How to write an Executive Summary for Business Plan – One Example is given below
How to Write an Executive Summary Example for Business Plan
You will learn three things from this article:
- What is an Executive Summary?
- Content that will be covered in the Executive Summary with the explanation of each.
- Example of Executive Summary – Online Shopping Business
Let’s start this article with the first question.
What is an Executive Summary? – How to write an Executive Summary
Executive Summary is the main part of any business plan because based on an executive summary, investors will decide either to read your complete plan or throw it in the garbage.
You might have listened to a quote that says: “The first impression is the Last Impression” And it’s 100% true. Your executive summary will leave the first impression on your viewer (Investor, Bank manager, customer, supplier, or any other person)
Before you move the How to Write an Executive Summary for Business Plan, let’s understand its importance and table of contents.
Understand the content – How to write an Executive Summary Example for Business Plan
As it’s clear from the word – it is the summary of your business plan. Here you will have to cover these 6 things:
This is the first part of (How to write an Executive Summary of Business Plan)
It is the first and major part of an executive summary example. Here you will have to highlight all the facts and figures of a particular industry or market.
Mention exact numbers like growth rate, the number of businesses working in that market, expected market volume in the upcoming years, the number of employees working in it, customers demand, etc.
It will even be better if you can mention some of the positive actions that the government has taken to support that industry. Or mention those events that positively hit your industry and grow its demand etc.
This is the 2nd part of (How to write an Executive Summary of Business Plan)
Here you will have to clearly explain the market opportunities. Do mention market gaps, highlight the gap between supply and demand of your product. Based on a growth rate, mention a forecasted gap.
Like you can say that “The market is growing at the rate of 10% that demand for our product will get doubled in just 2 years, therefore, it is a greater opportunity for us to enter into this market on time”
You can also mention that the government is encouraging these types of a business by providing extra benefits like they are cutting taxes, giving subsidies, therefore, it is the best time to enter into this market.
In short, mention all the positive things of your industry that leave a positive impact on it. It can be product demand, sessional growth, government package, event benefit, or any other hit.
About Your Business:
This is the 3rd part of (How to write an Executive Summary of Business Plan)
Here is the time to write about your business and explain your business idea in detail. Explain your business idea by supporting it through Industry research, and market opportunities.
Try to prove it through evidence that your business idea is perfect and highly demanded.
Moreover, also explain the features of your business like:
- Explain your Business Idea in detail.
- Tell us the benefits of your product / Service
- Answer: Why customers will choose your product or service
- Explain the Unique Selling Points (USPs) of your business.
- Answer: Why you think your product best fits the market need.
This is the 4th part of (How to write an Executive Summary of Business Plan)
This is the section where you will have to write everything about your customers. Like their demographic details i-e Gender, Age, Race, Color, etc. Moreover, you will also explain their Geographic and psychographic details.
In Geographic you will explain the country, region, and city of your targeted customers. And in Psychographic you will have to explain the behavior, attitude, interest, and hobbies, etc.
Try to choose and target the specific and exact targeted Customers
This is the 5th part of (How to write an Executive Summary of Business Plan)
Here you will need to answer the question: How you will reach your customers? That means what are those channels, and strategies that you will use to reach your targeted customers.
Like will you use social media channels like Facebook, Instagram, and YouTube etc. And why you will use those channels, and how much money you will invest on each on the above channels?.
Or will you apply traditional marketing strategy where you will distribute pamphlets, flyers, and business cards among your targeted customers. Or you will place multiple billboards in the busy areas of your targeted area. With this, you will also answer questions like why you are choosing these channels, how much budget you have, and what are the expected results, etc.
For ads, we will hire freelancers from fiverr
This is the 6th part of (How to write an Executive Summary of Business Plan)
This is the section where you will need to answer the following questions:
- How much initial investment you have? and from where you will get this investment?
- How much revenue you will earn in the upcoming 5 years.
- How much Gross profit and net profit you will earn in the next five years.
- And write the expected expenses that you will do in the next five years.
Note: Now We will write one executive summary of a Business “Online Shopping Store”. Here you will see that we will cover all the above guidelines in detail to make it more professional and accurate. The table of contents will be the same.
Executive Summary Example – How to Write an Executive Summary of Business Plan?
To understand (How to write an Executive Summary of Business Plan) we will write about market research first.
As per a survey, the e-commerce industry of the United States is growing very rapidly as more than xx% of people are on the internet and the remaining xx% of the people are expected to come on the internet in the next 2 to 3 years. This means, in the near future almost the whole population of the United States will be on the internet and they will purchase things online.
Moreover, the e-commerce industry of the United States is expected to earn a revenue of almost US$XXX
As we can see that the e-commerce industry of the United States is growing rapidly with the double-figure growth rate. Moreover, It is a high probability that most of the population will come to online buying because it saves time, and costs of customers. Moreover, they access varieties of products on just a few clicks. In short, the online shopping trend brings ease in the customers’ life therefore, they are likely to adopt it soon.
About Our Business/Service:
We will create an online marketplace (Website) where buyers will come to purchase products and sellers will come to sell their products. The website will be general where sellers will be able to sell any product like:
- Beauty Products: Creams, Facewash, Soap, Makeups, Male Dresses, Female Dress, shoes, etc.
- Furniture: Chairs, tables, bed, foam, etc.
- Electronics: Mobile phone, Laptop, desktop, LCD, TV, Speakers, fans, Air Conditioner, and other related gadgets.
- Other products: Books, Jewelry, Kitchen equipment, watches, and eye-glasses, etc
With high-quality products, we will give many other benefits to our customers:
- We will offer a free return policy up to 7 days, in case of a bad or damaged product.
- We guarantee for payment security to our customers.
- We offer fast service ( in 2-3 days, customers will receive their product at their doorstep)
- Our website will be easy to use (user friendly)
- Our website will load pages fast.
- We will allow a guest purchase option.
We will target almost all the population of the United States that is available on the internet.
Our targeted must have below given demographics:
- Gender: Male and female both
- Income: Belong to the middle, and upper-middle-class family.
- Education: Must have basic education
- Age: 15 – 65 years old
- The potential customer must have a positive attitude towards online purchase
- Their beliefs must be positive about internet buying – like they should think that through online buying they can save their time and cost
- We will target those people who use to purchase things online from different websites.
As we are running an online store therefore, we will focus on digital marketing only. We will advertise our business on social media channels like YouTube, Facebook, Instagram, and Twitter.
On YouTube, we will run a Video of 30-50 seconds where we will explain our services in short.
And on Facebook, we will run video ads as well as banners and posters.
Moreover, we will advertise our business through sponsorship and affiliate marketing.
We will sponsor different YouTubers, bloggers and other social media stars to promote our brand/website. We will request them to recommend our website to their viewers and in return, we will pay them.
And in affiliate marketing, different bloggers, YouTubers, and other social media stars will put our website link in their blog or youtube description. And they will recommend their viewers to purchase things from our website. And in return, they will earn commission per sale.
We will start our business with the initial investment of almost $xxx that we will invest in assets like website, app development, patent, and trademark, etc. Other money will be invested in marketing, supplier contracts, and other legal expenses
Moreover, financial summary is given below where you can expected revenue, gross profit, and net profit of the upcoming five years.
Should I write an executive summary on my own?
I would say, it depends. If your writing style is good then I suggest you, write an executive summary on your own. It will be effective. You can follow the example above.
In case your writing is style is not much good then you write things roughly and then hire a freelancer from a fiverr on other freelance websites and give them contract make it official, and professional.
Or you have a final option, you can hire a freelancer and ask him to write an executive summary for you.
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