THE BUSINESS PLAN - THE MANAGEMENT PLAN 

     Managing a business requires more than just the desire to be your own boss. It demands  dedication, persistence, the ability to make decisions and the ability to manage both  employees and finances. Your management plan, along with your marketing and financial  management plans, sets the foundation for and facilitates the success of your business. 

     Like plants and equipment, people are resources-they are the most valuable asset a  business has. You will soon discover that employees and staff will play an important role in  the total operation of your business. Consequently, it's imperative that you know what skills  you possess and those you lack since you will have to hire personnel to supply the skills  that you lack. Additionally, it is imperative that you know how to manage and treat your  employees. Make them a part of the team. Keep them informed of, and get their feedback  regarding, changes. Employees oftentimes have excellent ideas that can lead to new  market areas, innovations to existing products or services or new product lines or  services which can improve your overall competitiveness. 

     Your management plan should answer questions such as: 
          How does your background/business experience help you in this business? 
          What are your weaknesses and how can you compensate for them? 
          Who will be on the management team? 
          What are their strengths/weaknesses? 
          What are their duties? 
          Are these duties clearly defined? 
          If a franchise, what type of assistance can you expect from the franchisor? 
          Will this assistance be ongoing? 
          What are your current personnel needs? 
          What are your plans for hiring and training personnel? 
          What salaries, benefits, vacations, holidays will you offer? If a franchise, are these  issues covered in the management package the franchisor will provide? 
          What benefits, if any, can you afford at this point? 

     If a franchise, the operating procedures, manuals and materials devised by the franchisor  should be included in this section of the business plan. Study these documents carefully  when writing your business plan, and be sure to incorporate this material. The franchisor  should assist you with managing your franchise. Take advantage of their expertise and  develop a management plan that will ensure the success for your franchise and satisfy the  needs and expectations of employees, as well as the franchisor.