How to Write a Consulting Business Plan Executive Summary: A Comprehensive Guide

Introduction

Starting a consulting business is an exciting journey! Whether you’re an expert in management, technology, marketing, or any other field, your knowledge can help other businesses grow and solve problems. But before you jump in, it’s important to have a clear plan. That’s where a business plan comes in.

A business plan is like a roadmap for your business. It helps you think through all the important parts of starting and running your consulting company. It also shows others, like banks or investors, that you’re serious and have thought things through.

In this guide, we’ll walk you through how to write an executive summary for your consulting business plan. The executive summary is a short version of your whole plan. It’s usually the first thing people read, so it needs to be clear and interesting.

We’ll break down each part of the business plan and show you how to summarize it for your executive summary. We’ll use simple language and lots of examples to make it easy to understand. Let’s get started!

1. Executive Summary

The executive summary is like a sneak peek of your whole business plan. Even though it comes first in your plan, you usually write it last. Why? Because it summarizes all the other parts of your plan.

Here’s what you should include in your executive summary:

1. Business name and type of consulting:

Start with your business name and a short description of what you do. For example: “TechHelp Consulting provides IT support and advice to small businesses.”

2. The problem you’re solving:

Explain what issues your customers face that you can help with. For example: “Many small businesses struggle to keep up with technology, which can slow down their work and put their data at risk.”

3. How you’re different:

What makes your consulting special? Maybe you have unique experience, or you offer services others don’t. For example: “Unlike big IT companies, we speak plain English, not tech jargon, and offer affordable rates for small businesses.”

4. Your main customers:

Describe who will hire you. For example: “We focus on helping small businesses with 10 to 50 employees in the Chicago area.”

5. Your goals:

What do you want to achieve? Be specific. For example: “In our first year, we aim to help 50 small businesses improve their technology. Within five years, we want to be the top IT consultant for small businesses in the Midwest.”

6. Money you’ll make:

Give a quick overview of your financial plans. For example: “We expect to earn $50,000 in our first year, growing to $200,000 by year three.”

7. Money you need:

If you need to borrow money or find investors, say how much and what it’s for. For example: “We’re seeking a $10,000 loan to buy equipment and cover initial marketing costs.”

Remember, keep your executive summary short and interesting. Aim for about 300-500 words. You want people to want to read more!

Here’s an example of how your executive summary might look:

“TechHelp Consulting will launch in January 2025 to provide affordable and friendly IT support to small businesses in Chicago. Many small businesses struggle with technology issues but can’t afford full-time IT staff. TechHelp will bridge this gap, offering expert advice in plain English at rates small businesses can afford.

Founded by Jane Smith, a tech expert with 10 years of experience, TechHelp will focus on businesses with 10 to 50 employees. Our services will include tech troubleshooting, cybersecurity advice, and help choosing the right software tools.

In our first year, we aim to help 50 small businesses improve their technology setup. By year five, we want to be known as the go-to tech advisors for small businesses across the Midwest.

We expect to earn $50,000 in our first year, growing to $200,000 by year three. To get started, we’re seeking a $10,000 loan to purchase necessary equipment and kick off our marketing efforts.

With a growing need for tech support among small businesses and our unique approach, TechHelp Consulting is positioned for success. We invite you to read on for more details about our exciting venture.”

2. Company Overview

The company overview gives more details about your consulting business. It’s like introducing your business to someone new. Here’s what to include:

1. Start date:

When did you start your business, or when will you start? For example: “TechHelp Consulting will launch on January 15, 2025.”

2. Location:

Where will you work from? This could be a home office, a rented space, or even virtually. For example: “We’ll operate from a home office in Chicago, with the ability to visit clients on-site.”

3. Type of consulting:

Be specific about what services you’ll offer. For example: “TechHelp Consulting will offer IT support, cybersecurity advice, software recommendations, and technology training for small businesses.”

4. Mission statement:

This is a short sentence that explains why your business exists. What do you want to achieve? For example: “Our mission is to make technology easy and useful for every small business.”

5. Vision:

This is what you want your business to become in the future. For example: “We want to become the most trusted tech advisors for small businesses in the Midwest.”

6. Business structure:

This is how your business is set up legally. Common types are sole proprietorship, partnership, or LLC (Limited Liability Company). For example: “TechHelp Consulting will be set up as an LLC to protect the owner’s personal assets.”

Now, let’s put all this together into a company overview:

“TechHelp Consulting, set to launch on January 15, 2025, will be based in Chicago, Illinois. Operating from a home office with the flexibility to visit clients on-site, we will provide comprehensive IT support services to small businesses in the Chicago area.

Our core services will include:

• General IT support and troubleshooting
• Cybersecurity advice and implementation
• Software recommendations and setup
• Technology training for employees

At TechHelp Consulting, our mission is to make technology easy and useful for every small business. We believe that with the right tech support, small businesses can work smarter, faster, and more securely.

Our vision is to become the most trusted tech advisors for small businesses in the Midwest. We aim to be known for our clear communication, affordable rates, and genuine care for our clients’ success.

TechHelp Consulting will be established as a Limited Liability Company (LLC). This structure will provide personal asset protection for the owner while allowing for flexibility in management and potential future growth.”

Remember, your company overview should give readers a clear picture of what your consulting business is all about. It sets the stage for the rest of your business plan.

3. Industry Analysis

The industry analysis section shows that you understand what’s happening in the consulting world. This is important because it helps you spot opportunities and challenges. Here’s what to include:

1. Industry size:

How big is the consulting industry? You can usually find this information online or in industry reports. For example: “The global consulting market was worth $160 billion in 2023.”

2. Growth:

Is the industry getting bigger or smaller? For example: “The consulting industry is growing by about 4% each year.”

3. Trends:

What new things are happening in consulting? For example:

• More use of data analytics to make decisions
• Growing demand for cybersecurity consulting
• Increase in remote consulting services
• Focus on sustainability and green business practices

4. Challenges:

What problems does the industry face? For example:

• Many businesses trying to save money, so they might not want to hire consultants
• Lots of competition, especially from big consulting firms
• Keeping up with fast-changing technology and business practices

Now, let’s put this all together into an industry analysis for our IT consulting business:

“The global IT consulting industry is a significant part of the broader consulting market, which was valued at $160 billion in 2023. Despite economic uncertainties, the IT consulting sector continues to grow at a steady rate of about 5% per year. This growth is driven by businesses of all sizes recognizing the need for expert guidance in an increasingly digital world.

Several key trends are shaping the IT consulting industry:

1. Increased focus on cybersecurity: With cyber threats on the rise, businesses are seeking help to protect their data and systems.
2. Cloud migration: Many companies are moving their operations to the cloud, creating a need for consultants to guide this transition.
3. Data analytics: Businesses want to make better use of their data, leading to high demand for analytics expertise.
4. Remote services: The shift to remote work has increased the need for virtual IT support and consulting.
5. Artificial Intelligence and Machine Learning: Companies are looking for ways to use AI and ML to improve their operations.

However, the industry also faces several challenges:

1. Economic pressures: In tough times, consulting services might be seen as a luxury by some businesses.
2. Rapid technological change: Consultants must constantly update their skills to stay relevant.
3. Increased competition: Both from large consulting firms and individual freelancers.
4. Changing client expectations: Clients increasingly expect consultants to provide measurable results and ROI.

For TechHelp Consulting, these industry conditions present both opportunities and challenges. The growing need for IT expertise, especially among small businesses adapting to new technologies, aligns well with our service offerings. However, we must be prepared to demonstrate our value clearly to stand out in a competitive market.”

This industry analysis shows that you’ve done your homework. It helps you understand where your business fits in the bigger picture.

4. Customer Analysis

The customer analysis section is all about understanding who will hire you. This is super important because it helps you know how to reach your customers and what services to offer. Here’s what to include:

1. Ideal customers:

Describe the types of businesses or people who are most likely to hire you. Think about:

• Size of the business (number of employees)
• Industry they’re in
• Where they’re located
• How much money they make

For example: “TechHelp Consulting will focus on small businesses in the Chicago area with 10 to 50 employees. These might include local restaurants, retail shops, law firms, and healthcare practices.”

2. Customer problems:

What issues do your customers face that you can help with? For example:

• Trouble choosing the right software for their business
• Worries about keeping their data safe from hackers
• Difficulty training employees to use new technology
• Slow or unreliable computer systems that hurt their work

3. Why they’d hire a consultant:

Explain why your customers would pay for help instead of trying to solve problems on their own. For example:

• They don’t have the time to figure out complex tech issues
• They can’t afford a full-time IT person
• They need expert advice to make good decisions about technology
• They want to focus on their main business, not on fixing computer problems

Now, let’s put this all together into a customer analysis:

“TechHelp Consulting will primarily serve small businesses in the Chicago area with 10 to 50 employees. Our target customers include:

1. Local restaurants and cafes
2. Independent retail stores
3. Small law firms and accounting practices
4. Healthcare providers like dentists and therapists
5. Non-profit organizations

These businesses typically have the following characteristics:

• Annual revenue between $500,000 and $5 million
• Limited or no in-house IT staff
• Reliance on technology for daily operations, but not tech-savvy
• Located within a 30-mile radius of Chicago

Our target customers face several common technology challenges:

1. Choosing and setting up the right software: Many small businesses struggle to find tools that fit their needs and budget.
2. Cybersecurity concerns: They know they need to protect their data but aren’t sure how.
3. Slow or unreliable systems: Outdated hardware or poorly set up networks hurt their productivity.
4. Employee training: They need help teaching their staff to use new technology effectively.
5. Data management: They collect customer data but don’t know how to use it well.

These small businesses choose to hire IT consultants for several reasons:

1. Expertise: They need specialized knowledge they don’t have in-house.
2. Cost-effectiveness: Hiring a consultant is cheaper than employing a full-time IT person.
3. Time-saving: They can focus on their core business while leaving tech issues to experts.
4. Risk reduction: Professional advice helps them avoid costly tech mistakes.
5. Scalability: Consulting services can grow or shrink based on their changing needs.

By understanding these customer needs and motivations, TechHelp Consulting can tailor its services to provide maximum value to small businesses in Chicago.”

This customer analysis helps you really understand who you’re serving. It will guide your decisions about what services to offer and how to market your business.

5. Competitive Analysis

The competitive analysis section is where you look at other consulting businesses that might compete with you. This helps you understand what you’re up against and how you can stand out. Here’s what to include:

1. Main competitors:

List the other consulting businesses that offer similar services in your area. These might be big companies, small local firms, or even individual consultants. For example: “Our main competitors are BigTech Consulting, SmallBiz IT Solutions, and freelance IT consultant John Doe.”

2. Their services:

What do these competitors offer? Are there services they provide that you don’t, or vice versa? For example: “BigTech Consulting offers a wide range of IT services but focuses on larger businesses. SmallBiz IT Solutions provides similar services to us but doesn’t offer ongoing support.”

3. Their prices:

How much do competitors charge? This can be hard to find out, but do your best to get an idea. For example: “BigTech Consulting charges around $200 per hour. SmallBiz IT Solutions offers package deals starting at $500 per month.”

4. Strengths and weaknesses:

What are your competitors good at? What could they do better? For example:

• “BigTech Consulting has a strong reputation and lots of resources, but they’re expensive for small businesses.”
• “SmallBiz IT Solutions is affordable, but customers complain about slow response times.”

5. How you’re different:

Based on what you know about your competitors, how will your business be unique? For example: “TechHelp Consulting will stand out by offering affordable rates, quick response times, and ongoing support to ensure our clients’ technology keeps working well.”

Now, let’s put this all together into a competitive analysis:

“In the Chicago area, TechHelp Consulting faces competition from several established IT consulting firms and individual consultants. Our main competitors are:

1. BigTech Consulting

• Services: Comprehensive IT solutions for businesses of all sizes
• Pricing: Approximately $200 per hour
• Strengths: Strong reputation, wide range of services, large team of experts
• Weaknesses: Expensive for small businesses, can be impersonal

2. SmallBiz IT Solutions

• Services: Basic IT support and setup for small businesses
• Pricing: Package deals starting at $500 per month
• Strengths: Affordable, focused on small businesses
• Weaknesses: Limited services, customers complain about slow response times

3. John Doe (Freelance IT Consultant)

• Services: General IT support and troubleshooting
• Pricing: $75 per hour
• Strengths: Personalized service, flexible scheduling
• Weaknesses: Limited availability, no backup if he’s sick or on vacation

1. While these competitors have their strengths, TechHelp Consulting will differentiate itself in several key ways:
   Affordable Rates with High-Quality Service: We’ll offer competitive pricing (around $100 per hour) while still providing expert-level support.
2. Specialization in Small Business Needs: Unlike BigTech Consulting, we’ll focus exclusively on the unique challenges faced by small businesses.
3. Responsive Support: We’ll guarantee response times of under 2 hours, addressing SmallBiz IT Solutions’ weakness.
4. Ongoing Support and Proactive Maintenance: Unlike John Doe, we’ll offer regular check-ins and updates to prevent issues before they occur.
5. Tech Education: We’ll provide simple, jargon-free explanations and training to help our clients understand their technology better.

By focusing on these differentiators, TechHelp Consulting aims to carve out a unique position in the Chicago IT consulting market, offering small businesses the perfect balance of affordability, expertise, and personalized service.”

This competitive analysis shows that you understand your market and have a clear plan for how your business will succeed against other options.

6. Marketing Plan

Your marketing plan is all about how you’ll attract customers to your consulting business. It’s important because even if you’re great at what you do, you need clients to know about you! Here’s what to include:

1. Spreading the word:

How will you let people know about your consulting business? Think about:

• Creating a website
• Networking at local business events
• Asking happy clients to refer you
• Writing articles or blog posts to show your expertise

2. Advertising:

Will you pay for ads? Where? For example:

• Online ads on Google or Facebook
• Ads in local business magazines
• Sponsoring local events

3. Social media:

Which platforms will you use? How often will you post? For example:

• LinkedIn for connecting with other businesses
• Twitter for sharing quick tech tips
• Facebook for engaging with the local community

4. Pricing:

How much will you charge? Will you charge by the hour, by the project, or offer monthly packages? For example:

• Hourly rate: $100 per hour
• Monthly support package: $500 per month for up to 10 hours of support
• Project-based pricing for bigger jobs like setting up a new network

5. Special deals:

How will you attract new customers? For example:

• Free 30-minute consultation for new clients
• 10% off first project
• Refer a friend and get a free hour of service

Now, let’s put this all together into a marketing plan:

“TechHelp Consulting will use a mix of online and offline marketing strategies to reach potential clients:

1. Website and Online Presence:

• Create a professional website showcasing our services, expertise, and client testimonials
• Start a blog with helpful tech tips for small businesses
• Optimize our website for local search terms like “Chicago small business IT support”

2. Networking and Referrals:

• Attend local Chamber of Commerce meetings and small business events
• Join professional associations like the Chicago Small Business Advocacy Council
• Implement a referral program: clients get one free hour of service for each new client they refer

3. Social Media Marketing:

• LinkedIn: Share industry insights and connect with local business owners (3 posts per week)
• Twitter: Post daily tech tips and engage with local business community
• Facebook: Share company updates and local business success stories (2 posts per week)

4. Content Marketing:

• Write guest articles for local business publications
• Create short “Tech Tip Tuesday” videos for social media
• Offer free webinars on topics like “Cybersecurity Basics for Small Businesses”

5. Local Advertising:

• Place ads in local business directories
• Sponsor a local little league team or community event
• Run targeted Facebook ads to reach small business owners in Chicago

6. Pricing Strategy:

Hourly Rate: $100 per hour for ad-hoc support

Monthly Packages:

• Basic: $400/month for up to 5 hours of support
• Standard: $700/month for up to 10 hours of support
• Premium: $1200/month for up to 20 hours of support

Project-Based Pricing: Custom quotes for larger projects like office relocations or network setups

7. New Client Offers:

• Free 30-minute initial consultation
• 15% discount on first project or first month of service
• “Try Us Out” package: 3 hours of service for $200 (regular value $300)

By implementing this diverse marketing strategy, TechHelp Consulting aims to build a strong local presence and attract a steady stream of new clients while fostering long-term relationships with existing ones.”

This marketing plan shows that you have a clear strategy for getting your name out there and attracting clients to your consulting business.

7. Operations Plan

The operations plan explains how your consulting business will run day-to-day. It covers the practical details of how you’ll deliver your services. Here’s what to include:

1. Work location:

Will you work from home, rent an office, or work at client sites? For example: “TechHelp Consulting will primarily operate from a home office, with on-site visits to clients as needed.”

2. Equipment and software:

What tools do you need to do your job? For example:

• Laptop and smartphone
• Reliable high-speed internet connection
• Remote desktop software for client support
• Project management software like Trello or Asana
• Accounting software like QuickBooks

3. Work and client management:

How will you organize your work and keep track of clients? For example:

• Use a Customer Relationship Management (CRM) system to track client interactions
• Set up a ticketing system for support requests
• Use time-tracking software to bill accurately

4. Licenses and permits:

What legal requirements do you need to meet? For example:

• Business license from the city
• Professional certifications in IT or cybersecurity
• Insurance (general liability and professional indemnity)

5. Quality assurance:

How will you make sure your work is good? For example:

• Regular check-ins with clients to ensure satisfaction
• Follow a checklist for each type of service
• Ongoing training to stay updated on latest technologies

Now, let’s put this all together into an operations plan:

“TechHelp Consulting will operate efficiently to provide high-quality IT support to our clients:

1. Location and Hours:

• Primary operations will be from a dedicated home office
• Available for on-site client visits within a 30-mile radius of Chicago
• Core business hours: Monday to Friday, 9am to 6pm
• Emergency support available 24/7 for Premium package clients

2. Equipment and Software:

• High-performance laptop with latest cybersecurity features
• Smartphone for mobile communications and on-the-go troubleshooting
• Remote desktop software (TeamViewer) for efficient client support
• Project management tool (Asana) for organizing tasks and projects
• CRM system (HubSpot) for managing client relationships
• Accounting software (QuickBooks) for invoicing and financial management
• Cloud storage (Dropbox) for secure file sharing and backup

3. Service Delivery Process:

   a) Initial Consultation:

• Conduct a thorough assessment of client’s current IT setup
• Identify pain points and areas for improvement
• Propose tailored solutions and support plan

   b) Ongoing Support:

• Set up a ticketing system for clients to submit support requests
• Prioritize and respond to tickets based on urgency and service level agreement
• Provide remote support when possible, schedule on-site visits when necessary

   c) Proactive Maintenance:

• Conduct monthly system checks for all clients
• Perform regular software updates and security patches
• Provide quarterly reports on system health and recommendations

4. Client Management:

• Use HubSpot CRM to track all client interactions and project statuses
• Send monthly newsletters with tech tips and company updates
• Conduct quarterly review meetings with each client to ensure satisfaction

5. Quality Assurance:

• Follow a detailed checklist for each type of service to ensure consistency
• Send a brief survey after each completed project or support ticket
• Conduct annual client satisfaction surveys
• Continuously update skills through online courses and certifications

6. Legal and Regulatory Compliance:

• Obtain a business license from the City of Chicago
• Maintain relevant IT certifications (e.g., CompTIA A+, Network+, Security+)
• Secure general liability and professional indemnity insurance
• Implement strict data protection policies in compliance with relevant regulations

7. Scalability Plan:

• Initially, all services will be provided by the founder
• As the business grows, hire part-time technicians for additional support
• Develop a training program for new hires to maintain service quality
• Gradually expand service area to surrounding suburbs

By following this operations plan, TechHelp Consulting will ensure efficient, high-quality service delivery while laying the groundwork for future growth.”

This operations plan shows that you’ve thought through the practical details of running your consulting business day-to-day.

8. Management Team

Even if you’re starting your consulting business alone, it’s good to think about who might help you run and grow your business. This section is about the people involved in your business. Here’s what to include:

1. Key people:

Who’s running the business? Even if it’s just you to start, talk about your role. For example: “Jane Smith will be the founder and principal consultant of TechHelp Consulting.”

2. Experience:

What makes you (and anyone else involved) qualified to run this business? For example:

• Your education
• Work experience
• Special skills or certifications
• Awards or recognition in your field

3. Advisors or mentors:

Do you have people who give you advice? This could be:

• A former boss who’s successful in your field
• A lawyer or accountant who helps with business decisions
• A small business mentor from a local organization

4. Future hiring plans:

Do you plan to hire people as your business grows? What roles might you need? For example:

• A part-time assistant to help with scheduling and paperwork
• Additional consultants to handle more clients
• A sales person to help bring in new business

Now, let’s put this all together into a management team section:

“TechHelp Consulting’s management team consists of its founder, with plans for future growth:

1. Founder and Principal Consultant: Jane Smith

• 10 years of experience in IT support and network management
• Bachelor’s degree in Computer Science from the University of Illinois
• Certifications: CompTIA A+, Network+, and Security+
• Former IT Manager at Chicago Business Solutions, managing a team of 5 technicians
• Recognized as “IT Professional of the Year” by the Chicago Tech Association in 2022

2. Advisors:

• Tom Johnson: Successful IT consultant with 20 years of experience. Tom will provide guidance on business growth strategies and industry trends.
• Sarah Lee: Small business mentor from the Chicago SCORE chapter. Sarah will advise on general business management and financial planning.
• Michael Green: Attorney specializing in technology and small business law. Michael will provide legal advice and contract review.

3. Future Hiring Plans:

As TechHelp Consulting grows, we plan to expand our team to meet increasing demand:

• Month 6: Hire a part-time virtual assistant to help with scheduling, invoicing, and customer service.
• Year 1: Bring on a junior IT consultant to handle basic support tickets and assist with on-site visits.
• Year 2: Hire a full-time operations manager to oversee day-to-day business activities, allowing the founder to focus on high-level consulting and business development.
• Year 3: Expand the consulting team with additional specialists in areas like cybersecurity and cloud migration.

4. Professional Development:

To ensure TechHelp Consulting stays at the forefront of IT trends, we are committed to ongoing learning:

• Annual budget for each team member to attend relevant conferences or training courses
• Monthly team meetings to share knowledge and discuss new technologies
• Subscription to online learning platforms for continuous skill development

By leveraging the founder’s expertise, seeking guidance from experienced advisors, and planning for strategic growth, TechHelp Consulting is well-positioned to build a strong, knowledgeable team that can meet the evolving IT needs of our small business clients.”

This management team section shows that you have the right experience to run your consulting business and that you’re thinking ahead about how to grow your team.

9. Financial Plan

The financial plan is where you show how your consulting business will make money and what expenses you’ll have. This can seem tricky, but we’ll break it down into simple parts. Here’s what to include:

1. Startup costs:

What do you need to buy to start your business? For example:

• Computer and software: $2,000
• Website creation: $1,000
• Business cards and brochures: $250
• Initial advertising: $750
• Legal fees (for setting up your business): $500
• Total: $4,500

2. Monthly expenses:

What will you need to pay for each month? For example:

• Internet and phone: $100
• Software subscriptions: $200
• Marketing: $300
• Insurance: $150
• Office supplies: $50
• Total: $800 per month

3. Pricing and income projections:

How much will you charge and how much do you think you’ll earn? For example:

• Hourly rate: $100
• Goal: 20 billable hours per week
• Weekly income: $2,000
• Monthly income: $8,000
• Yearly income: $96,000

4. Break-even analysis:

How long until you make back your startup costs? To figure this out:

• Monthly income: $8,000
• Monthly expenses: $800
• Monthly profit: $7,200
• Startup costs: $4,500
• Months to break even: $4,500 / $7,200 = 0.625 months (about 19 days)

5. Profit and loss forecast:

What do you expect your business to earn (or lose) in the first few years? For example:

Year 1:

• Income: $96,000
• Expenses: $14,100 ($4,500 startup + $9,600 operating expenses)
• Profit: $81,900

Year 2:

• Income: $120,000 (assuming 25% growth)
• Expenses: $12,000 (operating expenses + 25% for growth)
• Profit: $108,000

Now, let’s put this all together into a financial plan:

“TechHelp Consulting’s financial plan demonstrates a path to profitability with modest initial investment:

1. Startup Costs:

• High-performance laptop: $2,000
• Software licenses: $1,000
• Website development: $1,000
• Marketing materials: $500
• Legal and accounting fees: $1,500
• Business insurance (first year): $1,000
• Total Startup Costs: $7,000

2. Monthly Operating Expenses:
   • Internet and phone: $150
   • Software subscriptions: $250
   • Marketing and advertising: $400
   • Office supplies: $100
   • Professional development: $200
   • Miscellaneous: $100
   • Total Monthly Expenses: $1,200

3. Pricing Strategy and Income Projections:

• Hourly rate: $100
• Monthly support packages:
• Basic (5 hours): $400
• Standard (10 hours): $700
• Premium (20 hours): $1,200

 Year 1 Income Projection:

• Assume average of 15 billable hours per week for first 6 months, then 25 hours per week for second 6 months
• First 6 months: 15 hours x $100 x 26 weeks = $39,000
• Second 6 months: 25 hours x $100 x 26 weeks = $65,000
• Total Year 1 Projected Income: $104,000

4. Break-Even Analysis:

• Total Startup Costs: $7,000
• Monthly Operating Expenses: $1,200
• Average Monthly Income (Year 1): $8,667 ($104,000 / 12)
• Monthly Profit: $7,467 ($8,667 – $1,200)
• Months to Break Even: $7,000 / $7,467 = 0.94 months (about 28 days)

5. Three-Year Profit and Loss Forecast:

Year 1:

• Income: $104,000
• Expenses: $21,400 ($7,000 startup + $14,400 operating)
• Profit: $82,600

Year 2 (assuming 25% growth):

• Income: $130,000
• Expenses: $18,000 (operating expenses + 25% for growth)
• Profit: $112,000

Year 3 (assuming 20% growth):

• Income: $156,000
• Expenses: $21,600 (operating expenses + 20% for growth)
• Profit: $134,400

6. Cash Flow Management:

• Maintain a cash reserve of at least 3 months of operating expenses ($3,600)
• Invoice clients promptly and offer a 5% discount for early payment
• Consider a business line of credit for emergencies or growth opportunities

7. Financial Goals:

• Achieve $100,000 in revenue by end of Year 1
• Increase profit margin from 79% in Year 1 to 85% by Year 3
• Reinvest 10% of profits each year into marketing and professional development

This financial plan demonstrates that TechHelp Consulting has the potential to become profitable quickly and sustain growth over the first three years. The business model allows for flexibility in scaling services to meet demand, with relatively low overhead costs. As the business grows, we will regularly review and adjust our financial projections to ensure continued success.”

Conclusion: Putting It All Together

Now that we’ve gone through all the parts of a business plan, let’s recap how to create your executive summary. Remember, the executive summary goes at the beginning of your plan, but you write it last. Here’s how to do it:

• Review each section of your business plan.
• Write one or two sentences summarizing the key points from each section.
• Put these sentences together in a few short paragraphs.
• Make sure it’s interesting and makes people want to read more.

Here’s an example of how your executive summary might look:

“TechHelp Consulting will launch in January 2025 to provide affordable and friendly IT support to small businesses in Chicago. Founded by Jane Smith, an experienced IT professional with 10 years in the field, our company will help small businesses with 10 to 50 employees solve their technology problems and use tech to grow.

The consulting industry, particularly in IT, is growing steadily at 5% per year. Many small businesses need tech help but can’t afford full-time IT staff, creating a perfect opportunity for our services. We’ll reach these customers through our website, social media, and by speaking at local events.

TechHelp Consulting will stand out by offering affordable rates (starting at $100/hour), quick response times (under 2 hours guaranteed), and ongoing support to ensure our clients’ technology keeps working well. Our services will include general IT support, cybersecurity advice, software recommendations, and technology training.

In our first year, we aim to help 50 small businesses improve their technology setup, generating $104,000 in revenue. By year three, we project revenues of $156,000 with a profit margin of 85%. With low startup costs of $7,000 and a clear plan for growth, TechHelp Consulting is well-positioned for success.

As the business grows, we plan to expand our team, starting with a part-time assistant in month 6 and adding additional consultants as demand increases. With a strong management team, including experienced advisors, and a commitment to ongoing learning, TechHelp Consulting is ready to become the go-to tech advisor for small businesses in the Midwest.”

Final Tips for Success

Writing a business plan can seem challenging, but remember these tips to make it easier:

1. Use simple language. Avoid big words or confusing terms.
2. Be honest about your strengths and weaknesses.
3. Do your research. Use real facts and numbers when you can.
4. Ask for help if you need it. Talk to other business owners or a mentor.
5. Keep updating your plan as your business grows and changes.

Your business plan is like a roadmap for your consulting business. It helps you think through all the important parts of starting and running your business. It also shows others that you’re serious and have a good plan.

Remember, every successful business started with an idea and a plan. By creating this business plan, you’re taking an important step towards making your consulting business a reality. Good luck with your new venture!