Developing the Business plan!
A business plan is a model or a road map for our business,that incorporates goals and details of our plans to execute and achieve the goals. A business plan should not be something which is written and then long forgotten. Nor does it have to be a list of each and every small little strategy or a messed up write-up consisting of tons of made-up fanciful goals.A business plan can be as simple as something which has only few bullet points but which explains and focuses on the key aspects of the strategy, important and rational milestones to be focused and the basic projections regarding finance.
So, I feel now I know how to deal with the do’s and don’ts involved in a business plan.
How long should it be?
It can be long or short. However, it should outline the goals and vision of the business and should always up to date like a resume.
Who is a business plan for?
An internal document should be for the employees,for co-founders or for those who want to understand the vision and strategy.
And an external document for the investors,recruiters and partners who want to know what,how and why of a business.
Can we do it our own?
Yes, we can do it by our own. Moreover, there are tons of templates available on internet for reference.
How to write a business plan?
Planning in your business is an important part of making your business a success. It is important to have a realistic, working business plan when you’re starting up a business.
It is important that every business should have a business plan,without which it cant strive to grow. To have a road map in hand or to attract investors,a business plan is a must. So how can one write a business plan?
A business plan includes the following:
- Executive summary — a snapshot of your business.
- Company description — describes what you do.
- Market analysis — research on your industry, market, and competitors.
- Organization and management — your business and management structure.
- Service or product —about the products and service one is offering.
- Marketing and sales — how you’ll market your business and your sales strategy.
- Funding request — how much money you’ll need for next 3 to 5 years.
- Financial projections — supply information like balance sheets.
- Appendix- an optional section which can include resumes and permits.
Is writing a business plan boring and complicated?
A business plans not necessarily to be long and complicated though it has been recommended to have a detail about your plans and vision. Most important, a business plan meant to be used frequently and if your business plan is complex then there will be less likely to be use it, so it should be small (could be one page) so that one can revisit often and amend easily.
Simple “7” steps to writing a Business Plan!
Step 1: Know your target audience — Understand the need of your customer — fears, frustration, challenges and desires.
Step 2: Know your competitors — Identify top 5 competitors and study their business — their product, services, pricing, sales, etc.
Step 3: Develop a simple solution — then it will be helpful to solve your target customer’s problems — focus on creating Minimum Viable Product (MVP) and test it which help in identifying the demand of your product.
Step 4: Create your Unique Selling Proposition (USP) — differentiate from your competitors — offer your customers something unique.
Step 5: Know your pricing — you can use your competitors pricing at the starting point. Later it depend upon how well you position your products.
Step 6: Choose a marketing channels — many ways to market your product, so its important to choose that best suited your business. Start with one platform then you can test other.
Step 7: Know your business model — this will answer the question — “how you will make money” — select the one which have more sense and the greatest Return on Investment (ROI)
One should always remember whenever you are developing a business plan, make it simple! — Nabeel Akhtar.
