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  Your Online Business Plan Needs to Include Your Management and Financial Summary  
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  Your Organization Breakdown in Your Online Business Plan  
 

Your online business plan needs to make sure it addresses the management and administration structure – in other words your organization’s breakdown. Online businesses often have a simpler organization structure than a traditional business, but that’s not always the case, and it must be clearly defined.

You will need to cover the management structure and ownership of your business. It’s okay if one person fills a number of roles. Online businesses that are starting up often don’t have more than one or two people running the whole business.

During the startup period, the owner is not going to be receiving a paycheck or any benefits. Initially owner salaries are going to be figured out based on the profitability of the company but they should never be more than fifty percent of the profit of the business.

If the company is limited, there will be the distribution of shares among the owners. That could be one person, two people or more, but the breakdown needs to be included in the business plan so potential investors know and understand the business structure.

You will also need to include the managerial style that you plan to use. This should be broken out so that not just investors but business owners can stay on track and later compare.

* Communication - Communication will be mainly through, i.e. email, texting, oral, etc.
* Decisions Making - Who is going to be the final decision maker for all the decisions pertaining to your business.
* Project Management –There are different styles. You should define what style you are going to use. For example, all project management will be defined by the PMI PMBOK standards.
* Record Keeping – The company will use <insert accounting package name> to manage our financial records.

You will need to define the management structure. For example, Person A will be President, Director of Marketing, and Director of IT. Person B will be Director of Operations, Director of Finance. You are then going to define what the responsibilities are in each of those positions that a person holds. Be clear and concise when describing these roles, because you will be using this yourself in running your business.

The organization breakdown is going to look very different from one business to the next, so make sure that you take the time to properly define what your business organization is going to look like.






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