How to create a business plan Yes, we are very much aware of the stress you undergo while trying to write a bankable business plan…
How to create a business plan
Yes, we are very much aware of the stress you undergo while trying to write a bankable business plan for your business. Also, the high cost of money demanded by business consultant to get your business done.
What do we really mean by Business Plan?
A business plan is a written document that shows the expected path of a business, it shows the vision and mission of the business, the financial expectations, the marketing strategies, long term and short term goals, etc of a business. It is just regarded to as a strategic road map to success.
ESSENTIAL ELEMENTS OF A BUSINESS PLAN
When creating a business plan, certain essential elements are to be adopted.
· Keep it short and concise.You want your business plan to be read, yes? Keep it short. Nobody is going to read a 50-page narrative, trust me.
· Keep your audience in mind. Okay, when writing your piece, keep in mind the type of audience it is meant for; Are they investors, loaning facilities, banks, etc? This way you know how to arrange with language, jargons, and acronym they are familiar with.
· Start with the Executive Summary. An executive summary is the first section of a business plan, and should be written last. It is an overview of your company, who you are, your products/services, the target market, and then any other general information.
· The business description. This follows the Executive Summary, and should state your overall mission, how the business got started, a list of key people that will manage the business, and then your view about how the company will grow.
· The market description. You are to describe the market or industry, and its future outlook. Describe the need for your products in the market. Describe the target market, providing a good profile of your target customers( i.e age, income, sex, etc ). Next, describe what share of the market you have, or that you intend to get.
· Products/Services. Give a detailed description of your top three products/services ( price, place, promotion ? ). Describe how your product will compete with other products of the same type. You may add a product photo or graphic here.
· Organization and Management. Give a good description of how is organized to run effectively.( you should provide an organized chart, workflow diagram etc). What is the legal structure of your business? ( Sole proprietorship, Partnership, Private or Public Limited Liability Company – LTD or PLC?) Are there any special licenses, or permits your business operates under? List them out. Any certifications? Write a detailed bio of the key management within your company.
· Marketing strategy. Give a brief description of your market, your customers, and why they want to buy your products/services. How will you sell your products to your customers. Next, briefly explain your sales strategy, and it should be specific to pricing, promoting, products and place. How will you market your business?
· Financial projections.Provide detailed estimates of all startup costs. Write out a projected balance sheet ( for one year). Projected income statements( one year forward). Projected cash flow statement ( 12 month forward). How much will it cost you to start and run your business for the next two years? ( rent, utilities, machinery/ equipment, insurance, tax, incorporation, salaries etc )
· Conclude. Briefly summarize your business idea, expressing confidence in your ability to successfully carry out said. You may ask if there are any questions for you, then provide contact details. Thanks for reading.
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Credit: Akwa Uwem