Unido business plan structure
Read about how to prepare a business plan based on UNIDO recommendations adapted to Russian realities.
UNIDO is one of the leading organizations offering standards for creating an effective business plan.
UNIDO Business Planning Methodology
The UNIDO Business Plan is prepared according to standards developed by the United Nations Industrial Development Organization. The full name of the methodology, published in 1978, sounds like "Guidelines for the preparation of industrial feasibility studies."
UNIDO's business planning methodology uses an integrated approach that requires professional knowledge and skills in a number of areas: marketing, market and financial analysis, personnel management, etc.
Business plan structure according to UNIDO methodology
A business plan drawn up according to the UNIDO methodology must comply with accepted standards. It should include the following chapters:
- Summary. General information about the project, amounts, terms, guarantees.
- Main idea. Information about the company, its activities, prospects and connections.
- Description of goods and services. What the company offers, what it enters the market with.
- Market analysis, marketing. The most complete description of the sales market, analysis of competitors, company prospects.
- Production plan. The location of the company is indicated here, transport links and existing communications are separately negotiated. The personnel structure and production volume are analyzed. If necessary, a report on the company's environmental safety is provided.
- Organizational plan. It is considered how the personnel of the company will be organized, including the management team and structural divisions.
- Financial plan. The approximate amount that will be required for the implementation of the project is calculated (including preparation costs, main period, taxes), cash flow and profit are analyzed, and a projected balance sheet is drawn up.
- Evaluation of the project's effectiveness. The efficiency of a new enterprise, department, project is calculated. The sensitivity of the project to the influence of various external and internal factors is estimated.
- Risks and guarantees. This chapter provides data related to the payback of the project. All risks arising in the course of its implementation are assessed separately.
- Applications. This section contains registration documents, graphs, charts, tables, charts, calculations, market research results and calculations of financial and economic indicators.
Development of a business plan according to UNIDO standard
Let's consider some aspects related to the development of a business plan using the UNIDO method, in more detail.
The UNIDO business plan is developed if an entrepreneur does not use borrowed funds from Sberbank and Rosselkhozbank to develop his business, but wants to use the services of other investors or other banks.
United Nations Industrial Development Organization UNIDO has adopted standards to promote industrial international business development and cooperation.
To strengthen your position in the Russian or international market, you must clearly know the principles and rules established by law. A great deal of knowledge is required in the field of law, economic and market structure, and pricing.
For many years, specialists of our company have been actively involved in the development and preparation of UNIDO business plans. The accumulated experience and a large knowledge base in various areas of the economy, marketing research, international and Russian legislation, allow us to carry out effective planning.
The structure and semantic content of the sections of the UNIDO business plan must clearly comply with the accepted standards:
It contains general information about the project, brief information on loan terms, return guarantees, investment volumes.
Main idea of the project
You must provide complete information about the company, industry. A detailed description of the prospects for their development is being prepared. Provides detailed calculations of financial indicators, describes the structure of the company, the direction of its activities, partnerships
Description of product or service
The section includes information about the products or services offered by the entrepreneur, with which he enters the market. This includes the name of the product, characteristics, scope of its application, competitiveness is studied, certificates, licenses.
One of the organizations that offers standards for business planning is UNIDO - an organization fighting for global prosperity, supporting the industrial development of developing countries and countries with economies in transition (www. nido. rg).
UNIDO provides various assistance to countries with economies in transition and developing countries in adaptation and development in the context of globalization of the economy and the world as a whole. The organization collects knowledge, information, experience and technology, transfers them to countries in need, and thereby contributes to the development of a competitive economy and increased employment.
UNIDO - United Nations Industrial Development Organization (United Nations Industrial Development Organization, UNIDO) is the United Nations entity dedicated to alleviating poverty by increasing productivity. Founded in 1966.
Business plan structure according to UNIDO standards:
This section contains general information about the business plan. The resume gives an impression of the entire project, so it is always looked at by potential investors. The resume should contain concise but understandable information and provide answers to questions of concern to investors - what is the volume of investments, loan terms, repayment guarantees, the amount of own funds, etc. The remaining sections of the document should provide more extensive information about the project and prove the correctness of the calculations in the resume.
2. Description of the industry and company
Description of general information about an enterprise or company, a description of the industry and its development prospects, financial performance indicators, personnel and management structure, line of business and products or services, partnerships.
3. Description of services (goods)
The best will be a visual representation of the products produced by your company - let it be a photograph, drawing or natural sample. If you produce more than one type of product, then the description should be for each type separately.
Structure of this part:
- Product name
- Purpose and scope
- Main characteristics
- Patentability and copyright
- Availability or need for licensing
- Degree of readiness for production and sale of products
- Availability of quality certificate
- Safety and environmental friendliness <
- Terms of delivery and packaging
- Warranty and service
- Product use
Of course, the structure and composition of the business plan for each specific project will have its own individual characteristics. But in order not to “reinvent the wheel” every time, various methods have been developed that to a certain extent standardize the content of business plans. One of the most professional programs is the UNIDO methodology. It is about how to draw up a business plan for UNIDO and will be discussed in today's article.
What is UNIDO Business Plan
First, let's explain what UNIDO is. The abbreviation UNIDO stands for United Nations Industrial Development Organization, which translated from English means the United Nations Industrial Development Organization. Thus, the methodology for drawing up a business plan for UNIDO is a list of recommendations for drawing up a business plan for enterprises in the industrial sector.
The creation of guidelines for UNIDO's business plans was well worth the effort. The reason for the creation of the methodology was the fact that there were no clear prescriptions for evaluating investment projects. This problem was especially acute when it came to investment in developing countries.
Like any other, a business plan for UNIDO requires professional qualifications and the ability to understand such areas of project planning as marketing research, analysis of the market situation and the competitive advantages of similar enterprises, research of the resource base (financial, personnel, temporary, etc.), identification of consumer preferences, investment and financial planning.
Before you start drawing up a business plan yourself in accordance with UNIDO requirements, we advise you to use a ready-made sample of such a document, developed by professionals. This recommendation is related to the fact that investors / investment funds that evaluate business plans according to UNIDO standards are quite serious and reputable organizations that have significant investment resources, but also require appropriate fulfillment of all the requirements specified in the methodology. Therefore, in our opinion, it is better to “spend money” on the assistance of specialists in business planning and obtain financing than to lose investor confidence by violating UNIDO requirements.
What does a UNIDO business plan consist of
The UNIDO methodology business plan includes the following sections:
- Investment project cycle;
- Pre-investment (pre-investment) research;
- Marketing (market) research and sales planning;
- Analysis of the raw material base and suppliers;
- Characteristics of the geographical location of the enterprise, natural and climatic conditions and the construction site;
- Description of the production and technological complex;
- Planning general production costs;
- Organizational and management section;
- Personnel planning;
- Schedule and terms of the project;
- Financial and investment analysis;
- Assessment of payback and financial viability of the project;
- Assessment of return on investment and economic efficiency of the project;
It is clear that within the framework of one article it is simply impossible to teach how to draw up a business plan for UNIDO, or even just to disclose the content of each section. And therefore, it is better to turn to professional developers of such business plans. In the following sections, we will try to outline only a part of the important points that will need to be paid attention to when drafting the document in question.
Brief description of the structure of the unido business plan
A business plan for UNIDO must begin with a presentation of the so-called project life cycle, which includes three main phases - pre-investment, investment and operational. But each stage, in turn, can be subdivided into several more stages.
For example, the pre-investment phase contains stages such as:
On this page you will learn what are the features of preparing a business plan according to UNIDO standards, what information needs to be disclosed in it. You will also find information about our experience in developing such business plans, and about the terms of cooperation with us (terms and cost of work). Below we have placed sample business plans that you can download.
Key features and nuances of preparing a business plan according to UNIDO methodology
UNIDO guidelines are the basis for most of the existing guidelines and requirements for business planning and investment project appraisal. A business plan prepared according to UNIDO standards takes precedence over other business plans. In addition, it is sometimes a time consuming but sure way to gain the trust of foreign banks, foundations and investors.
The key importance is attached to a systematic approach in justifying the economic efficiency of the project. Based on the UNIDO methodology:
- The progress of the project is planned in the form of a cycle that includes three independent phases: pre-investment, investment and operational.
- Drawing up a business plan involves several key stages: → assessment of sales markets in terms of actual volume and potential capacity; → marketing planning; → organizational planning of the project implementation; → financial planning and analysis; → assessment of economic efficiency; → project risk assessment, sensitivity analysis; → preparation of a resume (presentation part).
Features of business planning according to the UNIDO standard
The UNIDO standard business plan includes generally accepted sections on the idea of the project, marketing, production, management, finance, efficiency and risk. Each of them is deeply worked out, from the concept to all the nuances of the project.
The business plan also follows:
- justify the choice of location and construction site;
- assess the state of the infrastructure;
- take into account socio-economic policy and environmental impact; <
- get a professional approach to production and technological design.
The UNIDO recommendations provide not only a list of necessary research and business planning, but also a methodology that allows you to get the most reliable and substantiated results.
How to develop a flawless business plan
A well-prepared business plan should not only formally comply with UNIDO standards, but in content should be such as to interest the investor. Among the basic requirements:
- brevity, simplicity, clarity of presentation, emphasis on the main thing;
- reliability of information;
- validity of financial and economic calculations; li >
- real assessment of risks and options for their minimization.