The American Heart Association’s Pre-Accelerator Challenge #2: Your Business Model

A business model describes how an organization creates, captures, and delivers value and generates revenue.

Before we go further we want to share the difference between a business model and a business plan. The business model is the blueprint to understand the way your organization works. Your business plan helps investors understand the expected performance of your business over a three to five year period. 

Think of your business model as you might think of a frame for a house. Every home requires a blueprint that provides the direction for building a house that meets the owner's needs. In turn, your business model is like a blueprint that contains the correct elements that create the solid frame to ensure that your business meets its goals.