All the businesses must follow a written business plan, Isn’t it?
Some businesses require business plans to attract investors or some to provide direction. In all the scenarios, a business plan plays a significant role in the success of an organization. An efficient business plan will certainly guide you to structure, grow and run new business.
However, there is no right or wrong method to write a business plan. The crucial aspect is that your plan should meet your requirements.
Don’t worry; you don’t have to hold an accounting degree to put together a great business plan. This guide will present a step-by-step plan for writing the perfect business plan for your start-up.
This is an overview of your plan and your vision. Ideally, this is the first chapter of your plan. As the executive summary is the critical aspect of the business plan, you must make it concise and clear. Try to cover the key highlights, but not in much detailed manner.
You must try to answer a certain question:
- Which sector you are dealing in?
- What products and services do you provide?
- Who will be your targeted audience?
- How will the future of your industry look like?
- What is your motivation behind starting this company?
This part is quite crucial for you and your entire team. However, this is not significant for your audience. The mission statement that you must follow must include your goal and the ultimate objectives that will lead you toward it. This includes your industry and how it evolves either in the long term or short term, and who are your ultimate customers. The mission statement also defines who you are and narrates the strengths of your team. Here, you, in part, sell the benefits and features of your company.
Also Read: Successful Ways To Reduce Cost in Business
Products and services
In this phase, the information on what you plan to sell and what you do is included. Here also, you sell the positive aspects of your business.
In this, it is crucial to list the cost of services and products that you provide. The certain questionnaire is:
- For how much you are willing to sell each product?
- Will there be any packaging for the items?
- How the client will purchase the product?
- What system will be used to make billing?
- How the products will be transported?
- How your business is distinguished from competitors?
Till here, you have a clear strategy what you intend to do and how you’ll make that happen. In this phase, you know what you have and are ready to provide a product or service to the audience.
You marketing strategies must rely upon research into the marketplace. First of all, you must focus on the aspects that who are your customers and where you will sell them your products? Moreover, you also need to identify your competitors and the manner in which you are superior to them. Then you must consider your marketing plan and the medium by which you will be selling like online, at a store or freelancing etc.
You must also focus on the advertisement strategies to retain the customers and ensure to do so within the financial plan
This part takes a reader through the day-to-day of your company, explaining the:
- Location/Logistics of your business
- Transportation (if you’re selling a product)
- Legal — Do you need a permit? License
- Inventory — if you’re selling a product, where will you need to store it?
- Providers/Suppliers —You must mention detailed contact info/pricing for the individual you’re outsourcing to.
You can paint a visual picture of your working company in your mind and don’t forget to add a lyrical note here. You may even take help of photo or video that may show this.
To write a business plan is not just including the information, but also capturing the reader’s attention to show them that you are a solid team. Show them its proof by sending candid pictures of your happy team.
This phase involves the hierarchy of your company and its operations. List all the crucial positions and describe the functions of every member of your business that involves advisors, the board of directors, accountants/bookkeeping service, lawyers, and salespeople.
Furthermore, reflecting it in your financial plan, discuss any new recruitments that you would like to make and why. You must bear in mind that the business plan is not just all about where your company is, but also where its future is headed.
If you require some space for any additional usage or for any product images, you may use the appendix for details. It is not a required part by any means, but a useful place to stick definitions, legal notes, charts, tables or other crucial information that is too long or too out of place to be included elsewhere in a business plan.
This is also a good place to put the references and proof that you are outstanding. Any of the information that is not essential and an interruption inflow of information, you can place that in the appendix.
It could be a tedious task to write a business plan; however, it is crucial for the future of business. This is not all about luring investors. By creating a business plan, you and your team will certainly organize your business in a sustainable way with an eye on its present functioning and future planning.