This article explains what an executive summary is and the layout of it.
The purpose of an executive summary is to summarize the business and marketing plan.
An executive summary should be one or two pages long and be an attention-grabbing review of your business plan.
It is often the first thing you read in the document, and it should provide a brief, high-level presentation of your main points, goals, and discoveries.
Thus, the executive summary should be written to be read independently without the document is important.
As a result, the goal is to grab the reader's attention and persuade them to read more about your business.
Write the overall business plan and the executive summary last.
Executive Summary Layout
Below is an example of an executive summary layout.
Note – These highlights don't need to be followed. Instead, use the highlights that best apply to your business and needs.
Business Overview
What is the consumers' name, what is the nature of the business, and where will it be located?
Problem and solution
List the top problems your product or customer needs to solve. List your solution for each problem.
Target Market
Identify your market and its size, key competition, and marketing strategy.
Business Ownership
Write a brief description of the owner.
Unique Value Offering
Points of Significance and Local Competition.
Financial Outlook
Three-year forecast for sales and profitability and breaker point.
Funding Requirement
How much money do you require to start up, and where will you get the funds? If lent from a financial institution, stipulate the repayment period and number of repayments.
How to Write an Executive Summary
Here are the most important points of the document required.
Your introduction should be powerful. To this end, you can make a short statement summarizing your document's purpose.
The introduction can state the problem or opportunity the document addresses and summarize the document's key findings or recommendations.
Keep it short: The executive summary should not be too long. You do not need to add extraneous detail or use technical jargon.
Use Plain English: The language should be clear and understandable. There is no need to use unfamiliar terms.
Finish with a call to action: The executive summary typically ends with a call to action or next steps.
Edit and Revise: Carefully check the executive summary to see if it is well-written and to share the key prompted contents of the entire document.
Sample Executive Summary
Business Overview
Lake Wobegon Dog Training seeks to provide a full range of dog training services.
Problem and solution
No pet dog training or behavior modification schools in the Lakes Wobegon area provide a full range of dog training services.
The business will provide a complete range of canine services to meet clients' needs.
Target market
The Company will be a cost-effective alternative for single people and spouses between the ages of 20 and 45. The target market will be within a 20-mile radius of Lake Wobegon.
The nearby area offers a puppy boot camp and at-home training as competitors.
Marketing channels
Marketing channels will include a website and Google My Business Profile, local dog shows sponsoring, and advertising at vet clinics and special events.
The target age range population residing in the area includes 85,000 individuals, while Lake Wobegon and the nearby area have approximately 19,000 pet dogs.
Business owners at Lake Wobegon Dog Training
Nick Chares is the only owner of Lake Wobegon Dog Training. Mr. Charles owned a prosperous dog training school in Illinois that he recently sold.
Unique selling proposition
Lake Wobegon will be the only training facility in the state to provide a full range of training services and positive reinforcement training. The owner, who has won state and national agility contests, will run it.
Financial Outlook
The company's forecasted sales revenue will increase from $580,000 in FY2021 to $710,000 in year three.
Likewise, net profit will increase from $100,000 in 2021 to $210,000. The annual revenue breakeven point is $375,000.
Funding requirements
The total funds needed to start this business are $150,000. Mr. Charles has already put together $100,000.
Mr. Charles is negotiating $50,000 of debt-based capital from a local commercial lender. He will repay the loan at current market interest rates over five years.
Executive Summary FAQs
Q: What is an executive summary?
A: The executive summary summarizes a business report, proposal, or plan. It outlines the content's mission, essential components, conclusion, and advice. The purpose is to help busy executives grasp without reading all the information.
Q: Why is it important?
A: The summary is the reader's first encounter with the document, and the reader can already determine whether to read it. A well-written summary can attract the reader's attention, deliver a main message, and encourage the paper reader to read the document further.
Q: How long should it be?
A: The executive summary length should correspond to the length of the document. A summary for a report of around 50 pages, maybe 1-2 pages long, and several pages for a longer document are possible, although it should always be brief.
Q: Who is the executive summary's target audience?
A: Executives, bosses, or decision-makers are the main audience of such summaries since they want to know the main conclusions quickly. Nevertheless, it may attract other interested parties like investors, partners, or employees.
Q: When should it be written?
A: The executive summary is written upon completing the main document to ensure all conclusions and recommendations are described. It is located at the beginning of the document, following the title page and table of contents.
Q: Can it include visual elements?
A: An executive summary may contain visual elements such as charts, graphs, or bullet points to help highlight relevant data and make the information more digestible.
Conclusion
The executive summary should be clear and concise and reflect the report's main points, including the paper's goal, main results and findings, and recommendations.
To avoid misunderstandings, use the wording from your business plan. Do not write new statements that may differ from the language in the business plan's main body.
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