The business plan background, which follows the executive summary, should detail your company’s history. This part will vary, depending on how developed your business is. The history of a startup is obviously different than for an existing company. This section should be about a page long, although it’s OK to stay under that limit if you’re starting a brand-new company.
Here are a few points that you should be sure to include in this section:
- The origin of the idea for the business
- Your progress to date
- Problems you’ve faced so far
- Short-term growth plans
For a new business you might want also to include some personal history and business background. Some points to make in this section:
- Your educational history
- Other companies you’ve worked for
- Previous businesses you’ve started
- Your technical skills
- Your areas of expertise in your industry segment
- Your areas of weakness or inexperience and how you plan to compensate for them
- Any relevant professional clubs or associations you belong to
Overall, this section of your business plan should give an interested investor a better idea of who you are and how this business idea came about. Again, keep it concise and avoid extraneous personal information.