how do you write a product description in a business plan

ZenBusinessPlans

Home » Business Plans

How to Describe your Product in a Business Plan

The product or products your business intends to produce or offer will have to be described in the product description section of your business plan. This section of your business plan is meant to explain how your product will stand out from comparable items in the market.

You have to clearly explain its concept, coupled with all aspects of purchasing, manufacturing, packaging, and distribution. You should also identify your suppliers, costs, and how the product you are offering fits into the current market.

Note that the product description in your business plan is more than a simple listing of product features. In this section, you will need to highlight your product’s most unique characteristics that will ensure it stands out in the marketplace and attract buyers who won’t mind paying your price.

Note that a properly written product description in your business plan can entice investors and help your business grow. Make sure you describe what you are offering in layman’s terms, to guarantee that someone who isn’t conversant with your business will grasp and be excited about it.

It may also be necessary to provide some basic background if this is an area or industry that people are not so familiar with. While you write up the Products and Services description section of your business plan, always keep your reader in mind.

What to Include in the Products and Services Description Section of Your Business Plan

Just as was noted above, the products and services section of your business plan will have to explain in detail your product or service, its demand in your market, and how it intends to compete with other businesses selling the same or similar products or services. Nonetheless, the product and services description section of your business plan is expected to include:

The Product or Service Description

It is important the product description section of your business plan clearly explains the concept of your product, coupled with all aspects of purchasing, manufacturing, packaging, and distribution. What are your product and service, and how does it work? How will this product benefit your customers? How do you plan to make it or how do you intend to get it made?

Product Comparison

This section of your business plan will also have to explain how your product compares with similar products in the market. What makes this product or service unique or better than what’s already obtainable in the market? Why would anyone prefer your product or do business with you?

You will need to describe how and why you are competitive. How do you stand out, and why do your business and everything it offers have such a viable chance at succeeding? In talking about your product or service, always try to answer why a client would want it and how it can make their lives better or more profitable?

Accreditations/Intellectual Property

For businesses that have had their product tested by industry experts, you must include this information when describing your product. Don’t forget to highlight any certifications, trademarks, copyrights, or patents.

Have it in mind that these added advantages or achievements can give you and your product an upper hand. Verified patents and trademarks can also heighten the value of your product especially since it shows that only your company can manufacture the product for the life of the patent.

Have it in mind that a product’s life cycle includes the idea, prototype, and expansion stages. If you are still in the idea stage, you must buttress in your description how you intend to get the product made and why your product matters.

If you maybe already have a prototype, outline your plans for evaluating the prototype and manufacturing your product. If your business has been making the product but is looking to expand to keep up with demand, ensure you explain this when describing your product in your business plan.

You will also want to include the cost of your product and how that cost aligns with other comparable products on the market. In very concise detail, explain how you came to this price, including the cost to manufacture, selling price, and profit margin.

Sales and Distribution Strategy

Also, take your time to explain how and where you will sell your product. Have in mind that your options may include online stores, brick-and-mortar locations, and vendors. If you already have vendors selling your product, ensure to note who they are and their locations in this section of your business plan.

Fulfillment

When describing your product in your business plan, it is also important you describe your plan to ensure your product gets to the intended customers. This should include manufacturing details and delivery specifics. If you plan to outsource the production of your goods, don’t forget to note manufacturer specifics such as location and production time. Also, remember to include the approximate delivery times and methods.

Requirements

Will you require any special equipment or technology to provide your product or service? Also explain if any specialized technology, materials, or equipment will be required to manufacture your product.

You will also have to explain your plans for product development and introduction especially as your business grows.

Photos or Brochures

Also, make sure that your potential investors can get a good insight into your product through photos and brochures. Don’t forget that your business plan is expected to have an appendix for photos and brochures. Also, don’t forget to refer to them in the product description section.

Tips for Writing a Product Description

To ensure you describe your product thoroughly, here are some vital tips to guide you;

• Always remember the reader. The product description section of your business plan must note your product’s most vital information. Always remember to make this section very easy to read and understand. Consider making it better by leveraging numbered lists and bullets.
• Focus on benefits. When describing your product, you must explain how its features can provide value to consumers. Translate your features into benefits, and remember that the aim is to describe how your product or service will be a solution to a problem or improve a client or customer’s life.
• Highlight the features of your product or service. To attain substantial success in any business, your business will need the ability to set itself apart from other businesses that offer or sell the same products and services. Take your time to analyze key features, such as price point or level of service, or anything that makes your product unique in the market.
• Show off a little. Don’t forget that you are selling a product and also selling yourself as the most viable provider of that product. Ensure to include all vital educational or industry-specific experiences and awards in this section. If you have endorsements or testimonials specific to your product, include them as well.
• Show the need for your product. Also make sure you explain how your product will cater to a need or improve life, showing why your product is very necessary to the consumer. This is very pertinent if your product has no current market.

The product and services description section of your business plan is meant to provide the reader with an explicit understanding of why you are in business, what you sell, how you will compete with what’s already available, or how you intend to fill a niche that no one else is currently meeting. Noted above are things you need to consider when creating the product description section of your business plan to ensure that it will indeed grab your readers’ attention.

More on Business Plans

How to describe your product and service in a business plan like a pro

It’s deceiving.

You’d think that this part of a business plan does exactly what it says on the tin–describe your product & service offering– right ?

And yes, you are partially right. 

But there’s a very specific way in which this description should be written to make sure that your business has the best chance of succeeding – in real life and under the eagle eye of a potential backer (if you’re preparing a business plan for external financing purposes).

Keep reading to find out the secret sauce to writing a winning product and service description:

WHAT is the Product and Service Description in a Business Plan?

This business plan section is also known as:

• Product and/or Service Overview

HOW Do You Write a Product and Service Description in a Business Plan?

So, what should a good product/service overview contain?

Here are some items to consider including into this section:

1.     Portfolio:

The range of products and/or services that a business offers to potential and current customers.

2.     Features and benefits (value proposition):

Explain what the product/service does and how it works.

3.     Problem and solution (value proposition cont.):

The problem(s) the product or service solves. Every business needs to solve a problem that its customers face. Explain what the problem is and how the product or service solves it.

4.     Innovation:

If the company is doing something new and different, explain why the world needs the innovation.

5.     Proprietary advantages:

Any proprietary features that contribute to a competitive advantage. This could include: intellectual property (e.g., copyright, trademark, patent filings, trade secret), exclusive agreements with suppliers or vendors, exclusive licenses (e.g., for a product, service or technology), company’s own research and development activities.

6.     Development stage:

Current stage of development of the product / service (e.g., idea, development, testing, prototype, already on the market).

7.     Product life-cycle:

Estimate the life span of the product or service.

Specify whether the product or service under consideration is a short-lived fad or has a long-term potential.

8.     Future:

Mention plans for changes and new additions to the current portfolio of products / services.

Describe any plans to move into new markets in the future (e.g., serving different types or sizes of customers, industries, geographic areas).

Make your best guess at when the business will be ready to address these markets and what it needs to do first to be ready.

9.     Limitations:

If applicable, explain any risks or limitations associated with the product (e.g., liability issues like guarantees or returns), along with any legal advice received regarding these issues.

10.  Visual aids:

Use photos, images, diagrams and other graphics to help the reader visualize and learn about the products / services.

If the business is tackling several distinct problems through different products / services, describe the solutions individually .

However, for a large line of products / services, there is no need to list each one, just identifying the general categories will suffice.

How LONG Is the Product and Service Chapter of a Business Plan?

This part of a business plan can be very short, just a couple of paragraphs, or it can spread over multiple pages, depending on how many products/services you offer and how much explanation they require.

If your products or services are particularly complex , technical , innovative , or proprietary , you will want to provide more information and spend considerable time describing them.

This is especially true if you are seeking funding for a new product or service, particularly one that is not immediately understandable to the business plan readers, and if potential funders are likely to be motivated by the specifics.

In any case, when describing a product or service, provide just enough information to paint a clear picture of what it is and does . A brief explanation of what you will be making, selling or doing is appropriate here.

Excessive detail makes this section cumbersome for a reader to wade through. Reserve detailed descriptions (e.g., production processes) for the Appendix.

In any case, it is a good idea to first summarize the value proposition of each product or service into a one short sentence, and only then continue with a more detailed description of the product or service.

If any images or graphics are available that would contribute to the understanding of the product or service, the writers of a business plan should use them.

Otherwise, include any product or service details , such as technical specifications, drawings, photos, patent documents and other support information, in the Appendix section of the business plan document.

TOP 4 TIPS for Writing a Product and Service Overview

Tip #1: features v. benefits.

Don’t just list the features of the product / service.

Instead, describe the specific benefits it will offer to customers – from their perspective.

Make it clear what your customers will gain through buying your product or service. Include information about the specific benefits of your product or service – from your customers’ perspective.

Features are not the same thing as benefits. And you need to understand both.

Confused? Let’s clarify:

What Is the Difference Between Features and Benefits?

Tip #2: problem v. solution.

If at all possible, present the information in the Problem >> Solution format.

Start by describing the key problem that your customers have, immediately followed by the solution with which you will address this need for your target market.

Tip #3: Competitive Advantage

You should also comment on your ability to meet consumers’ key problems or unmet needs in a way that brings your product or service advantages over the competition.

For example:

• If you have a common business, such as a restaurant:

Explain why your customers need your particular restaurant. Do you offer lower prices? More convenient hours? A better location? A different concept, such as a vegan ice-cream pop up store? A specialty that is not otherwise available in your area, such as a Peruvian ceviche or Hungarian goulash?

• If your company is doing something new and innovative :

What is it about the existing solutions that is subpar? Maybe you are improving on a mediocre product category, such as creating better medical uniforms for healthcare workers (e.g., more flattering cut, trendy designs, sustainable materials). Or perhaps your new blockchain solution has the potential to entirely eliminate the middle-men in an entire industry.

Although the subject of competitive advantage regarding the business as a whole will be fully explored in the Market and Competitor Analysis part of a business plan, it is advisable to touch on it here also – in the context of the company’s products and service.

Tip #4: Validating the Problem and Solution

Speaking of which, when you are doing market research and analysis for your business plan, remember to validate the problem and solution your product or service is addressing.

There is a plethora of minor issues out there that people are perfectly fine with just tolerating. To build a solid business, though, you need a problem that a sufficient number of people are motivated to solve. That is, that they recognize it as a problem that’s worth paying you to solve. Even if they didn’t realize it was solvable until they were presented with your solution.

So, how do you get evidence that prospects are willing to pay for your solution?

Validation of Problem

Describe what you’ve done so far to confirm that the problem you are focused on is a real problem for your customers.

• Existing Business:

For an established business, this is probably just a matter of recapping your success in the marketplace. Your customers have already voted with their wallets.

• New Business:

For a startup, it is important to survey and have conversations with as many potential customers as possible about where they are having problems, how they solve them today, and validate that they are interested enough in addressing those problems to pay for a good solution.

Validation of Solution

Describe how you have tested your ideas with existing or potential customers to confirm that there is a good market for the products or services you plan to offer. Summarize the positive customer feedback or market traction that you have achieved with your solution so far.

For an established business, the answers probably lie in your paying customer base – their existence itself, combined with their repeat business, word-of-mouth referrals, follow-up customer surveys, and other indicators of customer satisfaction.

For a new business, you can start validating your solution immediately by trying it out with potential customers, even informally or at no charge, to get their opinion. If your product or service does not exist yet, talk to prospects about what you plan to offer and measure their feedback.

In summary, this section should answer the million dollar question:

What makes you think that people will buy, be satisfied with, and recommend your products or services?

Related Questions

What are products and services.

Products and services are items that businesses offer for sale to a market. While services are intangible, meaning that they do not exist in a physical form, products are of tangible nature, in other words – you can touch them.

What is a Product Line?

Product line is a group of related products that are all produced or sold by one entity and typically marketed under one brand name.

What is a Service Line?

Service line is a group of related services that are all produced or sold by one entity and typically marketed under one brand name.

Sign up for our Newsletter

Get more articles just like this straight into your mailbox.

Related Posts

Recent Posts

Retail | How To

How to Write a Product Description [+ Template & Examples]

Published September 1, 2023

Published Sep 1, 2023

REVIEWED BY: Agatha Aviso

WRITTEN BY: Brigitte Korte

This article is part of a larger series on Retail Management .

• Step 1: Set Objectives
• Step 2: Identify Target Audience
• Step 3: Establish Tone
• Step 4: Craft Must-buy Item Features
• Step 5: Focus on Format & Length

Step 6: Write Your First Draft

• Step 7: Revise & Optimize
• Do’s & Don’ts

Bottom Line

Product descriptions are key to building customer trust and successfully selling your products. To be effective, product descriptions need to go beyond simply describing the product. They should also inform your customers, convey your brand, and get your store visited by searchers—bringing in sales and boosting other key performance indicators (KPIs).

Continue reading for our seven-step guide on how to write a product description that sells, along with effective examples from online stores. You can also use our free product description template below to get started now.

FILE TO DOWNLOAD OR INTEGRATE

Thank you for downloading!

Step 1: set objectives for your product description.

Before getting started, it is important to understand the elements of a good product description so you can have a clear vision of what you are trying to accomplish. By knowing where to focus your attention and how to measure your listings’ success, you have the foundation for a profitable product description.

An effective product description will:

• Qualify: Demonstrate to the customer that they’re a perfect fit for your brand and product
• Persuade: Supply compelling reasons that the customer will benefit from making the purchase
• Inform: Provide relevant and factual information that increases buyer confidence and decreases return rate
• Boost: Optimize search engine results to get your listing seen

Though the bullets above outline the main goals your product descriptions should address, you might look at a few other key retail metrics to identify if there are any additional objectives you want to address. Consider the following:

Return Rate

Return rate can be significantly impacted by honing in on your listings’ specificity and accuracy. Delivered items not matching their product representations is among the top reasons for returns . According to a 2020 survey from SalesCycle, 64.2% of shoppers have returned purchases due to listing discrepancies . So, the more informed your customers are, the less likely they are to return their orders.

Bounce Rate

Bounce rate, or the percentage of page visitors that leave without taking desired actions, can be mitigated by crafting functional descriptions as well. Whether customers are comparison shopping or checking out an ad, they ultimately navigate away from a page if they feel they’re in the wrong place. By using tone and content thoughtfully tailored to your target demographic, your writing can retain on-page interest by qualifying and demonstrating the customer’s compatibility.

Shopping Cart Abandonment

Shopping cart abandonment is usually caused by friction in the checkout process, so product listings are your first line of defense against it. By clearly disclosing influential details in the product description—like price, shipping cost, delivery date, and handling time—shoppers are less likely to abandon their orders when met with this info later on.

If any of these factors are less than ideal, the product description is the perfect place to justify them in alluring ways. For example, a package arriving three weeks after the purchase date is much easier to swallow knowing that the goods are handmade to order by a skilled artisan. Similarly, buyers are less likely to seek the same product for a cheaper price elsewhere if proprietary materials and superior construction give it an edge.

Store Traffic

Maybe you’re not getting enough visitors to your store in the first place. Poorly written or nonexistent product descriptions have a huge impact on search engine rankings, so structuring your listings with SEO in mind is a surefire way to drive traffic.

Step 2: Identify Your Target Audience

The next step is defining your buyer; this will help you understand who to write product descriptions for and to whom they should appeal.

Whenever I define a target market, I start by choosing key characteristics like gender, age, socio-economic position, and location. Once I have a picture of who my target audience is and I can describe them, I research their behaviors and preferences, like where they like to shop, how much they spend, how often they shop, what makes them want to buy, and more.

Learn how to identify your target customer and create a practical customer profile with our guide—complete with resources, examples, and free templates.

If you have a clear picture of your target audience and understand what makes them tick, you will be able to turn product-centric copy into vibrant, customer-centered conversations that appeal to your market’s sensibilities and help convert browsers to buyers.

For example, at my store, our target market was young women ages 15 to 40 with medium levels of expendable income living in Denver and the surrounding suburbs. In general, via personal experience and outside research, I found that this group preferred high-quality fabrics, liked receiving styling help, and preferred modern, trend-forward pieces.

To appeal to our target audience in product descriptions, we included information about fabric and care, as well as sourcing and fabric features. We also mentioned what trends the pieces spoke to or could complement, and we left pairing suggestions to help turn single pieces into complete looks.

Here is another example of two versions of a product description—the first written with zero focus on the customer profile and the second written with the customer profile in mind:

The information is detailed and accurate, but there’s no chance to make a connection with the reader and qualify their fit for the product. (Source: The Horse Junkie)

By rewriting the product description with the target audience (horse lovers) in mind, the listing relates to the customer and draws them in. (Source: The Horse Junkie)

Step 3: Establish Your Listing’s Tone

The tone of a product description is the “personality” of your store or brand as conveyed through your writing. Having a consistent and clear tone is a large part of successful branding, and incorporating brand tone into your product descriptions can have a big impact.

Learn more about building your brand with our guide to brand presence and how to build it .

To begin, you have to have a clear picture of your brand. Is it professional? Formal? Girly and fun? Technical? In the case of my store, my brand was feminine and youthful with an outdoorsy, Western bent. I found that the best way to hone in on a tone that fit my brand’s image in my product descriptions was to imagine my store as a person, and then describe the product as that person would.

You can see in the example below that I used a more conversational voice and playful language, as well as helpful styling details to set a tone that matches my brand image, “feminine and youthful with an outdoorsy, Western bent.”

The tone of a product description should reflect your brand image.

Step 4: Turn Item Features Into Must-buy Benefits

When I started, I focused solely on hard features, specs, and key details in my product descriptions. While all this information is highly important, I was missing a key aspect of an effective product listing: conveying how and why my product will make my buyer’s life better. Sure, you want to make your product’s high points shine, but your real focus should be creating the perfect excuse for the buyer to snap it up.

To do this, you’ll need to convert facts about your product (like construction details, intended use, special features, material, and specs) into user benefits. Here’s a powerful example:

(Source: Amazon)

By considering the target audience and using a decisive tone, the description of this Kindle translates hard facts into purpose-driven, relatable benefits.

The writer could have mentioned that the device has a high-capacity 1600 mAh lithium-polymer battery, but converting that raw feature into the benefit it provides allows shoppers to envision the experience of minimal charge time. Similarly, the product is described as being “lighter than a paperback” to “read comfortably with one hand,” which is far more compelling than simply stating that the device weighs 6.4 oz.

A successful product description will turn impersonal details into personal advantages. To do this effectively, you’ll need to focus your attention on what your target buyer values.

Step 5: Focus on Format & Length

According to Chartbeat’s analysis of page views and engagement , you only have 15 seconds to win your customer’s interest before they’re closing out of your store’s tab and moving on. That’s a small window of opportunity, so it’s crucial to make your listings as eye-catching and scannable as possible.

Product descriptions are not the place to write a mountain of prose—it’s practically guaranteed that your viewers won’t read it. Instead, create a quick-scan layout that puts your product’s benefits front-and-center, like this:

Sticking to a template maximizes efficiency and consistency. In fact, it’s how I was able to crank out product descriptions in volume.

Expert Tip: I like to close out my product descriptions with a statement that invites customers to buy the item like, “One click makes it yours,” or even “Limited availability” for seasonal items.

With the groundwork laid out, you are ready to start writing your product descriptions.

Keep these considerations in mind as you dive in:

• What are the goals you have set for your listing(s)?
• Who is the target buyer you’re trying to reach?
• What kind of tone would an in-person conversation with them have?
• Which features of the product should be highlighted, and how do they translate into consumer benefits ?
• How will the format of your product description take shape?

When I wrote product descriptions, I also liked to incorporate proven copywriting techniques into my work. While readers respond negatively to product descriptions that come across as over-engineered or packed with marketing-speak catchphrases, skillfully adopting a few copywriting techniques can improve your descriptions’ impact.

Create a Sense of Urgency

To persuade customers to buy now rather than later (which often turns into never), you need to reasonably convey that it’s in their best interest to do so.

Mention stock scarcity to compel viewers to act quickly with additions like, “Only three left in stock!” or “Only 2 size SM available!”

This online store compels visitors to buy with limited stock notices. (Source: TheGood)

Limited-time offers are also highly effective sales drivers. Explaining the time-sensitive nature of the purchase with copy such as, “Sale ends tomorrow, don’t miss out!” is a great way to boost conversions.

Building time-dependent deals into your checkout process is another way to impart a sense of urgency. By letting the customer know to “Order in the next five minutes to score free shipping!” on the product page, you’re increasing the likelihood of a sale.

Ask “Yes” Questions

A tried-and-true principle used in sales and copywriting alike is that answering “yes” to a question makes a customer more likely to answer “yes” to following questions—including the question of whether or not to buy.

Think about how your product’s benefits relate to your target buyer, and you’re sure to find some queries with obvious “yes” answers. For example, “Does your cat’s litter box make the room smell not-so-fresh?” or “Are you dreaming of a seaside getaway?”

Appeal to the Senses

An effective product description should encourage your reader to connect with the item you’re offering. A powerful way to accomplish this is to infuse your writing with sensory words.

Reading a listing that vividly describes how the product feels, tastes, smells, and looks actually activates sensory parts of the brain , making a real and lasting impact on the customer. Think of words like these that apply to your item:

This product description uses terms like “cloud-weight” and “buttery hand-feel” to appeal to the reader’s sense of touch. (Source: Boll & Branch)

Above all, your copy to be customer-focused rather than brand-focused. Counterintuitively, what matters and speaks to the customer is almost certainly different from what matters to the retailer. So always consider how your writing will be perceived by your audience and do the most to make it personal.

Once you have a first draft written, read it aloud to yourself. Does it sound conversational and appropriate? Does it flow nicely and naturally, without any clunky sentences or unnecessarily big words?

If you can confidently answer “yes” to those questions, it’s time to bring your product description into the final stage.

Step 7: Revise & Optimize

The next step is to edit your work. First, go back over each word carefully to check for spelling and grammar errors. You can either paste your work into a Google or Word document and use their editing tools or you might consider a grammar-check plug-in, like Grammarly, for a more advanced option.

Once through the initial editing stage, you will want to optimize your description for Google, also known as search engine optimization (SEO).

SEO: The on-page practices that allow websites to appear in relevant searches thus improving the site’s traffic quality and quantity.

When I first learned about SEO practices, optimizing for the search engine was my biggest focus when writing. I soon learned, however, that modern search engine algorithms are highly sophisticated and can tell when you are prioritizing SEO considerations over customers.

As a general rule, stay customer-focused and use the elements we have already discussed. Including information that is most relevant to your customers is what will get you ranked, and antiquated SEO practices, like keyword-stuffing and shooting for hyper-specific word counts, can actually work against you in the modern age of ecommerce.

Reviews and user-generated content are super important to modern consumers and including them on your product pages will contribute to your listing’s visibility.

In addition to staying customer-focused in your descriptions, you should also be sure that you are targeting the right keyword. Your keyword is the term that customers use to search for your product in a search engine. Your keyword is typically just the name of the product, but for items that can have multiple names, you will need to target the one that is most relevant based on search volume and the other search page results.

For example, if I am selling custom playing cards, I will need to determine how people who are looking for this product search for it. Are they searching “custom playing cards” or are they using different language like “customizable deck of cards” instead? This comes down to the volume of searches associated with each search term as well as the search page results for both of those terms. The phrasing with the higher search volume and similar results is going to be your best bet for a keyword.

Once you know your keyword, you should include it in your title and/or description, so that Google can recognize the product and display it on relevant searches.

For more information on finding the best keywords to boost your store’s traffic, check out our Ultimate Beginner’s Guide to Ecommerce SEO .

Overall, search engines reward clarity and user-friendliness. The top-ranking products on Google will almost certainly have descriptions that clearly inform the reader and stay firmly on brand. Use them as guidance and inspiration, but keep in mind that uniqueness is a hefty contributor to SEO as well—so make sure your copy is 100% original.

This product description targets the primary keyword “pepper mill” as well as some additional, more refined keywords—like “wood pepper mill” and “marble grinder.” It also provides clear and concise information that appeals to readers and Google’s search rankings. (Source: Crate & Barrel)

Do’s & Don’ts of Writing Product Descriptions

A good product description can make or break a sale. Here are some final tips for crafting yours:

• Be personal. Use the word “you” to speak directly to your buyer. Ask questions, incorporate product-centric stories, and make it feel conversational.
• Use justified superlatives like “top-rated on Trustpilot” or “brightest flashlight in the world with a 100,000-lumen output.” Did your product win an award, receive notable mention, surpass a standard through testing, or earn an impressive number of 5-star reviews? Those are substantial recognitions that carry meaning for your customers.
• Check for readability. Go beyond your writing’s format to make sure your product description looks good and legible on the page. Font color, typeface, background, and placement should all work together to be on brand and, most importantly, readable.
• Use unjustified superlatives like “best in class” or “top-ranking brand.” If there isn’t any real class or ranking that you’re referring to, nix it.
• Use hollow verbiage like “excellent quality” or “cutting-edge.” Opt for descriptive specifics instead of meaningless filler.
• Use excessive jargon. Your tone will dictate whether or not it’s appropriate to sell your target buyer using specialized, highly technical language—but in most cases, it is confusing and off-putting.
• Use copied content. As mentioned above, duplicate text from elsewhere on the web hurts your search engine rankings; it’s not a good look for your brand in general.

Product Description Frequently Asked Questions (FAQs)

Click through the questions below to get answers to some of your most frequently asked product description questions.

What is a product description?

A product description is the part of an online listing that explains what an item is and why it’s worth buying. A well-written product description can transform your online store by qualifying, persuading, and informing the reader, as well as boosting your listings’ visibility.

How do you write a product description for a service?

When writing descriptions for products, first, consider who your target customers are, your brand image (tone), and the objectives of your description. Then you will want to highlight the features of the service and format the information in a scannable way. Finally, optimize for SEO.

What should you include in a product description?

You should include a description of the product, a list of features and their benefits, and a call to action.

How long should a product description be?

Different products require different amounts of information, but your product description should always include all the information that a customer needs to make a confident purchase, and no additional, extraneous text.

How do you write a product description for clothing?

First, describe the garment, then list its fabric and care information, then include a sizing chart, model information, and additional features/benefits.

There’s a lot that goes into writing product descriptions. With the guide above, however, anyone can do it—and the results are worth it. Spending a little time honing in on your customer profile, tone, format, and SEO will lead to increased conversions, along with boosts to other important KPIs.

About the Author

Find Brigitte On LinkedIn

Brigitte Korte

Brigitte is a retail specialist and staff writer with brick-and-mortar management experience. Before joining FSB, she managed a storefront for several years, working in everything from merchandising, to buying, to sales analysis. Brigitte also has a background in writing, research, and publishing, with an undergraduate degree in writing.

Join Fit Small Business

Sign up to receive more well-researched small business articles and topics in your inbox, personalized for you. Select the newsletters you’re interested in below.

Products & Services Section in a Business Plan (+ Examples)

• March 21, 2024
• Business Plan , How to Write

In this blog post, we’ll guide you through writing the products and services section of your business plan. We’ll cover how to describe what you’re selling and why it’s important in your business plan.

Whether you’re launching a new startup or creating a business plan for an existing business, this section is crucial for showing the value you bring to customers. Let’s get started!

Why do we include them in a business plan?

The products and services section of a business plan is more than just a list of what a company sells; it’s a vital narrative that tells the story of the business’s core offerings and their significance to the market.

This section is paramount for readers (especially potential investors) to grasp the essence of what the business is about, the unique problems it solves, or the specific needs it addresses.

A meticulously crafted products and services segment does much more than describe offerings. Indeed, it lays the groundwork for comprehensive marketing strategies , informs operational planning, and financial projections.

Moreover, understanding the business’s offerings in depth enables stakeholders to envision the company’s value proposition and competitive edge.

Where should you include them?

In a business plan, the Products and Services section is typically included within the business overview section.

This allows you to first introduce the business model and what it offers to customers. Only after this you can provide more details of the products and services.

The Products and Services section should clearly detail what you are selling, highlight the unique value proposition . It should also ideally explain how it meets the needs of your target market if it isn’t obvious. T

What to include: 2 Examples

Begin with a clear, engaging description of each product or service you offer. For services, describe the process, customer experience, and outcome. For products, discuss the materials, technology, and any unique features.

Services example: a Cryotherapy business plan

Products example: a Brewery business plan

Privacy Overview

How to write a product description that sells (+ 11 examples)

A product description is copy that tells customers about the features of an offering. Its purpose is to help buyers understand why they should purchase the product. Effective descriptions generate sales by explaining the product’s unique value proposition as well as how it solves a frustrating problem.

Why are product descriptions important?

The buyer’s decision-making process initiates long before he or she arrives at your product pages. Whether you’re selling consumer products or business services, your target customer has likely encountered a problem and is looking for a solution.

A weak product description can be the Achilles heel of a marketing campaign.

Marketing assets like traditional advertisements, social media campaigns, blogs and videos generate awareness of your brand and drive readers to your ecommerce website or store. At that point, your product descriptions take over and perform the heavy lifting. It’s the product description’s job to get the buyer over the last hurdle.

A weak product description can be the Achilles heel of a marketing campaign. All of the other assets can work perfectly, but an uninformative product description can derail everything at the last minute. In fact, 98% of shoppers have stopped mid-way through a purchase because content on the page was incomplete or inaccurate.

Your marketing campaigns should increase interest in your offerings, while your product descriptions reinforce trust in your brand. Missing information, spelling errors, bad product photography and similar blunders can quickly erode trust in your brand. On the other hand, polished product descriptions make your company look legitimate and professional. You need that trust to make sales.

How service descriptions support B2B marketing

Marketers who are in the business of selling intangible services face a unique challenge. How do you describe something that has no physical form? What type of imagery do you use to showcase a service with little to no observable features?

Service descriptions can be more challenging to write, but they follow a pattern similar to descriptions of products. Namely, their purpose is to help buyers make a final decision.

If your organization has a sales team, there’s a good chance you already have everything you need to craft effective service descriptions. It’s best practice to align your descriptions with your sales pitch. This creates consistency for your buyers and ensures your sales team isn’t thrown off guard by an unfamiliar claim.

Service descriptions help to convert customers by showing them the solution to a challenge. For example, if buyers are looking for accounting services, they may want to know things like what types of reports the firm can produce, how frequently they will be available for consulting, etc.

Many of the best practices described below will apply to service descriptions. Always keep in mind the customer’s goals when describing the products or services you provide.

11 product description best practices that increase sales engagement

Effective product descriptions not only give customers information about the offering but also deliver psychological appeals. According to Harvard Business School professor Gerald Zaltsman, 95% of purchase decisions take place in the subconscious mind .

As you write product descriptions, pay close attention to the types of words and phrases you use. Action verbs and active phrasing are key to driving buyer behaviors. In addition, you’ll want to write unique descriptions for each of your products to avoid getting penalized for duplicate content on your site.

95% of purchase decisions take place in the subconscious mind.

Measure your descriptions against these 11 best practices to ensure they lead to the results you’re looking for:

1. Write with your ideal buyer in mind

To write a persuasive product description, you must understand your target audience. Refer to your buyer personas as you develop the marketing copy that will go on your product and service pages. This will help you understand which features and benefits appeal to the people who are most likely to buy from you.

Ask yourself these questions about your customers as you develop your descriptions:

• How will our customers find this product page?
• What problem are they trying to solve?
• What do they already know about our product?
• What benefits and features will they find most interesting?

As Seth Godin explained , one of the main goals of your marketing efforts is to help your loyal customers learn how to talk about your products with their friends and acquaintances. How can your product descriptions help them to spread the word about your offering?

Example: KitchenAid

KitchenAid demonstrates its understanding of buyer challenges by highlighting key benefits in the description of its stand mixer. Several of the bullet points describe use cases that the reader will easily relate with.

2. Avoid obvious statements

An effective product description should certainly contain a description of your product – but try to avoid the obvious. If you sell shoes, for example, you probably don’t need to explain that your products are garments designed to protect the customer’s feet from the ground.

We call these “water is wet” statements. They’re obvious facts that the reader should understand intuitively. If someone reading your product descriptions doesn’t understand these essentials, they probably aren’t yet ready to buy. You can use other types of marketing content like blogs and infographics to get them up to speed before they return to your product pages.

Example: Police Dog Pet Costume

This description for a police costume for a dog describes the costume as resembling a police uniform. It’s a bit redundant, don’t you think?

3. Be careful with superlatives

If your product is the easiest, the most advanced or the best in the world, then by all means tell your customers about it. But make sure you can back up your claims. If your claims are overly bold, skeptical readers will likely roll their eyes and walk away.

You could walk from Manhattan to Brooklyn and see half a dozen or more pizza shops that claim to offer the best pies in the city. Some even claim to be world famous. Not only are these types of statements unverifiable, but they’re also easy to refute. Ask anyone in Iowa City if they’ve ever heard of Di Fara Pizzeria and you’re likely to get more blank stares than salivating mouths.

If you’re going to claim to be the best, the most intuitive, the most affordable or any other superlative, make sure you have the data to back up your claim.

Example: Titleist

This product may be simple, but Titleist knows it’s speaking to dedicated golfers, not just casual enthusiasts. Its description uses strong, evocative language because it’s claiming to be the best on the market.

4. Appeal to your buyer’s senses

Creative writing helps buyers to imagine themselves using the product before they make a decision to buy. Evoke the five senses in your writing to spur these leaps of imagination. Expressive language elevates your product descriptions from bland characterizations to enticing depictions.

For example, clothiers selling to the fashionable crowd may describe how their outfits hang comfortably from the wearer’s frame. A maker of handcrafted fountain pens might describe how smoothly the nib distributes ink across the paper.

Spend some time using your product and make notes about the sensations you experience. How does the product make you feel? Which of your senses are involved in the experience? Work these impressions into your copy.

Example: David’s Tea

In a photo, dried tea leaves don’t look like much. David’s Tea uses product descriptions that prompt readers to imagine themselves taking a sip and inhaling the delicious aroma.

5. Tell your brand story

Every piece of marketing collateral you produce has a place within your brand story, and your product descriptions are no exception. Like any good story, the narrative of your brand should evoke an emotion in your customers.

Within your product descriptions, your brand story will likely relate to the overcoming of a challenge. As customers near the point in their journey when they’re ready to make a purchase, they’re likely anticipating how the product will make a change in their life. Your marketing copy should confirm that feeling and add to it.

Remember, you are not always the author of your brand story. Your customers are just as responsible for the direction your business takes. Find ways to include the customer in that journey and you’ll have a strong product description.

Example: Red Wing Shoes

Red Wing Shoes has been around since 1905, and the brand injects all of its marketing with those decades of experience. This product description calls on the craftsmanship of a bygone era to describe this modern product.

6. Align your descriptions with other marketing efforts

Product description writers shouldn’t work in a bubble. In fact, everyone working in marketing and sales should be on the same page when describing product benefits.

Look through your recent marketing campaigns and pull out the appeals that have worked well. Your product descriptions should confirm the findings laid out in your blogs and conform with the data you present in your infographics.

Customers will likely encounter your brand several times before they decide to purchase. If they see discrepancies between your ad campaigns, they may think twice about handing over their hard-earned cash.

Example: Squarespace

Squarespace aligns its traditional advertising messages with the copy found on its product pages. In the ad example, Squarespace claims that its websites can help businesses stand out in the marketplace. In the description example, the brand extends the claim by showing how its SEO tools increase brand awareness.

7. Provide social proof

When customers see how other buyers have benefitted from a product or service, they’re more likely to make a purchase. Including social proof such as testimonials and case studies in your product descriptions can nudge customers in the right direction.

For example, you could include customer snapshots of their purchased products in addition to your polished imagery. This can help potential buyers to imagine themselves using your product. In addition, some customers will always take marketing copy with a grain of salt. Social proof helps these customers see how your offerings perform in the real world.

Example: The Bullet Journal Method by Ryder Carroll

This example follows a tried-and-true method of social proof that book sellers have leveraged for decades. Above the description, in bold text are those coveted words: “New York Times bestseller.” Clearly, many people have already benefited from the advice within the book.

8. Optimize your text for readability

The length of your product description will depend on the offering and the assumed level of knowledge possessed by your target audience. Whether you need just a few sentences or a couple of paragraphs, you should ensure your descriptions are scannable.

Use bullet points, short paragraphs and bolded words to help potential buyers find the information they need immediately. If you need to go into detail about several aspects of your product, then consider writing a brief summary followed by more detailed paragraphs.

Example: GreenWorks

It’s just the facts in this scannable product description. Potential buyers are probably comparing several different mowers based on price point and features. This description clearly lays out the most important details to help customers make their purchase decision.

9. Don’t forget about SEO

Written product descriptions have two audiences: humans who will buy your products and search algorithms that will help humans find your product pages. Placing keywords in your product descriptions can help them to rank higher on search engine results pages (SERPs), as well as site-specific search results, such as on the Amazon marketplace.

Try to include one keyword in your product titles and one or two more in your bullet points. Think about the search queries that users might use to find your product and use similar language.

Check out our complete Amazon SEO guide to learn more.

Example: Bose

The product title for these headphones contains several keywords that potential buyers might search on Amazon. This way, a single description can capture buyers looking for Bluetooth-enabled products, noise-cancelling devices or headphones equipped with digital assistants.

10. Use a mix of media

Effective product descriptions are accompanied by enticing imagery. Use high-definition pictures and videos to support the claims made in your copy. For instance, if you can claim that your product makes a process more efficient, show this advantage in action.

For many shoppers, seeing is believing. The more concrete proof you can provide to support your claims, the better. This is also a great opportunity to repurpose some of your other marketing materials. For instance, if you have recorded a product demonstration, cut it up into short clips or gifs to display on your product page.

Example: Milk Bar

Milk Bar uses a combination of photography, high-definition gifs, illustrations and text to describe its birthday cake offering. Each piece works in tandem to appeal to the reader’s senses as well as their need for a quality product. Potential buyers have everything they need to make a decision.

11. Conduct split tests

Even the best marketing writers don’t create perfect copy the first time around. There is simply too much to know about your target audience. No matter how much prior research you conduct, you’ll likely miss something important.

So what happens when you have two or more great ideas, but you don’t know which will drive the most sales? That’s where split testing comes in. Using a tool like Google Optimize or enterprise email marketing platforms , you can test multiple versions of your copy and measure the results of each to determine which is best.

You might find that a certain turn of phrase leads to more conversions than another. But you won’t know until you test them both.

Repurposing descriptions as marketing collateral

Product descriptions should fit nicely into your content repurposing workflow . If you follow the best practices above, each of your descriptions will be a highly optimized summary of everything customers want to know about your offerings.

The next time you’re stuck for an appeal when creating new content, you can turn to your product descriptions for inspiration. In addition, the alignment between your product pages and content marketing will help steer potential buyers in the right direction.

By repurposing your product descriptions, you can extend the reach of your content and ensure that new buyers are exposed to your products’ features and benefits.

Alexander Santo

Share this article

Get our weekly newsletter

Alexander Santo is a Brafton writer living in Washington. ​He enjoys searching for the perfect cup of coffee, browsing used book shops and attending punk rock concerts.

Recommended Reading

Crafting B2B2C Copy That Speaks to the Right Crowd

What’s the quickest way to mess up your B2B2C marketing content?  Writing to the wrong audience.  In business-to-business-to-consumer (B2B2C) marketing, it’s all too easy to write copy with end customers in mind. However, your goal is to win over the business leaders who serve those people. Let’s look at the who’s-who of B2B2C marketing, how… Read more »

4 Content Writing Examples to Help You Reach Your Audience (Infographic)

Learn more about the different types of content writing with these detailed content writing examples.

The Content Marketer

Get the latest content marketing updates delivered directly to your inbox with our weekly newsletter.

How to Write a Business Plan: Step-by-Step Guide + Examples

Noah Parsons

24 min. read

Updated May 7, 2024

Writing a business plan doesn’t have to be complicated. 

In this step-by-step guide, you’ll learn how to write a business plan that’s detailed enough to impress bankers and potential investors, while giving you the tools to start, run, and grow a successful business.

• The basics of business planning

If you’re reading this guide, then you already know why you need a business plan . 

You understand that planning helps you: 

• Raise money
• Grow strategically
• Keep your business on the right track 

As you start to write your plan, it’s useful to zoom out and remember what a business plan is .

At its core, a business plan is an overview of the products and services you sell, and the customers that you sell to. It explains your business strategy: how you’re going to build and grow your business, what your marketing strategy is, and who your competitors are.

Most business plans also include financial forecasts for the future. These set sales goals, budget for expenses, and predict profits and cash flow. 

A good business plan is much more than just a document that you write once and forget about. It’s also a guide that helps you outline and achieve your goals. 

After completing your plan, you can use it as a management tool to track your progress toward your goals. Updating and adjusting your forecasts and budgets as you go is one of the most important steps you can take to run a healthier, smarter business. 

We’ll dive into how to use your plan later in this article.

There are many different types of plans , but we’ll go over the most common type here, which includes everything you need for an investor-ready plan. However, if you’re just starting out and are looking for something simpler—I recommend starting with a one-page business plan . It’s faster and easier to create. 

It’s also the perfect place to start if you’re just figuring out your idea, or need a simple strategic plan to use inside your business.

Dig deeper : How to write a one-page business plan

Brought to you by

Create a professional business plan

Using ai and step-by-step instructions.

Secure funding

Validate ideas

Build a strategy

• What to include in your business plan

Executive summary

The executive summary is an overview of your business and your plans. It comes first in your plan and is ideally just one to two pages. Most people write it last because it’s a summary of the complete business plan.

Ideally, the executive summary can act as a stand-alone document that covers the highlights of your detailed plan. 

In fact, it’s common for investors to ask only for the executive summary when evaluating your business. If they like what they see in the executive summary, they’ll often follow up with a request for a complete plan, a pitch presentation , or more in-depth financial forecasts .

Your executive summary should include:

• A summary of the problem you are solving
• A description of your product or service
• An overview of your target market
• A brief description of your team
• A summary of your financials
• Your funding requirements (if you are raising money)

Dig Deeper: How to write an effective executive summary

Products and services description

This is where you describe exactly what you’re selling, and how it solves a problem for your target market. The best way to organize this part of your plan is to start by describing the problem that exists for your customers. After that, you can describe how you plan to solve that problem with your product or service. 

This is usually called a problem and solution statement .

To truly showcase the value of your products and services, you need to craft a compelling narrative around your offerings. How will your product or service transform your customers’ lives or jobs? A strong narrative will draw in your readers.

This is also the part of the business plan to discuss any competitive advantages you may have, like specific intellectual property or patents that protect your product. If you have any initial sales, contracts, or other evidence that your product or service is likely to sell, include that information as well. It will show that your idea has traction , which can help convince readers that your plan has a high chance of success.

Market analysis

Your target market is a description of the type of people that you plan to sell to. You might even have multiple target markets, depending on your business. 

A market analysis is the part of your plan where you bring together all of the information you know about your target market. Basically, it’s a thorough description of who your customers are and why they need what you’re selling. You’ll also include information about the growth of your market and your industry .

Try to be as specific as possible when you describe your market. 

Include information such as age, income level, and location—these are what’s called “demographics.” If you can, also describe your market’s interests and habits as they relate to your business—these are “psychographics.” 

Related: Target market examples

Essentially, you want to include any knowledge you have about your customers that is relevant to how your product or service is right for them. With a solid target market, it will be easier to create a sales and marketing plan that will reach your customers. That’s because you know who they are, what they like to do, and the best ways to reach them.

Next, provide any additional information you have about your market. 

What is the size of your market ? Is the market growing or shrinking? Ideally, you’ll want to demonstrate that your market is growing over time, and also explain how your business is positioned to take advantage of any expected changes in your industry.

Dig Deeper: Learn how to write a market analysis

Competitive analysis

Part of defining your business opportunity is determining what your competitive advantage is. To do this effectively, you need to know as much about your competitors as your target customers. 

Every business has some form of competition. If you don’t think you have competitors, then explore what alternatives there are in the market for your product or service. 

For example: In the early years of cars, their main competition was horses. For social media, the early competition was reading books, watching TV, and talking on the phone.

A good competitive analysis fully lays out the competitive landscape and then explains how your business is different. Maybe your products are better made, or cheaper, or your customer service is superior. Maybe your competitive advantage is your location – a wide variety of factors can ultimately give you an advantage.

Dig Deeper: How to write a competitive analysis for your business plan

Marketing and sales plan

The marketing and sales plan covers how you will position your product or service in the market, the marketing channels and messaging you will use, and your sales tactics. 

The best place to start with a marketing plan is with a positioning statement . 

This explains how your business fits into the overall market, and how you will explain the advantages of your product or service to customers. You’ll use the information from your competitive analysis to help you with your positioning. 

For example: You might position your company as the premium, most expensive but the highest quality option in the market. Or your positioning might focus on being locally owned and that shoppers support the local economy by buying your products.

Once you understand your positioning, you’ll bring this together with the information about your target market to create your marketing strategy . 

This is how you plan to communicate your message to potential customers. Depending on who your customers are and how they purchase products like yours, you might use many different strategies, from social media advertising to creating a podcast. Your marketing plan is all about how your customers discover who you are and why they should consider your products and services. 

While your marketing plan is about reaching your customers—your sales plan will describe the actual sales process once a customer has decided that they’re interested in what you have to offer. 

If your business requires salespeople and a long sales process, describe that in this section. If your customers can “self-serve” and just make purchases quickly on your website, describe that process. 

A good sales plan picks up where your marketing plan leaves off. The marketing plan brings customers in the door and the sales plan is how you close the deal.

Together, these specific plans paint a picture of how you will connect with your target audience, and how you will turn them into paying customers.

Dig deeper: What to include in your sales and marketing plan

Business operations

The operations section describes the necessary requirements for your business to run smoothly. It’s where you talk about how your business works and what day-to-day operations look like. 

Depending on how your business is structured, your operations plan may include elements of the business like:

• Supply chain management
• Manufacturing processes
• Equipment and technology
• Distribution

Some businesses distribute their products and reach their customers through large retailers like Amazon.com, Walmart, Target, and grocery store chains. 

These businesses should review how this part of their business works. The plan should discuss the logistics and costs of getting products onto store shelves and any potential hurdles the business may have to overcome.

If your business is much simpler than this, that’s OK. This section of your business plan can be either extremely short or more detailed, depending on the type of business you are building.

For businesses selling services, such as physical therapy or online software, you can use this section to describe the technology you’ll leverage, what goes into your service, and who you will partner with to deliver your services.

Dig Deeper: Learn how to write the operations chapter of your plan

Key milestones and metrics

Although it’s not required to complete your business plan, mapping out key business milestones and the metrics can be incredibly useful for measuring your success.

Good milestones clearly lay out the parameters of the task and set expectations for their execution. You’ll want to include:

• A description of each task
• The proposed due date
• Who is responsible for each task

If you have a budget, you can include projected costs to hit each milestone. You don’t need extensive project planning in this section—just list key milestones you want to hit and when you plan to hit them. This is your overall business roadmap. 

Possible milestones might be:

• Website launch date
• Store or office opening date
• First significant sales
• Break even date
• Business licenses and approvals

You should also discuss the key numbers you will track to determine your success. Some common metrics worth tracking include:

• Conversion rates
• Customer acquisition costs
• Profit per customer
• Repeat purchases

It’s perfectly fine to start with just a few metrics and grow the number you are tracking over time. You also may find that some metrics simply aren’t relevant to your business and can narrow down what you’re tracking.

Dig Deeper: How to use milestones in your business plan

Organization and management team

Investors don’t just look for great ideas—they want to find great teams. Use this chapter to describe your current team and who you need to hire . You should also provide a quick overview of your location and history if you’re already up and running.

Briefly highlight the relevant experiences of each key team member in the company. It’s important to make the case for why yours is the right team to turn an idea into a reality. 

Do they have the right industry experience and background? Have members of the team had entrepreneurial successes before? 

If you still need to hire key team members, that’s OK. Just note those gaps in this section.

Your company overview should also include a summary of your company’s current business structure . The most common business structures include:

• Sole proprietor
• Partnership

Be sure to provide an overview of how the business is owned as well. Does each business partner own an equal portion of the business? How is ownership divided? 

Potential lenders and investors will want to know the structure of the business before they will consider a loan or investment.

Dig Deeper: How to write about your company structure and team

Financial plan

Last, but certainly not least, is your financial plan chapter. 

Entrepreneurs often find this section the most daunting. But, business financials for most startups are less complicated than you think, and a business degree is certainly not required to build a solid financial forecast. 

A typical financial forecast in a business plan includes the following:

• Sales forecast : An estimate of the sales expected over a given period. You’ll break down your forecast into the key revenue streams that you expect to have.
• Expense budget : Your planned spending such as personnel costs , marketing expenses, and taxes.
• Profit & Loss : Brings together your sales and expenses and helps you calculate planned profits.
• Cash Flow : Shows how cash moves into and out of your business. It can predict how much cash you’ll have on hand at any given point in the future.
• Balance Sheet : A list of the assets, liabilities, and equity in your company. In short, it provides an overview of the financial health of your business. 

A strong business plan will include a description of assumptions about the future, and potential risks that could impact the financial plan. Including those will be especially important if you’re writing a business plan to pursue a loan or other investment.

Dig Deeper: How to create financial forecasts and budgets

This is the place for additional data, charts, or other information that supports your plan.

Including an appendix can significantly enhance the credibility of your plan by showing readers that you’ve thoroughly considered the details of your business idea, and are backing your ideas up with solid data.

Just remember that the information in the appendix is meant to be supplementary. Your business plan should stand on its own, even if the reader skips this section.

Dig Deeper : What to include in your business plan appendix

Optional: Business plan cover page

Adding a business plan cover page can make your plan, and by extension your business, seem more professional in the eyes of potential investors, lenders, and partners. It serves as the introduction to your document and provides necessary contact information for stakeholders to reference.

Your cover page should be simple and include:

• Company logo
• Business name
• Value proposition (optional)
• Business plan title
• Completion and/or update date
• Address and contact information
• Confidentiality statement

Just remember, the cover page is optional. If you decide to include it, keep it very simple and only spend a short amount of time putting it together.

Dig Deeper: How to create a business plan cover page

How to use AI to help write your business plan

Generative AI tools such as ChatGPT can speed up the business plan writing process and help you think through concepts like market segmentation and competition. These tools are especially useful for taking ideas that you provide and converting them into polished text for your business plan.

The best way to use AI for your business plan is to leverage it as a collaborator , not a replacement for human creative thinking and ingenuity. 

AI can come up with lots of ideas and act as a brainstorming partner. It’s up to you to filter through those ideas and figure out which ones are realistic enough to resonate with your customers. 

There are pros and cons of using AI to help with your business plan . So, spend some time understanding how it can be most helpful before just outsourcing the job to AI.

Learn more: 10 AI prompts you need to write a business plan

• Writing tips and strategies

To help streamline the business plan writing process, here are a few tips and key questions to answer to make sure you get the most out of your plan and avoid common mistakes .  

Determine why you are writing a business plan

Knowing why you are writing a business plan will determine your approach to your planning project. 

For example: If you are writing a business plan for yourself, or just to use inside your own business , you can probably skip the section about your team and organizational structure. 

If you’re raising money, you’ll want to spend more time explaining why you’re looking to raise the funds and exactly how you will use them.

Regardless of how you intend to use your business plan , think about why you are writing and what you’re trying to get out of the process before you begin.

Keep things concise

Probably the most important tip is to keep your business plan short and simple. There are no prizes for long business plans . The longer your plan is, the less likely people are to read it. 

So focus on trimming things down to the essentials your readers need to know. Skip the extended, wordy descriptions and instead focus on creating a plan that is easy to read —using bullets and short sentences whenever possible.

Have someone review your business plan

Writing a business plan in a vacuum is never a good idea. Sometimes it’s helpful to zoom out and check if your plan makes sense to someone else. You also want to make sure that it’s easy to read and understand.

Don’t wait until your plan is “done” to get a second look. Start sharing your plan early, and find out from readers what questions your plan leaves unanswered. This early review cycle will help you spot shortcomings in your plan and address them quickly, rather than finding out about them right before you present your plan to a lender or investor.

If you need a more detailed review, you may want to explore hiring a professional plan writer to thoroughly examine it.

Use a free business plan template and business plan examples to get started

Knowing what information to include in a business plan is sometimes not quite enough. If you’re struggling to get started or need additional guidance, it may be worth using a business plan template. 

There are plenty of great options available (we’ve rounded up our 8 favorites to streamline your search).

But, if you’re looking for a free downloadable business plan template , you can get one right now; download the template used by more than 1 million businesses. 

Or, if you just want to see what a completed business plan looks like, check out our library of over 550 free business plan examples . 

We even have a growing list of industry business planning guides with tips for what to focus on depending on your business type.

Common pitfalls and how to avoid them

It’s easy to make mistakes when you’re writing your business plan. Some entrepreneurs get sucked into the writing and research process, and don’t focus enough on actually getting their business started. 

Here are a few common mistakes and how to avoid them:

Not talking to your customers : This is one of the most common mistakes. It’s easy to assume that your product or service is something that people want. Before you invest too much in your business and too much in the planning process, make sure you talk to your prospective customers and have a good understanding of their needs.

• Overly optimistic sales and profit forecasts: By nature, entrepreneurs are optimistic about the future. But it’s good to temper that optimism a little when you’re planning, and make sure your forecasts are grounded in reality. 
• Spending too much time planning: Yes, planning is crucial. But you also need to get out and talk to customers, build prototypes of your product and figure out if there’s a market for your idea. Make sure to balance planning with building.
• Not revising the plan: Planning is useful, but nothing ever goes exactly as planned. As you learn more about what’s working and what’s not—revise your plan, your budgets, and your revenue forecast. Doing so will provide a more realistic picture of where your business is going, and what your financial needs will be moving forward.
• Not using the plan to manage your business: A good business plan is a management tool. Don’t just write it and put it on the shelf to collect dust – use it to track your progress and help you reach your goals.
• Presenting your business plan

The planning process forces you to think through every aspect of your business and answer questions that you may not have thought of. That’s the real benefit of writing a business plan – the knowledge you gain about your business that you may not have been able to discover otherwise.

With all of this knowledge, you’re well prepared to convert your business plan into a pitch presentation to present your ideas. 

A pitch presentation is a summary of your plan, just hitting the highlights and key points. It’s the best way to present your business plan to investors and team members.

Dig Deeper: Learn what key slides should be included in your pitch deck

Use your business plan to manage your business

One of the biggest benefits of planning is that it gives you a tool to manage your business better. With a revenue forecast, expense budget, and projected cash flow, you know your targets and where you are headed.

And yet, nothing ever goes exactly as planned – it’s the nature of business.

That’s where using your plan as a management tool comes in. The key to leveraging it for your business is to review it periodically and compare your forecasts and projections to your actual results.

Start by setting up a regular time to review the plan – a monthly review is a good starting point. During this review, answer questions like:

• Did you meet your sales goals?
• Is spending following your budget?
• Has anything gone differently than what you expected?

Now that you see whether you’re meeting your goals or are off track, you can make adjustments and set new targets. 

Maybe you’re exceeding your sales goals and should set new, more aggressive goals. In that case, maybe you should also explore more spending or hiring more employees. 

Or maybe expenses are rising faster than you projected. If that’s the case, you would need to look at where you can cut costs.

A plan, and a method for comparing your plan to your actual results , is the tool you need to steer your business toward success.

Learn More: How to run a regular plan review

Free business plan templates and examples

Kickstart your business plan writing with one of our free business plan templates or recommended tools.

Free business plan template

Download a free SBA-approved business plan template built for small businesses and startups.

Download Template

One-page plan template

Download a free one-page plan template to write a useful business plan in as little as 30-minutes.

Sample business plan library

Explore over 500 real-world business plan examples from a wide variety of industries.

View Sample Plans

How to write a business plan FAQ

What is a business plan?

A document that describes your business , the products and services you sell, and the customers that you sell to. It explains your business strategy, how you’re going to build and grow your business, what your marketing strategy is, and who your competitors are.

What are the benefits of a business plan?

A business plan helps you understand where you want to go with your business and what it will take to get there. It reduces your overall risk, helps you uncover your business’s potential, attracts investors, and identifies areas for growth.

Having a business plan ultimately makes you more confident as a business owner and more likely to succeed for a longer period of time.

What are the 7 steps of a business plan?

The seven steps to writing a business plan include:

• Write a brief executive summary
• Describe your products and services.
• Conduct market research and compile data into a cohesive market analysis.
• Describe your marketing and sales strategy.
• Outline your organizational structure and management team.
• Develop financial projections for sales, revenue, and cash flow.
• Add any additional documents to your appendix.

What are the 5 most common business plan mistakes?

There are plenty of mistakes that can be made when writing a business plan. However, these are the 5 most common that you should do your best to avoid:

• 1. Not taking the planning process seriously.
• Having unrealistic financial projections or incomplete financial information.
• Inconsistent information or simple mistakes.
• Failing to establish a sound business model.
• Not having a defined purpose for your business plan.

What questions should be answered in a business plan?

Writing a business plan is all about asking yourself questions about your business and being able to answer them through the planning process. You’ll likely be asking dozens and dozens of questions for each section of your plan.

However, these are the key questions you should ask and answer with your business plan:

• How will your business make money?
• Is there a need for your product or service?
• Who are your customers?
• How are you different from the competition?
• How will you reach your customers?
• How will you measure success?

How long should a business plan be?

The length of your business plan fully depends on what you intend to do with it. From the SBA and traditional lender point of view, a business plan needs to be whatever length necessary to fully explain your business. This means that you prove the viability of your business, show that you understand the market, and have a detailed strategy in place.

If you intend to use your business plan for internal management purposes, you don’t necessarily need a full 25-50 page business plan. Instead, you can start with a one-page plan to get all of the necessary information in place.

What are the different types of business plans?

While all business plans cover similar categories, the style and function fully depend on how you intend to use your plan. Here are a few common business plan types worth considering.

Traditional business plan: The tried-and-true traditional business plan is a formal document meant to be used when applying for funding or pitching to investors. This type of business plan follows the outline above and can be anywhere from 10-50 pages depending on the amount of detail included, the complexity of your business, and what you include in your appendix.

Business model canvas: The business model canvas is a one-page template designed to demystify the business planning process. It removes the need for a traditional, copy-heavy business plan, in favor of a single-page outline that can help you and outside parties better explore your business idea.

One-page business plan: This format is a simplified version of the traditional plan that focuses on the core aspects of your business. You’ll typically stick with bullet points and single sentences. It’s most useful for those exploring ideas, needing to validate their business model, or who need an internal plan to help them run and manage their business.

Lean Plan: The Lean Plan is less of a specific document type and more of a methodology. It takes the simplicity and styling of the one-page business plan and turns it into a process for you to continuously plan, test, review, refine, and take action based on performance. It’s faster, keeps your plan concise, and ensures that your plan is always up-to-date.

What’s the difference between a business plan and a strategic plan?

A business plan covers the “who” and “what” of your business. It explains what your business is doing right now and how it functions. The strategic plan explores long-term goals and explains “how” the business will get there. It encourages you to look more intently toward the future and how you will achieve your vision.

However, when approached correctly, your business plan can actually function as a strategic plan as well. If kept lean, you can define your business, outline strategic steps, and track ongoing operations all with a single plan.

Noah is the COO at Palo Alto Software, makers of the online business plan app LivePlan. He started his career at Yahoo! and then helped start the user review site Epinions.com. From there he started a software distribution business in the UK before coming to Palo Alto Software to run the marketing and product teams.

Table of Contents

• Use AI to help write your plan
• Common planning mistakes
• Manage with your business plan
• Templates and examples

Related Articles

5 Min. Read

How To Write a Business Plan for a Life Coaching Business + Free Example

7 Min. Read

How to Write a Bakery Business Plan + Sample

3 Min. Read

What to Include in Your Business Plan Appendix

1 Min. Read

How to Calculate Return on Investment (ROI)

The Bplans Newsletter

The Bplans Weekly

Subscribe now for weekly advice and free downloadable resources to help start and grow your business.

We care about your privacy. See our privacy policy .

The quickest way to turn a business idea into a business plan

Fill-in-the-blanks and automatic financials make it easy.

No thanks, I prefer writing 40-page documents.

Discover the world’s #1 plan building software

• 400+ Sample Business Plans
• WHY UPMETRICS?

Reviews See why customers love Upmetrics

Customer Success Stories Read our customer success stories

Blogs Latest business planning tips and strategies

Strategic Planning Templates Ready-to-use strategic plan templates

Business Plan Course A step-by-step business planning course

Ebooks & Guides A free resource hub on business planning

Business Tools Free business tools to help you grow

• AI ASSISTANTS

Upmetrics AI Your go-to AI-powered business assistant

AI Writing Assist Write, translate, and refine your text with AI

AI Financial Assist Automated forecasts and AI recommendations

• TOP FEATURES

AI Business Plan Generator Create business plans faster with AI

Financial Forecasting Make accurate financial forecasts faster

Strategic Planning Develop actionable strategic plans on-the-go

AI Pitch Deck Generator Use AI to generate your investor deck

See how it works  →

AI-powered business planning software

Very useful business plan software connected to AI. Saved a lot of time, money and energy. Their team is highly skilled and always here to help.

- Julien López

• BY USE CASE

Starting & Launching a Business Plan your business for launch and success

Validate Your Business Idea Discover the potential of your business idea

Secure Funding, Loans, Grants Create plans that get you funded

Business Consultant & Advisors Plan seamlessly with your team members and clients

Business Schools & Educators Simplify business plan education for students

Students & Learners Your e-tutor for business planning

• Sample Plans

Write Products and Services Section of a Business Plan

Free Product & Service Description Worksheet

Ayush Jalan

• January 3, 2024

The core purpose of any business is to sell its offerings to its target customers.

To do this, you devise a plethora of strategies, tactics, and plans. While that is important, your sales ultimately depend on the value you provide to your customers through your products and services.

FYI, we have used the term “product” in this article to refer to both products and services unless mentioned otherwise.

Table of Contents

What is a Products & Services Section?

• What’s Included in the Products & Services Section
• 6 Tips on Writing a Good Products & Services Section

The products and services section of your business plan is where you mention and elaborate on your product range, product descriptions, pricing strategies, and other relevant details.

If you’re looking for partners or investors, this section plays a crucial role in persuading them. What you include in this section and how you write it can deeply impact whether or not your investors will seal the deal with you.

What’s Included in the Products and Services Section

In the products and services section of your business plan, you provide an overview of what you offer. Here are all the key elements your products and services section should cover:

1. Description

In this part, you include all the important details of your offerings. To write an accurate description, you can use the 5W2H method and answer these questions:

• Who can use this product? Mention the details of your ideal customer.
• What are the fundamental aspects of your product? These may include features, materials, ingredients, costs, dimensions, etc.
• When should someone use this product? Mention the occasion, or the season if it’s a seasonal product. You can also mention if it is designed for a specific purpose.
• Where should your customers use the product? Is it used indoors or outdoors? Specify these details.
• Why should your customers use your product? Mention how the product fulfills their needs.
• How should they use your product? Mention if there are any important user instructions.
• How much should they use it? Mention the ideal frequency of usage that’s essential to follow while using the product.

2. Pricing Procedure

A pricing strategy refers to the tactics you use to set a price for your products and services. There are several pricing strategies to choose from; you can pick the one that best fits your business model .

There are several things to consider before setting your price. Conduct a price analysis to get an idea of which pricing strategy works for you. Here are the steps involved in conducting a pricing analysis:

Determine cost of goods sold ( COGS ):

To calculate the total cost of your products and services, add all the expenses that you incurred before the sale. This will include costs such as manufacturing, labor, warehousing, distributing, packaging and labeling, marketing, etc.

Collect data about the price preferences of your customers:

Study your competitors’ prices:, consider all the legal and ethical aspects:.

After conducting a pricing analysis, you can look at these pricing strategies to choose one for your business.

3. Product Comparison

Regardless of what you’re selling, chances are someone in the market is already selling it. Unlike direct competitors, indirect competitors are those who sell similar products with slight variations.

Looking at your competitors can help you draw a comparison. To do that, examine their products and services and list down the similarities and differences.

Categorize this information into qualitative and quantitative aspects and organize it in tables. Finally, summarize it by including your advantages over competitors. Also, include how you will leverage them to balance your drawbacks.

4. Sales Literature

Sales literature refers to the promotional and informative materials you use to inform, clarify, and convince your customers to make buying decisions. These include brochures, catalogs, newsletters, price lists, customer testimonials, and case studies .

List out all the sales literature you use or plan to market your products and services; explain the information it conveys in brief. Another integral part of your sales literature is your website; explain how it contributes to your sales.

Perhaps you run a blog to promote your products and inform your customers about new releases. Maybe you sell your products and services directly from your website; in that case, your sales literature material will go there.

Sales literature is a quick and attractive tool to market your products and services.

5. Order Management

Order processing refers to the stages from the moment a customer places an order to the delivery of the product paired with after-sales services. Here, you explain how customers will order or buy the product and the delivery process.

For instance, if you are an online retail store , your order processing may include these stages:

• Order Placement
• Order processing
• Picking inventory
• Product Delivery
• Customer support

Depending on your offerings, your order processing workflow can have several stages. Describe each step and provide elaborate details about the execution.

6. Delivery Requirements

If the delivery or creation of your products and services needs any resources, you mention them here. These include equipment, vehicles, technology, and software.

For instance, a cafe owner will need kitchen equipment and IT solutions to run and provide its services. These should be mentioned in this part of the products and services section.

To cite another example, a consumer electronics company needs an IT infrastructure and production facility to create its products. For delivery, it needs vehicles and an online portal for customers to place and receive orders. All these are mentioned here.

7. Intellectual Properties

Mention all the IP documents that are related to your products and services. These include trademarks, seller permits, patents, other licenses, etc. Here you can also include any legal issues you are currently facing. Explain how you are dealing with the existing issues.

Further, mention the issues that might occur in the future and the counteractive measures you will take to prevent them. These include adding safety labels, and disclaimers, opting for insurance policies, etc.

8. Future Offerings

This is a chance to impress your investors or partners by briefing them about your future products or services. This shows that you’re already working on new ideas which help convey your potential and dedication.

If your future products are an extension of your current ones, you can rodenticide an outline of the improvements made. Mon whether your future products are under development or ready for launch.

6 Tips on Writing a Good Products and Services Section

1. Opt for a customer-centric approach:

Your goal is to cater to the needs of your customers through your products or services. Hence, write as if you are talking to your customers and directly addressing their issues. Point out how your product will make their lives better and easier.

2. Keep it simple:

Clearly represent the information. You can use bullet points and lists to convey your message. You can also use tables and charts to display product comparisons, strengths, etc.

3. Ditch buzzwords and industrial jargon:

Everyone who reads your business plan may not understand the industrial jargon and buzzwords. Therefore, it is best to skip the complicated lingo and use layman’s terms.

4. Specify market pain points:

Elaborate on the problems your target audience is facing. You can gather this data by conducting a market analysis. Mention the various pain points and the features of your product that address them. Consider citing examples and relevant statistics to display how your product solves a customer problem .

5. Emphasize your USP:

Highlight the benefits and the unique features of your products and services. Mention the things you do differently than your competitors and how you offer more value in comparison.

6. Flaunt your achievements:

Make sure to show off the business milestones you’ve achieved such as awards, news articles, customer reviews, etc. You can also include your past sales numbers, your customer base, and the projects you fulfilled. These instill trust and help investors, clients, and partners to make decisions.

Persuade Interest with a Products and Services Section

Products and services are the lifeblood of your business. An accurate representation of your offerings is crucial to scoring funding and demonstrating your potential to grow in the market.

Build your Business Plan Faster

with step-by-step Guidance & AI Assistance.

About the Author

Ayush is a writer with an academic background in business and marketing. Being a tech-enthusiast, he likes to keep a sharp eye on the latest tech gadgets and innovations. When he's not working, you can find him writing poetry, gaming, playing the ukulele, catching up with friends, and indulging in creative philosophies.

Related Articles

How to Write a Market Analysis for a Business Plan?

How to Write Pricing Strategy for Your Business Plan

How to Write a Customer Analysis Section for Your Business Plan

Reach your goals with accurate planning.

No Risk – Cancel at Any Time – 15 Day Money Back Guarantee

Popular Templates

• AI Content Shield
• AI KW Research
• AI Assistant
• SEO Optimizer
• AI KW Clustering
• Customer reviews
• The NLO Revolution
• Press Center
• Help Center
• Content Resources
• Facebook Group

How to Craft a Detailed Product Description in Business Plan

Table of Contents

A well-written product description in your business plan has the potential to attract investors and aid in the expansion of your company. 

In addition to describing your manufactured goods, your product description should emphasize the benefits of the goods. These benefits must align with your business. 

This article discusses developing a product description for a business plan and offers writing advice to help you craft your own.

What Is a Product Description in Business Plan?

The product description in the business plan describes all the products the company produces . 

A business plan product description describes a product or service, the firm supplying it, the problem it answers, the price, and the target market. Your product description should explain how your products differ from similar ones on the market or why they’re needed if no market exists.

Product descriptions should be factual and not promotional or salesy. As with other business papers, a product description should be in the first person, so it doesn’t appear overly promotional.

A product description in a business plan should be understandable, so the value of your products is clear.

What Does a Product Description Entail?

A product description introduces your product to potential investors and customers. The following items below should be included in the document when presenting your product to potential investors and customers.

1. Features and Benefits of the Product

Describe the features and benefits of your product. If your product addresses a problem for customers, this section should convey that information.

2. Your Product Vs. Competition

Take a look at the competition and see how your product stacks up. Make a case for why your product is better than your competition’s offerings.

3. Price of Product

Include the price of your product and how it compares to other similar products on the market in your pitch. The cost of production, the selling price, and the profit margin all need to be discussed.

4. Trademarks

You should add this information if you’ve had your product tested by professionals in the field. Including any certifications, intellectual property, copyrights, or patents is also a good idea. 

These awards and honors bolster your product’s credibility. As a result of being awarded patents and trademarks, your company is the only one that can make this product. This increases the product’s worth.

5. the Life Cycle of the Product

The idea, prototype, and expansion stages are part of a product’s life cycle. If you’re still in the concept stage, use this section to explain how you’ll build the product and why it’s necessary.

If you already have a prototype, discuss how you intend to evaluate it and manufacture your product. Include it here if you have been producing your product but need to grow to meet demand.

6. Distribution and Sales Strategy

Describe your product’s distribution strategy, including how and where it will be sold. Vendors, brick-and-mortar stores, and online retailers are examples of possible sales channels. If you already have a list of suppliers selling your goods, insert their names and addresses here.

7. Product Delivery to Final Consumer

How do you intend to get your product into the hands of your clients? All the manufacturing and shipping details should be included here. Include information on the manufacturer, such as their location and manufacturing time. It is advisable to outsource the production of your goods, including delivery schedules and methods.

8. Resources

Identify any unique equipment, materials, or technology required to produce your product.

9. Future Expansion Projections

As your firm grows, describe your product development and introduction plans.

10. Evidence in the Form of Photos and Brochures

Photos and brochures can help investors visualize your goods. Include pictures and brochures in an appendix to your business plan, but reference them in the product description.

With a business plan product description, you’ll enlighten the reader about the firm, the product, and its market .

A product description tells the reader what the product is. It also explains how it works, how it benefits the company and consumers, and how much it costs.

Abir Ghenaiet

Abir is a data analyst and researcher. Among her interests are artificial intelligence, machine learning, and natural language processing. As a humanitarian and educator, she actively supports women in tech and promotes diversity.

Explore All Product Description Generator Articles

T-shirt product description: essential tips to increase sales.

Product description is essential for the success of your t-shirt brand. A well-crafted t-shirt product description can be the difference…

• Product Description Generator

How to Create a Template for Product Description

Have you ever experienced customers asking many questions about a product you are selling through your store? Maybe because you…

Top Service Description Examples You Should Explore

The way you write your product or service descriptions has a direct effect on your sales figures. However, many small…

Want To Write SEO Friendly Product Descriptions?

A successful eCommerce business relies heavily on its product descriptions. A strong description gives you the ability to allay any…

Benefits of Effective Amazon Product Descriptions

Amazon is a powerful tool for sellers and entrepreneurs. As the competition on Amazon and the e-commerce world gets more…

Examples of Cool Product Descriptions for Clothes

The clothing business is growing, and demand has never been higher. It’s a lot of work bringing new ideas to…

4 steps to writing a compelling product description

Product descriptions are a key element in any marketing strategy for product/service-based businesses. Experts say that 87% of online buyers focus on the quality of product descriptions before they consider buying the product.

Then, product descriptions are also important for online visibility, as around 70% of all the search-related clicks go to the first five results on SERP (search engine results page). So, how do you write product descriptions that boost sales? 

We’ll dive into techniques and help you understand how to leverage tools like a summarizer and also show you proofreading tips. So, let’s begin. 

What is a product description?

A product description is the overview/summary of the product. The purpose of this description is to help the potential/target customer understand the benefits and features of the product. Usually, product descriptions are concise, and simple while covering the following points:

• The specificities and features.
• Potential benefits and advantages.
• Technology or techniques used to make the product
• Dimensions and weight.
• And how the quality was assured through smart techniques by the product maker.

So, a product description shouldn’t be overly long, but it shouldn’t hold back on key information either. 

Here are the four key steps you need to take and write an engaging product description. 

1: Write for your audience 

One of the first things that you need to do is write for your audience. This is one of the major problems that a lot of product managers run into, is not knowing their audience. If you are writing on your own, or working with a team, make sure you understand key aspects of your audience, such as:

• Research the key demographics.
• Analyze consumer feedback on existing/similar products.
• Analyze buyer personas to write in language/tone they understand.
• And address their needs, desires, and ailing points in your content.

Using these four main tips will not only allow you to write engaging descriptions but also save you from the hassle of revisions or rewriting. That’s because product descriptions are a hit-or-miss thing, and the more you plan it, the better it will be.

Therefore, understanding your audience isn’t only the key to writing engaging product descriptions, it’s the most important pillar of the process. That’s why you should focus on understanding your audience, and then write for them.

2: Mention how it benefits customers 

One of the best ways to connect with your target customer in a product description is by writing what they want to hear. You can talk about features all day long, but if your audience doesn’t know how it benefits them, they are never going to add that product to the cart or purchase it.

The idea is to focus on what ails them, trigger their desire, and make them go through the purchase to gain the benefits. That’s when the good old AIDA format comes into play. It includes:

Attention is the first part of the description, which should include a catchy headline or the key feature that captures the attention. Then, comes the Interest , aka the main selling point, or the feature/benefit that the user needs the most, i.e., pain relief from meds, or comfortable experience in a car seat.

Then, Desire kicks in, and shows users how the product you are selling can help them get just what they need. Lastly, the Action part tells the audience to go through with the purchase. And all of this should be focused on the benefit of the product to the user. 

3: Keep it concise and engaging 

Keeping it concise and engaging can be a challenge when it comes to product descriptions. Because you want to describe what your product can do, and that can take up a lot of words. Some experts say that the optimal length of any product description is between 150-300 words. 

Now, you don’t have to worry about it and write as long a product description with as many details as you want. Because you can always use a summarizer to make things shorter/more concise.  Here’s an example of an extensive product description:

If you look closely, you can see that it’s about 444 words, and that’s not exactly ideal, and no buyer’s going to read that much. Instead, what we need is a shorter version of the same description without compromising on the details. So, we can simply tap the Summarize button:

Now you can notice that the summarizer text is barely 100 words and covers all the important details. You can add more to complete the product description with a CTA (call to action). However, this shortening technique with a tool like Summarizer.org has many benefits, including:

• It keeps important details.
• It doesn’t compromise the quality.
• It makes it short and concise.
• Recreates summaries for various platforms.
• And provides various options to choose from.

Now, let’s say you wish to provide a listed version of the benefits or description of the product. Then you can also use the tool for that:

By simply tapping on the “ Show Bullets ” option, we can get a summary based on the key points mentioned in the description. This allows us to get a summary that could be used  

4: Proofread to ensure optimal quality 

Grammatical issues are one of the main things you might think of when seeing the word “proofread.” However, proofreading goes beyond just ensuring your content is grammatically apt, as it also helps you understand whether or not your text meets the quality necessary.

That’s why you need to set thorough quality assurance boundaries punctuation before submitting your product description. Here are a few things to check before you hit the submit button:

• Make sure it’s reaching the goal that you are aiming for.
• Check there are no grammatical errors or missing punctuation.
• Ensure there are no unnecessarily long or boring sentences.
• Keep each paragraph to 30-35 words and 3-4 lines max.
• And ensure each sentence is crisp and easy to read.

Proofreading like this will help you ensure your content is of the highest quality. 

Conclusion 

These are some of the top ways to write engaging product descriptions and boost your sales. It’s not only about writing something that stands out but also something that connects with your audience. Therefore, it needs to be clear, crisp, and concise. So, you shouldn’t shy away from using a tool like summarizer to achieve that goal. 

Nailing product descriptions is one of the first steps to getting your customers to buy. But what happens next? How do you keep your customers engaged during the onboarding process? We've got the course for you, so you never lose customers as they embrace your product fully.

Check out Product-Led Onboarding: Certified today to keep your buyers chugging along the customer journey with ease.

Written by:

Search Engine Optimization Specialist at Enzipe

Get industry insights

• Media Guide
• Ambassadors
• Privacy Policy
• Terms of Service

• Search Search Please fill out this field.

Business Plan: What It Is, What's Included, and How to Write One

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and behavioral finance. Adam received his master's in economics from The New School for Social Research and his Ph.D. from the University of Wisconsin-Madison in sociology. He is a CFA charterholder as well as holding FINRA Series 7, 55 & 63 licenses. He currently researches and teaches economic sociology and the social studies of finance at the Hebrew University in Jerusalem.

What Is a Business Plan?

A business plan is a document that details a company's goals and how it intends to achieve them. Business plans can be of benefit to both startups and well-established companies. For startups, a business plan can be essential for winning over potential lenders and investors. Established businesses can find one useful for staying on track and not losing sight of their goals. This article explains what an effective business plan needs to include and how to write one.

Key Takeaways

• A business plan is a document describing a company's business activities and how it plans to achieve its goals.
• Startup companies use business plans to get off the ground and attract outside investors.
• For established companies, a business plan can help keep the executive team focused on and working toward the company's short- and long-term objectives.
• There is no single format that a business plan must follow, but there are certain key elements that most companies will want to include.

Investopedia / Ryan Oakley

Understanding Business Plans

Any new business should have a business plan in place prior to beginning operations. In fact, banks and venture capital firms often want to see a business plan before they'll consider making a loan or providing capital to new businesses.

Even if a business isn't looking to raise additional money, a business plan can help it focus on its goals. A 2017 Harvard Business Review article reported that, "Entrepreneurs who write formal plans are 16% more likely to achieve viability than the otherwise identical nonplanning entrepreneurs."

Ideally, a business plan should be reviewed and updated periodically to reflect any goals that have been achieved or that may have changed. An established business that has decided to move in a new direction might create an entirely new business plan for itself.

There are numerous benefits to creating (and sticking to) a well-conceived business plan. These include being able to think through ideas before investing too much money in them and highlighting any potential obstacles to success. A company might also share its business plan with trusted outsiders to get their objective feedback. In addition, a business plan can help keep a company's executive team on the same page about strategic action items and priorities.

Business plans, even among competitors in the same industry, are rarely identical. However, they often have some of the same basic elements, as we describe below.

While it's a good idea to provide as much detail as necessary, it's also important that a business plan be concise enough to hold a reader's attention to the end.

How to Write a Business Plan

While there are any number of templates that you can use to write a business plan, it's best to try to avoid producing a generic-looking one. Let your plan reflect the unique personality of your business.

Many business plans use some combination of the sections below, with varying levels of detail, depending on the company.

Common Elements of a Business Plan

The length of a business plan can vary greatly from business to business. Regardless, it's best to fit the basic information into a 15- to 25-page document. Other crucial elements that take up a lot of space—such as applications for patents—can be referenced in the main document and attached as appendices.

These are some of the most common elements in many business plans:

• Executive summary: This section introduces the company and includes its mission statement along with relevant information about the company's leadership, employees, operations, and locations.
• Products and services: Here, the company should describe the products and services it offers or plans to introduce. That might include details on pricing, product lifespan, and unique benefits to the consumer. Other factors that could go into this section include production and manufacturing processes, any relevant patents the company may have, as well as proprietary technology . Information about research and development (R&D) can also be included here.
• Market analysis: A company needs to have a good handle on the current state of its industry and the existing competition. This section should explain where the company fits in, what types of customers it plans to target, and how easy or difficult it may be to take market share from incumbents.
• Marketing strategy: This section can describe how the company plans to attract and keep customers, including any anticipated advertising and marketing campaigns. It should also describe the distribution channel or channels it will use to get its products or services to consumers.
• Financial plans and projections: Established businesses can include financial statements, balance sheets, and other relevant financial information. New businesses can provide financial targets and estimates for the first few years. Your plan might also include any funding requests you're making.

The best business plans aren't generic ones created from easily accessed templates. A company should aim to entice readers with a plan that demonstrates its uniqueness and potential for success.

2 Types of Business Plans

Business plans can take many forms, but they are sometimes divided into two basic categories: traditional and lean startup. According to the U.S. Small Business Administration (SBA) , the traditional business plan is the more common of the two.

• Traditional business plans : These plans tend to be much longer than lean startup plans and contain considerably more detail. As a result they require more work on the part of the business, but they can also be more persuasive (and reassuring) to potential investors.
• Lean startup business plans : These use an abbreviated structure that highlights key elements. These business plans are short—as short as one page—and provide only the most basic detail. If a company wants to use this kind of plan, it should be prepared to provide more detail if an investor or a lender requests it.

Why Do Business Plans Fail?

A business plan is not a surefire recipe for success. The plan may have been unrealistic in its assumptions and projections to begin with. Markets and the overall economy might change in ways that couldn't have been foreseen. A competitor might introduce a revolutionary new product or service. All of this calls for building some flexibility into your plan, so you can pivot to a new course if needed.

How Often Should a Business Plan Be Updated?

How frequently a business plan needs to be revised will depend on the nature of the business. A well-established business might want to review its plan once a year and make changes if necessary. A new or fast-growing business in a fiercely competitive market might want to revise it more often, such as quarterly.

What Does a Lean Startup Business Plan Include?

The lean startup business plan is an option when a company prefers to give a quick explanation of its business. For example, a brand-new company may feel that it doesn't have a lot of information to provide yet.

Sections can include: a value proposition ; the company's major activities and advantages; resources such as staff, intellectual property, and capital; a list of partnerships; customer segments; and revenue sources.

The Bottom Line

A business plan can be useful to companies of all kinds. But as a company grows and the world around it changes, so too should its business plan. So don't think of your business plan as carved in granite but as a living document designed to evolve with your business.

Harvard Business Review. " Research: Writing a Business Plan Makes Your Startup More Likely to Succeed ."

U.S. Small Business Administration. " Write Your Business Plan ."

• How to Start a Business: A Comprehensive Guide and Essential Steps 1 of 25
• How to Do Market Research, Types, and Example 2 of 25
• Marketing Strategy: What It Is, How It Works, and How to Create One 3 of 25
• Marketing in Business: Strategies and Types Explained 4 of 25
• What Is a Marketing Plan? Types and How to Write One 5 of 25
• Business Development: Definition, Strategies, Steps & Skills 6 of 25
• Business Plan: What It Is, What's Included, and How to Write One 7 of 25
• Small Business Development Center (SBDC): Meaning, Types, Impact 8 of 25
• How to Write a Business Plan for a Loan 9 of 25
• Business Startup Costs: It’s in the Details 10 of 25
• Startup Capital Definition, Types, and Risks 11 of 25
• Bootstrapping Definition, Strategies, and Pros/Cons 12 of 25
• Crowdfunding: What It Is, How It Works, and Popular Websites 13 of 25
• Starting a Business with No Money: How to Begin 14 of 25
• A Comprehensive Guide to Establishing Business Credit 15 of 25
• Equity Financing: What It Is, How It Works, Pros and Cons 16 of 25
• Best Startup Business Loans for May 2024 17 of 25
• Sole Proprietorship: What It Is, Pros and Cons, and Differences From an LLC 18 of 25
• Partnership: Definition, How It Works, Taxation, and Types 19 of 25
• What Is an LLC? Limited Liability Company Structure and Benefits Defined 20 of 25
• Corporation: What It Is and How To Form One 21 of 25
• Starting a Small Business: Your Complete How-to Guide 22 of 25
• Starting an Online Business: A Step-by-Step Guide 23 of 25
• How to Start Your Own Bookkeeping Business: Essential Tips 24 of 25
• How to Start a Successful Dropshipping Business: A Comprehensive Guide 25 of 25

• Terms of Service
• Editorial Policy
• Privacy Policy
• Your Privacy Choices

How to write a business description that makes your business plan shine

Key takeaways

• A business description is a high-level overview of your company that you include in your business plan
• Your business description should entice readers—like lenders and investors—to look through the rest of your business plan to learn more about your company
• Business descriptions should be concise, error-free, and include only pertinent information about your company

Most successful businesses have one thing in common—they all have a buttoned-up business plan . It lays out the goals of the company, how a company will reach those goals, and when these goals will be realized. And while there are many sections of a business plan, a well-written business description is one of the most important parts.

However, some small business owners may not know how to write an effective business description . Luckily, there’s an easy formula to follow along with a few tips for writing an impactful business description .

What is a business description ?

Also called a company description , your business description summarizes what your company does, its purpose, and what makes it unique. It’s a critical component of your business plan and immediately follows your executive summary . Since it’s one of the first pieces of information a reader will see, it must make a great first impression.

The goal of your business description is to inform readers—like lenders , investors, potential partners, and even employees—how your business benefits consumers and what place your business has in the market. Your business description should give readers a clear understanding of your business and its functions.

Why is a business description important?

A business description is important because it gives readers a single place to learn the details about your company. A well-crafted business description can intrigue readers and encourage them to read the rest of your business plan .

Investors or lenders will have one major thing on their minds—return on investment. They want to know if your business has the potential to be successful and whether it’s worthy of their investment dollars.

Your business description is your first opportunity to wow these investors or lenders and show them why your business will be profitable. It can pique their interest and push them to dig into the rest of your business plan .

What to include in a business description

An effective business description should include information that tells readers exactly what your company does, who is in charge of operations, and what will make your company successful. It should also tell readers what makes you different from competitors and why customers will come knocking at your door with their business.

Below, we’ve outlined every piece of information you should include in your business description . We’ve also created a hypothetical scenario for a hamburger restaurant and added a business description example for each step .

Business name

List the official name of your business as it’s registered with your state. Also include the names of the owner(s) and other key members of your management team .

Example: Jay’s Organic Burger Joint, owned and operated by Jacob Doe

Business goals

Detail the purpose of your business and what you’re aiming to achieve with your venture. These should be realistic short- and long-term goals.

Example: Jay’s aims to grow local brand awareness by 20% and forge partnerships with four additional local suppliers in the next year. The company also intends to expand operations to an additional location in the Chicago area and is seeking an investment of $200,000 in exchange for equity in the company.

Target customers

Have a thorough understanding of who your target market is. Explain who you’re selling to and why they will buy your product or service. Dig deeper into their needs and motivations so you can predict their purchase behaviors. Identifying the demographics of your target market, such as age group, income, and interests, can give you a competitive edge and attract loyal customers.

Example: Jay’s understands that its customers are health-conscious but have busy lives with little time for preparing healthy meals.

Competitive advantages

Describe what makes your business unique from your competitors. Readers should understand why your company will succeed and make you a front-runner in the market.

Example: Unlike its competitors, the restaurant alleviates the target audience’ s pain points by providing quick and easy meals that are also healthy for the entire family.

Business location and opening date

Include where your company is headquartered and where you will be conducting business. Also, share when you opened your business or when you plan on opening if you haven’t already.

Example: Jay’s Organic Burger Joint is headquartered in Chicago, Illinois and opened operations in April 2019.

Mission statement

Your mission statement tells readers why your business exists. It should highlight the motivations for starting your business and summarize your product or service, target consumers, and why you’re unique.

Example: Jay’s Organic Burger Joint is a fast-casual restaurant that serves the highest quality hamburgers to hungry and health-conscious customers in Chicago, Illinois.

Products or services

Highlight what products or services you’re offering customers. Also, discuss the benefits your products or services provide and what makes them different from competitors.

Example: The menu focuses on healthy meals using only organic ingredients and grass-fed beef.

Business structure

List what type of business you’re operating. For example, this could be a sole proprietorship , partnership, limited liability company (LLC), or another type of corporation.

Example: The business is a limited liability company owned by Jacob Doe.

Once you’ve included all of these details in your business description , it should look something like this:

Jay’s Organic Burger Joint is a fast-casual restaurant that serves the highest quality hamburgers to hungry and health-conscious customers in Chicago, Illinois. Jay’s understands that its customers are health-conscious but have busy lives with little time for preparing healthy meals.

Unlike its competitors, the restaurant alleviates target customers’ pain points by providing quick and easy meals that are also healthy for the entire family. Jay’s uses local ingredients sourced from farmers in the greater Chicago area. The menu focuses on healthy meals using only organic ingredients and grass-fed beef.

The business is a limited liability company owned by Jacob Doe. Jay’s Organic Burger Joint is headquartered in Chicago, Illinois, and opened operations in April of 2019.

Jay’s aims to grow local brand awareness by 20% and forge partnerships with four additional local suppliers in the next year. The company also intends to expand operations to an additional location in the Chicago area and is seeking an investment of $200,000 in exchange for equity in the company.

Learn how to reach new customers, cultivate customer loyalty, and elevate your brand with this guide on online marketing for small business .

How to write a business description

Not all business descriptions are made the same. There are a few tips to consider if you want your business description to stand out and wow your readers.

Have an elevator pitch

Your business description should kick off with an elevator pitch . An elevator pitch is typically spoken, but it helps to quickly summarize your company at the start of your business description. This pitch quickly covers the key aspects of your business and should be brief and persuasive. You should get straight to the point and immediately give readers your value proposition.

For example, Jay’s Organic Burger Joint could write something like “We serve the highest quality hamburgers and provide a convenient alternative for health-conscious customers who are always on the go.”

Keep it high level

Although you want your business description to be informative, you want to limit the amount of information you include in this section of your business plan. Keep it high-level and avoid going into too much detail. The subsequent sections of your business plan will cover the finer details. Remember, the goal is to give just enough information to entice readers to go through the rest of your business plan .

Show your excitement

This is your opportunity to show your excitement and give your business plan a human touch. Your business plan isn’t only selling your product or service to investors—it’s also selling you. Let your passion shine through as you explain why you started the company and what you aim to achieve.

Keep it short and concise

It can be easy to get carried away and make your business description too long. Avoid being too wordy, which can overwhelm the reader.

Business descriptions should only be a few paragraphs long for most types of companies. Remember, you’re trying to intrigue the reader and encourage them to read the rest of your business plan . If it’s too long, you’ll lose the reader’s attention.

Proofread for errors

Grammatical errors and misspellings can tarnish your company description . Even if you include all the right information, you won’t impress readers if it’s riddled with errors.

Promote your new business

Get a free Yelp Page to help local consumers find you.

Engage readers with your business description

A fine-tuned business description will kick off your business plan on a high note. Whether you’re launching a startup or already have your business up and running, knowing how to write a business description will provide a high-level overview of your company and can help you secure investment dollars from potential investors or lenders .

The information above is provided for educational and informational purposes only. It is not intended to be a substitute for professional advice and may not be suitable for your circumstances. Unless stated otherwise, references to third-party links, services, or products do not constitute endorsement by Yelp.

Related stories

How to write a business plan and why you need one

Learn how to write a business plan, including traditional and lean startup plans, and discover why these documents are crucial for success.

Cash flow management: 5 mistakes to avoid to stay financially fit

Learn how cash flow management gives your business the best chance to succeed. Plus, discover five common pitfalls to avoid.

Lead generation ideas for small business owners

Use these four lead generation strategies to get contact information for customers most likely to buy from you, then follow up to make the sale.

Business Description: Your Guide To Write One With Examples!

“How does one tailor a business description for social media?”

“What elements should this business description include?”

“Where is the ideal place to insert it?”

  Conveying your business’s uniqueness within a limited character count poses a puzzle.

The demand for business descriptions arises across platforms, be it your website, online directories, or an “about the company” segment at an event. Your mission statement and brand story provide a foundation, but what truly matters is a compelling business description. This description encapsulates your business essence, setting it apart from competitors concisely.

This blog post sheds light on what a business description entails, outlining the steps and insights required to craft one effectively.

What is a Business Description?

A business description in your business plan highlights key aspects of your company, like its purpose and uniqueness. Depending on the complexity, it offers an overview of your business idea’s scope, from a few sentences to several pages.

Usually following the executive summary , the business description, often called the company description, explains your business’s nature and distinctiveness. It covers details like company location, ownership, and employee count. It also presents a clear vision, goals, and mission statement. Future plans, products, and target markets are outlined.

For a straightforward plan, briefly touch on your industry and product, followed by a concise explanation of your business’s success factors. Keep it updated as your business grows, as investors and lenders must understand your concept, customer benefits, and market positioning.

Why Do We Need a Business Description?

Having a solid business description is like having a key that unlocks essential information about your company. Let’s look at why you need a business description:

• Introduction Hook: Just like a captivating start to a story, a business description serves as an introduction that grabs the reader’s attention and makes them want to know more.
• Engaging Investors and Lenders: Investors and lenders are interested in making smart choices with their money. A strong business description convinces them that your business is worth investing in by highlighting its potential for success and profitability.
• First Impression Matters: Your business description acts as a first impression. It’s like meeting someone for the first time – you want to leave a positive and memorable impression that sticks.
• Explaining What Your Company Does: A business description explains the core activities of your company in simple terms. It helps readers understand your products or services and how they benefit customers.
• Showcasing Values and Goals: The description isn’t just about the “what,” but also the “why.” It outlines your company’s values, goals, and aspirations. This gives readers insight into the bigger purpose behind your business.
• Employee Understanding: Your employees are like the gears that keep your business running smoothly. A clear business description helps them understand the company’s mission, values, and overall direction, creating a more motivated and aligned team.
• Comprehensive Overview: Think of the business description as a mini-summary of your entire business plan. It provides a quick yet comprehensive understanding of your business’s key aspects, saving time for readers.
• Starting Point for Business Plan: The business description sets the tone for your entire business plan. The beginning prepares readers for the more detailed information that follows.

Questions To Ask Before Writing a Business Description

A well-crafted business description should address the following questions to provide a comprehensive overview of your company:

“What is the name of your business?”

Clearly state the name of your business to establish its identity.

“What does your business do?”

Describe the products or services your business offers. Be concise but informative.

“What value does your business provide?”

Explain how your products or services solve a problem or fulfil your target audience’s needs.

“Where is your business located?”

Provide the physical location of your business, which is especially important for local businesses.

“Who is your target audience?”

Define your ideal customers by describing their demographics, preferences, and needs.

“Why is your business unique?”

Highlight what sets your business apart from competitors. This could be your unique selling points, features, or benefits.

“How will your business operate?”

Detail your business’s operations, including manufacturing processes, distribution channels, and other logistical aspects.

“What are your business goals?”

Share your short-term and long-term goals, indicating where you want to take your business.

“How does your business plan to make a profit?”

Explain your revenue model and how you intend to generate income.

“What is your business structure?”

Describe the legal structure of your business, whether it’s a sole proprietorship, partnership, LLC, or corporation.

“Who are the key personnel?”

Introduce the key individuals involved in your business, including management and founders.

“How does your business envision its future?”

Provide a vision statement that outlines your aspirations for the company in the long run.

“What is your business’s mission?”

Share your mission statement, which encapsulates the purpose and values of your business.

“Why should customers choose your business?”

Convey the benefits of choosing your products or services over your competitors.

“What is your marketing strategy?”

Outline how you plan to reach and engage your target audience through marketing and advertising.

“What is your brand’s identity and voice?”

Describe your brand’s personality and tone, which should be reflected in your business description.

Answering these questions thoroughly and concisely in your business description will give you a well-rounded picture of your company’s identity, purpose, and potential.

How to Write a Business Description?

Writing a business description might sound daunting, but it’s a crucial step in presenting your business in the best possible light. Your business description is like a window into your company, showing potential investors and customers what you’re all about. In this guide, we’ll break down the process into simple steps anyone can follow.

Step 1: Research the Industry and Competition

Before you start writing, gather information about the industry you’re entering and your competitors. You can find valuable insights from news sources, trade magazines, studies, and experienced individuals in the field. Understanding the industry’s current and future trends will help you create a relevant and compelling description.

Step 2: Describe the Basics

Introduce your business by providing essential information such as your business name, location, structure, management, and number of employees. This gives readers a clear starting point to understand what your business is all about.

Step 3: Craft a Problem Statement

Identify a common problem your target audience faces and explain how your products or services will solve it. Highlight the benefits and unique features that set your brand apart from competitors.

Step 4: Identify Your Target Market

Describe your ideal customers’ age, location, values, income, and preferences. Understand their needs and tailor your description to resonate with them.

Read More:  Market Targeting: Definition, Importance & Strategy!

Step 5: Explain Your Plans for Manufacturing and Distribution

Detail how your products or services will be made and delivered to customers. If you have a team in mind, list employees, suppliers, and vendors involved.

Step 6: Detail Your Business’s Profitability

Explain how your business will generate revenue and the key indicators you’ll use to measure success. This shows potential investors that your business is not just a concept but a viable opportunity.

How to Write a Business Description For Social Media?

When creating a business description for social media, remember that you can adapt it for different platforms. Each platform has its character limit, so you should adjust your description slightly for each.

Facebook: Tell people about your business on Facebook. Share what you do, what you offer, and what makes you awesome. Make it interesting so folks want to know more.

Instagram: In your Instagram bio, explain your business in a snappy way. Show off your products, your style, and why people should care. Keep it catchy!

Twitter: Write a short and snazzy Twitter bio. Mention what your business does, throw in some keywords, and make it cool enough for the quick Twitter crowd.

LinkedIn: On LinkedIn, be a pro. Tell about your business pro-style – what you’re great at and achieved. It’s B2B, so show your expertise.

YouTube: YouTube’s the deal. Describe your channel – what you make, why folks should watch. Excite them with your words. Make them hit that play button!

These descriptions give people a quick peek into your business. Make them engaging, concise, and tailored to each platform’s requirements.

Best Practices For Writing a Business Description

1. have an elevator pitch.

Start your description with a concise elevator pitch that summarizes your business’s key aspects. This should immediately grab readers’ attention and communicate your unique value proposition.

2. Keep It High Level

While you want to provide essential information, avoid overwhelming readers with excessive details. You can save the finer points for other sections of your business plan.

3. Show Your Excitement

Let your passion shine through in your description. Explain why you started your business and the goals you’re eager to achieve. This personal touch can resonate with readers.

4. Keep It Short and Error-Free

Avoid lengthy descriptions that might lose your reader’s attention. Also, proofread your description to eliminate grammatical errors and typos.

5. Choose Active Voice

Write in active voice to make your description energetic and engaging. Use strong verbs that convey action and movement.

6. Stay On-Brand

Write in a tone that matches your brand identity. Whether your brand is casual or formal, your description should reflect your unique style.

7. Include Keywords

Use keywords related to your industry to optimize your description for online platforms. This helps your business get noticed in online searches.

Final Thoughts

Even if writing the business description part of your plan feels like a chore, make it a fun chore. It’s your shot to talk excitedly about your business idea and get those money folks (lenders and investors) excited too.

It doesn’t matter if you’re kicking off or already in the game; learning to jot down a business description gives folks a quick peek into what your company’s all about.

Happy Writing!

Further Reads: 

Business Contracts: What are the Types & the Benefits?

How To Plan a Business Trip Like an Expert? (Tips & Essentials)

Technical Description: What is it & How to Write it? (Steps Included)

Small Business Trends That’ll Continue To Stay in 2023!

Project Life Cycle & Its 5 Important Phases You Must Know!

Lead Generation Tools & Software To Use in 2024!

Related posts

Maximizing digital agency success: 4 ways to leverage client portals, how to create an effective marketing strategy for your business, distributor agreement: what is it & how to create one, 13 business goals you must set in 2023, burn-up charts: what are they and how to create one, cornell note-taking: what is it and how to do it.

About Bit.ai

Bit.ai is the essential next-gen workplace and document collaboration platform. that helps teams share knowledge by connecting any type of digital content. With this intuitive, cloud-based solution, anyone can work visually and collaborate in real-time while creating internal notes, team projects, knowledge bases, client-facing content, and more.

The smartest online Google Docs and Word alternative, Bit.ai is used in over 100 countries by professionals everywhere, from IT teams creating internal documentation and knowledge bases, to sales and marketing teams sharing client materials and client portals.

👉👉Click Here to Check out Bit.ai.

Recent Posts

Personal user manual: enhance professional profile & team productivity, 9 document management trends every business should know, ai for social media marketing: tools & tactics to boost engagement, a guide to building a client portal for your online course, knowledge management vs document management, 11 must-try ai tools for market research in 2024.

Call Us (877) 968-7147

Most popular blog categories

• Accounting Tips
• Payroll Tips
• Accountant Professionals Tips

How to Write a Company Description for a Business Plan

Nobody does what you do better than you, but … what is it that you do again? You might have trouble describing your business in one sentence or find yourself at a loss for words when writing a company description. Knowing how to write a company description for a business plan helps you communicate with lenders, investors, employees, and potential customers.

How to write a company description for a business plan

You put a lot of thought into your original business concept. Now you need to know how to succinctly describe your business.

Where better to describe your business than in the company description business plan?

What is a business plan?

A company description is just one part of your small business plan . The business plan outlines your goals and how to achieve them.

According to the Small Business Administration , a successful business plan should include the following:

• Executive summary
• Company description (Bingo)
• Small business market analysis
• Organization and management details
• Service or product information
• Marketing and sales overview
• Funding request
• Financial projections

Another thing to note about business plans is that you can’t write one and be done. Your business is always changing. And that means your business plan is always changing, too. Be sure to update it regularly.

What is a business description?

A company description provides an overview of key aspects of your business, like what you do and what makes your business unique. Anyone reading your business description should have no problem understanding the scope of your business.

Lenders and investors should see how your business has a place in the market, as well as its benefits to future customers.

Your business’s mission statement is the part of your company description that you want the public to see. And, you should include your vision statement, too.

Regularly update your company description as your business expands or changes.

Writing your company description

You need to know how to pitch to investors and lenders to captivate their interest. Your description should answer who, what, where, when, why, and how right off the bat.

So, do you know how to write a business description? We’ll walk you through the 5 W’s (and 1 H) to consider when drafting your first copy.

Who are you? Who is your business? Verify that the name of your business is clear in the business description section of your business plan. And, include your name (and the names of any other owners) because lenders and investors want to know the entrepreneur behind the business.

Who is your target customer? Who are you selling to? When describing your business, make sure you know who you appeal to. If you don’t know your target customer, there’s a chance that nobody will be interested in your business.

What is your product or service? If lenders and investors can’t understand what you’re selling or how it’s significant, they may pass on your concept. Be clear, narrow, and focused when telling lenders and investors about your business.

What are your goals for your business? Set realistic short-term and long-term goals. For example, if you plan on selling $20,000 worth of products by the end of the second month, include the goal in your description.

Where is your business located? If you are currently operating your business, list the address. Likewise, make sure you state where you want your business to be if you are still looking for office space.

When will you implement your business plan and see results? Include when you want to open your business (or when you opened it).

When do you plan on achieving your goals? Also, talk about the timeline for your main goals (both short-term and long-term).

When do you think you’ll leave your business? Don’t forget to discuss your exit strategy . Whether you plan on retiring in 20 years, selling your company in 15 years, or closing it down in 10 years, be clear about when you plan on parting ways.

Why would potential customers want to buy from you? Explain why you are different from the competition. This is where you can describe your business’s originality. Lenders and investors want to know why consumers would want to make a purchase at your small business instead of a competitor’s.

Why are you in business? Also make sure you include your business’s mission statement . A mission statement defines why you’re in business and what your goals are.

How are you going to structure your business? Which business structure will you form: sole proprietorship, LLC, partnership, or corporation? Explain your structure decision, too. Mention any small business advisor (e.g., business attorney) you work with to help with registration requirements, regulations, and liabilities.

How are you going to achieve the goals you set for your business? Are you going to hire employees to help you, or will you handle all responsibilities on your own? Talk about what steps you’ll take to reach the goals you outline.

How do you picture your company in the future? Include your business’s vision statement in your company description. A vision statement is an internal description that states what you want your business to look like in the future.

Business description example

Still unsure? Take a look at this business description example for more information:

Ann’s Office Hut delivers office supplies to small businesses in Boston, Massachusetts. The business is structured as a sole proprietorship, operating under entrepreneur Ann Smith. Ann’s Office Hut is located in Boston, Massachusetts and will begin operations in February. Ann’s Office Hut recognizes the busy lives of small business owners and wants to bring essential items like printers, cash registers, paper, ink, and envelopes to their doorsteps. Ann’s Office Hut will conveniently provide office supplies to small business owners who are short on time. Other office supply stores cannot match the convenience Ann’s Office Hut will give.

The business hopes to have gross sales of $30,000 by the end of one year and $95,000 by the end of five years. To achieve this goal, Ann’s Office Hut plans on offering referral credit.

Company description business plan: Final tips

Writing the business description portion of your business plan should be fun … even though it may feel more like a chore. But, this is your opportunity to talk about your business idea and get other people (i.e., lenders and investors) on board.

Here are a few final tips to keep in mind when learning how to write a company description:

• Answer the 5 W’s and 1 H
• Keep it short, simple, and easy to read
• Proofread, proofread, proofread
• Determine whether it’s interesting

This article has been updated from its original publication date of December 9, 2016. 

This is not intended as legal advice; for more information, please click here.

Get the latest small business news delivered straight to your inbox!

You may also be interested in:

• Customer Reviews
• Net 30 Account
• Wise Services
• Steps & Timeline
• Work at a Glance
• Market Research at a Glance
• Business Plan Writing Services
• Bank Business Plan
• Investor Business Plan
• Franchise Business Plan
• Cannabis Business Plan
• Strategic Business Plan
• Corporate Business Plan
• Merge and Acquisition Business Plan (M&A)
• Private Placement Memorandums (PPM)
• Sample Business Plans
• Professional Feasibility Study
• PowerPoint Presentations
• Pitch Deck Presentation Services
• Business Plan Printing
• Market Research
• L-1 Business Plan
• E-2 Business Plan
• EB-5 Business Plan
• EB-5 Regional Centers
• Immigration Attorneys
• Nonprofit Business Plan
• Exit Business Planning
• Business Planning
• Business Formation
• Business License
• Business Website
• Business Branding
• Business Bank Account
• Digital Marketing
• Business Funding Resources
• Small Business Loans
• Venture Capital
• Net 30 Apply

How to Write Products and Services Section of Business Plan

Business plan products and services section  gives details of your product or service, how it is different and if you have a reliable manufacturing or sourcing system for the product. 

How do you write the business plan products and services section?

Key questions to answer in the business plan products and services section.

Show competitive advantages of your product or service. Convince investors or lenders that you can outperform competition; you’ll likely get the funding you need. 

Use this article as a guide when writing the product and service section of your business plan.

Hire business plan writer now!

Your goal in writing the business plan products and services section should be to explain your offering in simple, layman’s terms. 

Anyone reading about your products or services should be able to understand:

• what you are offering
• what is the unique value you are offering
• how will you do quality assurance 
• How will you meet the increased demand?

The product service plan section should include the following.

Explain Your Products or Services

Explain your product or service in detail. Try to include a brief about all the aspects of your product or service that will improve the consumers’ lives or increase business efficiency. 

Show why your Product is Unique 

Talk about the distinctive features of your product. Show what competitors are offering and explain how your offer is unique and better. 

Emphasize the Benefits 

Your hopes of capturing a share of the market depend on the benefits your product or service provides. Describe the benefits in terms customers can relate to. 

For example, if you are offering the same features as the competitors but at a low price, highlight the low price.

Manufacturing, Sourcing, and Fulfillment 

Explain if you will manufacture your products or you’ll source. If you are going to source the product from a manufacturer, how will you select the manufacturer?

Also, briefly explain the product supply chain and fulfillment process. Potential lenders may want to know if your supply chain and fulfillment system can handle high demand. 

Be Short and Concise 

Keep to the point. The Product service section in a business plan is about introducing your offering with a fair amount of detail. However, don’t make it lengthy.

You will discuss your product or service in every section of the business plan one way or another.

Show your Expertise 

A product coming from an acknowledged expert gets more acceptance in the market. 

Show your education or experience with the offering. If your business has any patents, trademarks, or special permits, make sure you showcase them. That way, you can establish yourself as an authority. 

For a sole proprietor, you can include your experience or education. For example, when an athlete starts a fitness brand, it becomes a quick success. However, other similar businesses face struggles at the start. 

Explain in Simple Language 

Make a detailed plan of product service but explain everything in simple language. 

Every industry has its jargon and buzzwords. People familiar with your product can understand the technical details, but the lenders or investors may not know much about your industry.  

Here is a pro tip for this. When you have written the product or service description, ask a trusted friend or family member to read it and explain your product to you. That way, you can know if your product service part of the business plan is generally understandable. 

What is your Exclusive Advantage? 

Your exclusive advantage is what makes you stand out. You spotted your exclusive advantage when you developed your product or service offering. Explain that exclusive advantage here. 

If you think there is no exclusive advantage, see if you can lower your price or provide better after-sale support. Even if your exclusive advantage is indirectly related to your product, it can help you get ahead fast. 

Assume you are talking to the customer

When you walk into the customer’s shoes, you can understand their needs better. 

Assume you are talking to an actual customer and convincing them to buy from you. They know your competition and they know what they need. You will have to talk in layman’s terms without missing any important details. You will need to focus on your competitive advantage. 

You will write an excellent product or service section when you think you are explaining it to a potential customer.

• Do you have a ready product or an under-development product?
• When will you bring new products or services to the market?
• What is the unique advantage of your product or service?
• What are the competitive advantages of your product or service?
• Does your product or service have any competitive disadvantages?
• Are you bound to charge a price in a short range, or can you charge a different price with a better offer?
• Are your business operating costs reasonable?
• Will you manufacture your products or buy from a supplier? 
• Do you sub-contract the parts of your product to different manufacturers and assemble the product at your facility?
• Will you be able to keep a steady and reliable supply chain for your product when demand rises?

WiseBusinessPlans is one of the best business plan writing companies !

In the products and services section, describe your offerings in detail, including their features, benefits, and uniqueness. Include information on pricing, any proprietary technology or intellectual property, and how your products or services meet customer needs.

Differentiate your products or services from competitors by highlighting their unique selling points, such as superior quality, innovative features, customizable options, or exceptional customer service. Explain how these differentiators give you a competitive advantage.

Yes, it’s important to outline your pricing strategy in the products and services section. Explain your pricing model, whether it’s based on cost-plus, value-based, or market-based pricing. Justify your pricing strategy by considering factors such as market demand, competitors’ pricing, and perceived value.

Demonstrate the market need for your products or services by providing market research and analysis. Include data on customer demographics, target market size, and any trends or consumer preferences that support the demand for your offerings.

Yes, you can mention future product or service expansion plans in the products and services section. Briefly outline your growth strategy, such as introducing new product lines, expanding into new markets, or offering additional services. However, focus primarily on your current offerings and their value proposition.

Access our free business plan examples now!

Quick links.

• Investor Business Plans
• M&A Business Plan
• Private Placement
• Feasibility Study
• Hire a Business Plan Writer
• Business Valuation Calculator
• Business Plan Examples
• Real Estate Business Plan
• Business Plan Template
• Business Plan Pricing Guide
• Business Plan Makeover
• SBA Loans, Bank Funding & Business Credit
• Finding & Qualifying for Business Grants
• Leadership for the New Manager
• Content Marketing for Beginners
• All About Crowdfunding
• EB-5 Regional Centers, A Step-By-Step Guide
• Logo Designer
• Landing Page
• PPC Advertising

• Business Entity
• Business Licensing
• Virtual Assistant
• Business Phone
• Business Address
• E-1 Visa Business Plan
• EB1-A Visa Business Plan
• EB1-C Visa Business Plan
• EB2-NIW Business Plan
• H1B Visa Business Plan
• O1 Visa Business Plan
• Business Brokers
• Merger & Acquisition Advisors
• Franchisors

Proud Sponsor of

• 1-800-496-1056

• (613) 800-0227

• +44 (1549) 409190

• +61 (2) 72510077