The most important part of a business plan is writing an executive summary. An executive summary is what makes your company a clear image for the reader. In other words, it defines the current situation of the business, the future you are aiming at and the reasons that will make your business a successful one.
An executive summary is the first thing that appears on the documents of your business plan. However, it should be the last thing to be written because its role is to emphasize the strong points of your business plan as a whole.
Steps to follow
Based on the phase of your business, you should follow the below steps and include the below information in your executive summary:
If You Are an Established Business, you should include:
- The Mission Statement to provide a general idea about your business within not less than 3-4 sentences.
- Company Information to offer a detailed description about your company history, the founders and their current roles, the staff and location.
- Growth Highlights to show the financial progress of your company since the first beginning and its stability despite the market changes. Do not forget to include some Graphs and charts to facilitate the understanding of the reader.
- Your Products and Services
- Financial Information: Especially if you are looking for financing, you need to mention some information related to the banks you deal with as well as the investors.
- Future Plans Summary to clarify the future of your company for the reader.
One page brief and clear
Make sure that all data included in the executive summary is brief, clear and neat. Do not create an executive summary that exceeds one page. After all, it’s the first thing of your business plan document that the people will see and read.
On the other hand, if you Are a starting a new business, you will have less information of course. Therefore, focus on the decisions and journey you’ve had until you planned to start a business, and of course, do not forget experience and background.
You can also show the researches you’ve done before you’ve started the business, as well as the target market, its gaps and its needs. Moreover, suggest solutions that you are willing to enforce in order to fix the market faults. Be convincing and engaging, then talk about your future company.