Business Studies – 1.3.1 Enterprise and entrepreneurship | e-Consult

A detailed 'Resources' section is crucial in a business plan because it demonstrates a realistic understanding of the startup's needs and how those needs will be met. It shows investors and lenders that the company has thought through the practical aspects of starting and running the business, and that it has a plan for securing the necessary inputs.

Examples of resources a startup might need include:

• Financial Resources: Start-up capital, working capital, loans, investment.
• Physical Resources: Premises (office, shop), equipment (computers, machinery), vehicles.
• Human Resources: Staff (employees, consultants), skills and expertise.
• Intangible Resources: Intellectual property (patents, trademarks), brand reputation, customer lists.
• Information Resources: Market research data, industry reports, legal advice.

The business plan should address securing these resources by:

• Specifying the amount of funding required and how it will be used. This includes a detailed breakdown of start-up costs and ongoing expenses.
• Identifying potential funding sources (e.g., bank loans, angel investors, venture capital).
• Outlining the process for acquiring necessary equipment and premises (e.g., leasing, purchasing).
• Detailing the staffing plan, including roles, responsibilities, and recruitment strategies.
• Describing how intangible resources will be developed and protected.
• Identifying any necessary legal or regulatory approvals.

By including a comprehensive 'Resources' section, the business plan demonstrates preparedness and increases the likelihood of securing the necessary inputs for success.