Summarise your business idea and what you still need to check

A short summary brings the main points of a business plan into one place. It should explain what you intend to sell, who might buy it, what you have checked and what you still need to find out.

You may see this called an “executive summary”. Here, that means a short overview of the plan. You can write one for your own use before you have a business, customers or a website.

Write from your notes

Look at any notes you have made about the idea. If you have no notes yet, begin with the questions below. Include what you know about the work involved, costs and when money would be paid or received. Write “not yet known” for anything you have not checked. A summary should not make a guess sound like a fact.

Answer these questions in everyday words:

• What would I sell, who might buy it, and what would they use it for?
• What do I want this business to achieve, and what time could I give it?
• What have I checked about buyers, making and delivery, and costs?
• What is still uncertain, and which question will I check next?

A fictional example

Lee is considering making birthday cards with a handwritten name. Here is a short summary Lee could write:

• “I plan to make cards for people looking for a named birthday card for a friend or relative.”
• “I want to fit the work into the hours I have available each week. I have not yet decided how many cards I could complete.”
• “I timed my first sample, from preparing the materials to checking the finished card. It took 40 minutes.”
• “I do not yet know whether buyers want handwritten names, what they would pay, or what each complete order would cost.”
• “I will ask someone who buys birthday cards about their most recent purchase. I will also time further samples before promising a weekly number of cards.”

The description of the cards is an idea. The 40 minutes is an observation about one fictional sample. The questions about buyers and costs remain unanswered. Lee can plan another trial from these notes, but still needs more information before deciding what to sell or charge.

Make the next check specific

Choose a question that affects a decision you face. If you need to know the packaging cost, check the price of suitable packaging with a supplier. If you need to know making time, time a sample. Write the date you intend to do the check beside it.

When you find the answer, update both the relevant note and the summary. You do not need to rewrite unrelated parts of the plan.

Read the summary on its own

Put the longer notes aside. Can you tell what the idea is, what has been checked and what remains unknown? Add any missing explanation. Remove details that do not help you understand those points.

A clear summary helps you see what to investigate. It does not establish that the idea will attract buyers or earn money.