Basic Layout of a Bankable Business Plan

July 31, 2015 in Business

In writing a bankable business plan, form and structure are as important as the content and substance of the plan. It is therefore important to discuss the basic formation or layout of a business plan that will make a reasonably good impression on your bankers or financiers.

by Clive Mphambela

Generally, a well-written business plan will show the reader that you are serious if it is well presented, looks good, is catchy to the eye as well and generally professionally presented. Here is what I suggest must go into your plan.

The Executive Summary: This is the most important section of your business plan. It summarises everything that is in the rest of the business plan in a compelling and interesting way. It should be the first thing your readers will see; the executive summary will either grab your readers’ interest and make them want to read the rest of the business plan or it will put them off, get them to put it down and forget about it. More than anything else, this section is important because it tells the reader why you think your business idea will be successful, in high-level terms.

This means that the executive summary should be the last section you write but it should be positioned at the beginning of your business plan. You however write this last after you have worked out all the details of your plan, and you are in a better position to summarise it. Yes, it must be a summary! Short and sweet, to arouse sufficient interest in the readers! Generally, it should be no more than two pages.


The Contents Page: Sets out the various chapters and their headings in their order of appearance in the business plan. The contents page will tell the reader where to find what information and help them in locating specific sections in your business plan. It must be included directly following the executive summary. You are advised to keep the content titles short and broad; i.e., avoid detailed descriptions or whole sentences in your table of contents.

Company Description: This section should include a high-level look at how all of the different elements of your business fit together. This section should include information about the purpose of your business as well as list the primary factors that you believe will make your business a success.
When defining the purpose of your business, be sure to list the marketplace needs that you are trying to satisfy; include the ways in which you plan to satisfy these needs using your products or services. Finally, list the specific individuals and/or organisations that you have identified as having these needs. For example, some primary success factors might include a superior ability to satisfy your customers’ needs, highly efficient methods of delivering your product or service, outstanding personnel, or a key location. Each of these may give your business a competitive advantage.

Market Analysis: This section should illustrate your knowledge about the particular industry your business is in. It should also present general highlights and conclusions of the marketing research data you collected when you were conceiving the business idea; however, the specific details of your market research studies should be moved to the appendices section at the end of your business plan.

This section should also include a clear description of the industry and its outlook. You must show an understanding of the industry size, number and variety of customers, etc. Include your target market information, an evaluation of your competition. You must describe who they are and how you compare to them, especially in the eyes of customers. Make it clear how your business offering is different.

Share the promotions and tools you intend to use in order to meet your target market expectations.

Explain your pricing and other elements of your marketing plan.

For limitations of space, we will stop here for now. We are not done just as yet. Next week we cover the last parts of drafting a bankable business plan.

l Clive Mphambela is a banker. He writes in his capacity as Advocacy Officer for the Bankers’ Association of Zimbabwe. BAZ expressly invites players in the MSME sector and all other stakeholders to give their valuable comments and feedback related to this article to him on or on numbers 04-744686, 0772206913

What do you think? What strategies do you, or your company, use to manage the risk of fraud and error in your organisation? Are you primarily proactive or reactive in your approach to risk management? Share your experience in the Comment box below.

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