A business plan is critical to the success of a business. Writing a business plan can simplify the process of starting and running a new business and make things much easier. A plan for your business provides a blueprint that can guide you to your business goals. Use a business plan to help you set objectives and priorities.
The business plan typically consists of several sections and serves a road map for reaching a company’s goal. In most cases, a business plan includes temporary activities that help to achieve specific goals.
You should include an executive summary as the first part of your business plan. The executive summary section usually starts the plan and provides an overview of the entire plan. Depending on the company’s activities, the summary can be anywhere from one page to two or three pages. This summary should be informative and captivating enough to lure investors and lenders into reading the entire plan. Though it appears first, most experts recommend writing the e summary section last overall.
The next section should provide a brief description of the company. It should include the company’s history, when and why it was formed, its location and business structure. This section should also provide information about the company’s ownership.
In the products and services section, discuss what products or services your company offers. If you are selling products, you’ll need to provide information about the manufacture of those products. If you provide services, then explain what type of services you offer. Use simple words and sentences so even a layman can understand what your product is all about.
Market analysis is also a section in the business plan. Your plan needs to define the market your products or services will target. Show how you will reach potential customers. Discuss whether you will be using television, radio, print and Internet. You may include graphs, detailed analysis, and other information pertaining to the market and show why the business will be a success.
The next section in the business plan should be your financial projections. This section will include anticipated sales and profits, as well as potential expenses from the business activities. Also other documents or statements may also be included in this section.
A final section in the business plan should be management. The management section introduces the team of managers. Investors and lenders will be looking to see who is on your management team and how their skills will help make your business a success. When preparing a business plan, include a person with excellent credentials as an advisor or even a board member.
If writing a business plan is difficult for you, you can use any of the many resources available on the Internet that can help you create a good business plan. Business plan templates provide step by step instructions on how to quickly create successful business plans. Many people use these to craft their own hard-hitting business plans, and you can do the same. Be sure to read through your plan after creating it and correct any mistakes you find.