Your Business Plan

businessplan presented on a blackboardTo start up a business, the first and most important step to take, is usually writing a business plan. A business plan helps to rightfully implement your business idea and helps estimating cost,liquidity and turnovers. It is also an  essential document for your bank if you intend applying for a loan to finance your business. This document will be your companion at the early stages of your business. It is therefore advisable to invest much time in creating a detailed business plan.

The executive summary: Summarise your business idea, considering which product or service you want to start with, the kind of training or education you possess about your chosen field. Who are going to be your potential customers? Are you planning to employ some personnel at the early stage? how much capital you yourself will be bringing in. Remember this section briefly tells your potential investors where your company is, where you want to take it, and why your business idea will be successful.

The Business concept: this must not be new but good and convincing. It should contain something that will persuade customers and also make them stay. Describe here your business idea extensively, the kind of market strategy you are going to use to become successful such as your location, expert personnel, efficient operations, or ability to bring value to your customers. Outline the strategies you will be using to differentiate your self from your competitors. The kind of legal form you intend to use is also very important and why you think your proposed idea will be successful.

Market Analysis: It is essential to thoroughly research the market and branch you intend to start your business in and know it perfectly. Note that the market does not consist only of suppliers but also customers and their demands, consider how much money the customers will be willing to pay for your offer, find out which income class your customers are. Take a critical look at the kind of marketing activities your competitors are using. Is there anything you can do better than them? In order to know and analyse your market well. It will be better to get detailed information from banks, your local offices or branch specific offices in you country.

Marketing and Sales: Let it be clear, that there are difference between products or services depending on the supplier. Decide if your products or services will be marketed to end-consumers or to wholesalers. where will you like to promote your business? If you decide to choose the internet platform, then try to describe your online sales strategy. When is the planned opening date of the business. Till when do you think the most tremendous milestone will be clear from the way.  Emphasise on  what steps you are intending to take at what time.

Organisation and Management: Talk about the organizational structure of your company, owners of  the the company, give detailed information about the management team. Will you be operating the business alone or will employ some personnel. If yes how many of them will you need to employ at the beginning and what will be the situation in the next 5 years.will you need more personnel? Will these personnel be working on part or full time basis. Would you prefer employing trainees or on contract basis. Do have reliable personnel whom you can easily turn to incase some others are ill?

Chances and risks factors: Emphasise here on factors which can jeopardise your plan and what actions you can take at such instances. How secured can you make your business in the near feature? Your business model must be reformed in such a way that it can easily embrace new developmental changes.