Sfi'4'iE'~'Y

BOOK REVIEW

SO YOU NEED TO WRITE A BUSIiVESS PLAiV!

By Jeronie S. Osteryoung & Denise L. Denslow
South-Western, 2003, 246 pg.

ISBN: 0030315336

Reviewed by Roosevelt D. Butler
The College of New Jersey

In their book, So you itieerf io IYrire a Business Plan, Osieryoung and Denslow provide an
exceptional approach to building an effective Business Plan. They make prospective
entrepreneurs and small business managers aware of the requirements of an articulated and
well developed Business Plan. Readers or users of this book are informed in the Foreward
that there is nothing new in the form of contents in this book. The key issue is, this book is an
indispensable resource, and provides valuable information.

In each of ten Chapters, the authors'rimary purpose is to move entrepreneurs and small
business managers to a new level of awareness of the requirements for the development of an
effective Business Plan. This is very essential, since more than 600,000 new small business
startups occur each year. Secondly, many of the startups are headed by individuals who have
little or no business experience.

Chapter I lays the groundwork for the novice as well as the seasoned entrepreneur or small
business manager. It answers the basic questions of who, what, why, and how as they pertain
to a business plan. The abbreviated summary for this chapter can be used in an academic
environment.

Chapter 2 encourages the involvement of employees in the overall process. Although it is not
a chapter on communication, a high degree of communication is encouraged. This chapter
makes use of marginal notes and provides an excellent Mission/Vision Statement Worksheet
that can be used by the Small Business Owner/Manager and Employees.

Chapters 3 and 4 involve decision making. Chapter 3 provides information on the legal
structure of a business. The owner/manager must decide the O'HAT (type of organization-
proprietorship, partnership, corporation, etc) and the O'Hy (why would one type of structure
be more advantageous than another). Chapter 4 covers key actions or steps prior to writing a
Business Plan. It provides detailed assessment of financial statements, and provides examples
of a cash budget, balance sheet and income statement. In both of these chapters the authors do

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an excellent job or providing comments in the margins and Worksheets that can be used by
the preparer(s) of these documents.

Chapter 5 details what should be contained in the business plan. It provides examples of
Table of Contents and information that should be covered under each heading. The Chapter
Application recommemls action that will enliance the preparation and contents of the business .
plan.

Chapter 6 gives a step-by-step approach to describing the business, its history, and the product
and/or service tliat will be provided. 'fen (10) key items to be included in this section, list of
mistakes to avoid, and The Business Worksheet are provided.

Chapters 7, 8, and 9 are ideally grouped and cover essential information that will assist in
meeting the financial requirements and actions of Chapter 10. Chapter 7 details the needs and
requirements of a Marketing Plan. The importance of the marketing plan, identifying
customers, meeting customer needs, trends in the industry, how to obtain market data, how
and what strategies to apply, distribution, and other aspects of marketing. Chapter 8 continues
this process by focusing on who is to carry out the functions of the organization. The
Management Team, its importance and contnbutions to the success of the organization are
covered by examples and infomiation. Chapter 9 covers product and process. It provides a
Production Worksheet that can be used to identify action that must be accomphshed in the
production process and who does each.

Chapter 10 gives explicit infomiation on financial statements and documents that must be
included in thc business plan. It also makes the small business owner more aware of the need
for a well developed luiancial plan; a plan that covers the present, but is also futuristic in
nature.

Chapters 11, 12 and 13 cover those critical documents that frequently are over looked or given
cursory effort. The authors have devoted a considerable amount of time in providing
examples of Time Schedule for Start-up, Time Schedule for Operations, Critical Risk,
Executive Summary, and Other Supporting Documents such as Resumes, Market charts,
Financial Graphs, Timeline, Organizational Charts, and an example of a complete Business
Plan.

This book is a very useful source or reference for prospective entrepreneur or small business
manager. It fulfills the requirements in academe for teaching a section on Building a Business
Plan in an Entrepreneurship and/or Small Business Management Course. It constitutes a must
for certificate programs offered through Community Based Learning Programs and
Vocational and Technical Schools.

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