Creating a Business Plan – Part Two – How to write a Company Description

In the second part of how to write a business plan we write the Company Description. This part of the plan gives a high level overview of the company. The purpose of this section is to tell about the businesses unique position in the market place. Your unique position is what makes you “Different, better, special”. This gives readers and investors a better understanding of your business. Keep in mind, to remain sustainable you need a competitive advantage that no one else has or at least a very few have. The Company Description should contain four parts.

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First, describe your business and the consumer needs it fills.  This is not just a list of products and services; it is a list of the underlying needs your company fulfills.

Second, explain how your products and/or services meet the needs of your potential clients. Make sure to cover each of the items listed in the first section.

Third, list the consumers, companies and/or organizations your company serves and/or wants to serve. Be specific, name names and reasons why these clients are the targets for your business.

Last, tell the reader what competitive advantages your business has that will make it successful. What is it that your company has that brings value to the consumer? It could be special location, personnel, unique operations or anything else that set you apart from your competitors.

Image courtesy of Stuart Miles at FreeDigitalPhotos.net

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