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Chapter 9. Listing Your Distribution Cha... > Describing Your Real-World Presence ...

Describing Your Real-World Presence and Distribution Channels

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Here's how the information you learn in this chapter relates to the three plan types:

  • The questions to be answered for the startup business plan are very similar to those of the full business plan, excluding the questions on long-term facility needs, disaster recovery plans, and worst-case distribution scenarios. These issues needn't be addressed in a startup plan.

  • Many questions regarding the distribution channel do not apply to internal plans because the current company has some of the distribution mechanisms in place. The internal plan need not include descriptions of the physical plant, office equipment, buy or lease arrangements, inventory storage and control, insurance, long-term equipment needs, and disaster recovery plan because these elements are typically handled by the current company.


Distribution is defined by the Small Business Development Center as “the manner in which products are physically transported to the consumer or the way services are made available to the customer” (see the SBDC's Bear Paw Development Corporation, “Business Plan Outline”). The type of distribution network you choose depends upon the industry you're in and the size of your market. It is important that you clearly outline in your plan the process by which you manufacture, distribute, and sell your product or service.


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