staff of xxx mainly engaged in xxx (activities) and located at xxx. Sales could be xxx and net income could reach xxx. A key feature of xxx will be its emphasis on xxx to maintain its competitive advantage. And so on .....

View the Sample Strategic Plan for further examples of a vision and other components of a strategic plan.

3.2. Mission

In one succinct paragraph, describe the central purposes and activities ("mission") of your business. In a nutshell, explain what the business is about - along the lines of a so-called "elevator pitch". For example:

Newco designs, develops, manufactures and markets xxx products/services for sale on the basis of xxx features to meet the xxx needs of xxx customer groups via xxx distribution channels in xxx geographic areas. It is expanding/developing new/additional products/markets/channels by means of xxx.

3.3. Values

Describe the values and the standards that the business will apply in all its dealings with stakeholders, customers, suppliers etc.

3.4. Objectives

What are the promoters' underlying long-term objectives?
Get rich? Build a big business? Support local community? Develop a natural resource? Create a pension fund? Create employment? Exploit an invention? Diversify or integrate? Get a stock market quote?

3.5. SWOTs

What are the real SWOTs (strengths, weaknesses, threats and opportunities) of the business?

SWOTs are mentioned here to highlight the importance of addressing them within your plan. They should prompt strategic thinking on internal and external issues as indicated in the table below. Be very honest about identifying any major weaknesses and threats and then explain how your plan will deal with them.

It may not be appropriate to present a detailed list of SWOTs within the final version of your plan. One approach would be add a closing sub-section to this main section to serve as a wrap-up statement (or an overall assessment) that describes how the proposed strategies/plans will:

built on the business's key strengths (name them),
resolve its weaknesses (name the areas),
fully exploit its external opportunities (identify them)
and avoid major threats (explain).

Alternatively, an item along these lines could be included as part of the 14. Conclusion towards the back of the plan

3.6. Strategies

Use bullets to highlight up to ten (or so) key strategies (actions, operating methods etc.) in relation to major functional areas - markets, sales, products/services, technology, finance, management, operations etc. Be sure you present medium-term strategies and not short-term tactics. See Devising Venture Strategies for further guidance.

3.7. Goals

Quantify prime goals/targets in relation to sales, profits, market shares, employment etc.

Additional Help
(If visiting the links below, use the back button on your browser to return to this page)

For further guidance, review the white papers onDevising Venture Strategies and Developing a Business Strategy. You can use the free On-line Strategic Planner or view the Sample Strategic Plan.

If you need assistance with the assessment of possible strategies and the development of strategic plans, have a look at the following expert-based software packages:

• Quick Insight for assessing business proposals (for smaller businesses).
• Business Insight for evaluating strategic and marketing plans (for larger businesses).
• Plan Write Expert Planner which combines a business plan writing tool with an assessor of business proposals.

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