PAGE I TABLE OF CONTENTS HURDLE: THE BOOK ON BUSINESS PLANNING MILLENNIUM EDITION (REVISED) How to develop and implement a successful business plan. By: Tim Berry PAGE II HURDLE: THE BOOK ON BUSINESS PLANNING Palo Alto Software, Inc., Millennium Edition (Revised), October, 2000 This edition contains new information, expanded treatment of topics, and improved or corrected table examples in several chapters. Publisher: Palo Alto Software, Inc. 144 E. 14th Ave. Eugene, OR 97401 USA Fax: 1 (541) 683-6250 Email: info@paloalto Website: www.paloalto Copyright2000 Timothy J. Berry All rights reserved under International and Pan-American Copyright Conventions. All rights reserved. Reproduction of this work in whole or in part without written permission of the publisher is prohibited. Published in the United States by Palo Alto Software, Inc., Eugene, OR. Library of Congress Catalog Number: 00-109560 ISBN 0-9664891-4-4 Cover design by Paul Berry. Book layout by Teri Epperly. Editor, Steve Lange. PAGE III TABLE OF CONTENTS About the Author Tim Berry’s latest book is On Target: The Book on Marketing Plans, co-authored with Doug Wilson, published in October, 2000. His CPA’s Guide to Business Planning was published in 1998 by Harcourt Brace Professional Publishing. His other books on business planning with spreadsheets were published in the 1980s by Dow- Jones-Irwin, Microtext/McGraw-Hill, and Hayden Books. His business software has been published by Palo Alto Software and M & T Publishing. He has been a professional business planner since 1974, as an employee of Business International and vice president of Creative Strategies, as a consultant to Apple Computer, as a member of the board of directors of Borland International, and as president and founder of Palo Alto Software. He has given seminars on business planning in 10 countries on three continents. Berry holds a Stanford MBA degree, an MA with honors from the University of Oregon, and a BA magna cum laude from the University of Notre Dame. Acknowledgements I want to thank Paul Berry for not just cover design, but for inspiration as well. I was recently introduced to the phrase “Entrepreneur in Heat.” If you have to ask what that means, then you’ve never been involved with somebody starting a business. The shortcut is simply “EIH.” Paul has been EIH a lot lately. Teri Epperly has done a wonderful job with this book, designing the layout, managing the graphics, and patiently waiting on me through the ups and downs of my developing software, writing this and one other book, and managing a company all at the same time. To Vie Radek, Doug Wilson, Cristin, Megan, and most of all Vange, thanks for putting up with me while this was coming together. Sample Business Plans This book includes two complete sample business plans. One sample is a computer store that is actually a composite of several computer reseller businesses the author consulted with during the early 1990s. The other was a consulting company that was accepted for financing by a major venture capital firm, although it was never actually formed. Both were originally published as part of Business Plan Pro and Business Plan Toolkit , published by Palo Alto Software, Inc. Workbook Also included is the Hurdle Workbook. The workbook pages provide a place to write ideas on your business while you read and gather information. The text outline was taken directly from Business Plan Pro and Business Plan Toolkit . As you read through this book, we recommend you go to the topic reference in the workbook. PAGE IV HURDLE: THE BOOK ON BUSINESS PLANNING Hurdle book online! The latest printing of this book reorganizes the original chapters into seven sections. These changes were done to create a similar look and feel with our new online edition. The online edition is continually edited to bring the most up-to-date business planning information to our customers. Please visit our business resources website at: http://www.bplans/hurdleonline