Management

Management:

The credentials, and experience of the management team is often the deciding factor to a lender when a loan is requested. The success of any venture depends on management's experience in the industry, their knowledge of the market, and their demonstrated ability to execute the business plan. Lenders look at collateral, but lend to management. Investors, make their investment decision based largely on the past experience of the management team.

In the management section of your business plan, include a brief biography on each person who will be in a position of management, members of the board of directors, and other key personal. Include resumes on each, at the end of your business plan. I usually include a list of outside advisers (lawyer, account, consultant, etc) in the event a bank or investor wishes to contact them.

Business Plan Example.

From a business plan for an online company.
Planstore.com

MANAGEMENT:

Jim E. Glasgow will lead our management team. Mr. Glasgow has 35 years experience in retail sales, manufacturing and distribution. Mr. Glasgow was the owner and operator of Horizon Building system inc. for 12 years, a manufacture of storage buildings and small offices. He was district sales manager for Morgan Portable Buildings for nine years, a manufacture of portable buildings. He owned and operated a home improvement business that sold and installed carports, patio covers and wood decks for seven years. Mr. Glasgow is the owner of our online stores (patiostore.com) an online (profitable) retailer the past five years.
Other management team members will be hired as needed, each will have a minimum of five years experience in the areas need for the job.

The governing board will consist of Mr. Glasgow, an outside CPA, an outside lawyer, and two independed business people.

As the managing partner Mr. Glasgow will not be paid from the investors investment monies. Once the company is operational and producing a revenue steam Mr. Glasgow annual salary will be 5% of the annual sales. See the partnership agreement for full details.

ORGANIZATIONAL STRUCTURE

The company will be formed as a limited partnership with Mr Glasgow acting as managing partner. Mr. Glasgow will retain 51% of the company and investors will own the other 49%.

1. Executive. Consisting of the President/CEO, Jim Glasgow. Responsibilities include overall management, determining strategic direction.

2. Finance/Accounting. Headed by an Accounting Manager. Responsibilities include producing monthly financial statements, preparing cash flow forecasts, handling day-to-day banking relations, credit, collections, order entry department.

3. Sales/Marketing. Headed by the Marketing Manager. Responsibilities include developing marketing strategy, developing advertising concepts, arranging for product and placement of advertising, arranging for publicity, and managing the affiliate marketing plans.

4. Plan development Manager. This manager's responsibilities will include daily supervision and management of product development team.

5. Information Technology Manager. This manager's responsibilities will keep all systems operational.Â

Resumes and biographies enclosed.