a product that another entity produces and markets. For example, Fred Jones creates a bookkeeping program for employment agencies on his own time. Then he sells production and marketing rights to the Acme Programs Co. for $1,000 cash and 5% of future sales. Fred is the project developer and Acme is the manufacturer. If Fred also produces copies and markets them himself, he acts as both developer and manufacturer.     2. Problem Statement     Successful businesses share a common attribute: They do something useful for their customers. One way to determine what is useful for your customers is to identify and describe the problem that your business will solve. For example, a window washing service solves the customers twin problems of wanting clean windows but lacking either the time or physical ability to clean windows himself. If you accurately understand your customers problems and needs, your business will have a better chance of success.     For example, heres a problem faced by a customer of a pizza-by-the-slice stand: "Im hungry and I dont have much time or money, but Im tired of hamburgers and want a change of pace. Also, Id like to be able to specify the exact ingredients I want in my meal. And, it would be really swell to have a glass of wine or beer with the meal."     Now, think about your customers for a minute. What is the problem that you solve for them? Take a sheet of blank paper or open a computer file and write out your description of the problem your business solves for its customers. This statement will become part of your completed business plan.           Problem Antoinettes Dress Shop Will Solve     Professional working women like to buy fashionable, slightly conservative clothing at moderate prices. They prefer shopping at convenient times and patronizing stores that offer a wide selection of merchandise. These women like to talk to sales clerks who understand fashion and know their stores merchandise; few clerks in the local department stores have this knowledge. At the present time, many of these women travel 45 miles to shop because no local store meets their needs.           3. Business Description     Next, describe how your business will solve your customers problem. Take your time and do a thorough job. Its very likely that the first time you attempt this task, questions will occur to you that you didnt consider previously. If so, figure out a good answer and rewrite your description. The important thing is not how long it takes to do this, but that you end up with a realistic, well-thought- out business description. After all, its cheaper to answer questions and solve problems on paper than it is with real money.     Your business description should explain exactly what you will provide for the customer as well as what youll exclude. Each of the choices you make in your business description will affect the amount of money youll need to start or expand and how much sales revenue you can expect.