Basic Small Business Proposal Outline

How do you write a business proposal? Do you need ideas on developing a business proposal outline?

Are you looking for funding for your new or existing business? Then you need a business plan. Other words for a business proposal are a business plan. Your business plan is a document that gives investors and lenders the information they need to know to about your business in order for them to if it is worth investing in or not.

Your business plan is the first step in putting together and organizing your thoughts. You will have to follow the following guidelines if you really want investors and lenders to get interested in your business. To organize your thoughts you will need to make a business plan outline.

We are going to consider 10 sections and 23 sub sections in the business plan outline below. So in the first section we will discuss the following.


Section 1: Executive Summary

Executive Summary

The most important part of your business plan is your executive summary. This is the section where if not properly presented will not get any investor to read through the rest of your business plan. Start your summary with a concise explanation of what your company does. Next your have to explain what uniquely qualifies you to succeed.

Furthermore include in your executive summary a synopsis of your financial projections for the next five years. This will include your expected revenue, expenditure and revenue and annual profits. Explain why you seek funding and what you intend to use it for.

Section 2: Company overview

In this section as the phrase implies, you are expected to present a brief history of your company. This should answer the questions, how and where your company was formed and what type of legal entity are you and what you have accomplished to date. Also all key milestones your company has achieved should also be stated.

Section 3: Industry Analysis

Your industry analysis should be divided into two sub sections. These are market overview and relevant market size.

3-Market Overview

This section describes and discusses the size and characteristics of your target market. For example if you want to start a waste management business. You should discuss the size of the waste management market and also describe other players of the waste management business such as recycling businesses in your market, government intervention, and how these players affect your market share.

4-Relevant Market Size

The relevant market size can be described as a more specific detail of the size of your market. It is the annual total number of customers who would acquire your product or services assuming you have a one hundred percent market share.

Section 4– Consumer Analysis

Your consumer analysis section is divided into two sections sub-sections described as follows.

5-Target Customers

These are the group of people you intend to market your product or services to. This group consists of both your current and prospective customers.

6-Customer Needs

This section describes the value you are adding or the customer needs you are addressing for people to patronize you.

Section 5Competitive analysis

7-Direct Competitors

This section outlines the list of companies who provide the same solution or fill the same customer need as you.

8- Indirect competitors

Indirect competitors are companies that provide the same solution you provide or fill the same customer need as you but in a different way.

9- Competitive Advantage

This is where you present that unique value or character you have that gives you the edge or unfair advantage over your competitors.

Section 6Marketing plan

Your marketing plan has the following sub headings.

10- Products and Services

You will have to clearly define and give details of what product and what services you are selling.

11- Pricing

Detail your pricing strategy here. In this section you will have to describe how your pricing relates to the competition.

12- Promotions

This details the strategy you will use to attract new customers to use your product or services.

13- Distribution Plan

This section outlines how your customers will get access to your products or services. This could be through direct sales, online or through designated distribution locations.

Section7– Operations Plan

Your operations plan has the following sub sections.

14- Key Operational Processes

The daily routines your business has to go through are your key operational processes. In this section you will detail your typical day at work.


This is the section where you list targets you aspire to achieve and the set time frame for which you intend to achieve those set goals.

Section 8– Management Team

This is the section where you give the details of your management team members and their back grounds.

16- Management Team Spaces

Particularly if you are a startup, this is the section where you indicate gaps or spaces in your management team that need to be filled in future. Identify those positions and qualifications of personnel required to fill them.

18- Board Members

Detail your board of directors or Advisors if you have any.

Section 9– Financial Plan

Your financial plan has the following sub sections.

19- Revenue Model

In simple terms, this section details how you make money as a company, Your company’s different revenue streams should be clearly indicated.

20- Financial Indicators

In this section you will indicate the highlights of your income statement, balance sheet and cash flow statements. The details you leave for your appendix.

21- Funding Requirement and Use of Funds

To get funding for your company you have to specify how much you need and what you will use it for.

22- Exit Strategy

In particular if you are seeking for equity funding you have to detail your exit strategy. The most common exit strategy is to sell your company to a larger company. If so you will have to detail the types of companies who will be interested in buying your company.

Section 10– Appendix

23-Supporting Documents

As stated earlier your detailed financial documentation and other documents of interest are presented here. By the above format your business proposal outline has all it takes to get you the funding you seek for your business.