How to create a business plan

Category: Business

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If you have been thinking about starting your own small business, it is important to create a detailed plan that will outline your business’s objectives, strategies, and more. It also forms a map for bankers, investors, and other involved parties to use when figuring out how they can best assist you and to help them determine if your business is viable.

To summarize, an efficient small business plan should consist of the following elements:

Executive summary

Describe the general concept of your company, how it will be funded, how much money you will need, its current legal standing, individuals involved, and general history.

Business description

Describe your company in further detail, and how it fits into the market in general. Who will your target audience be, and how will you distribute your product? If you are a LLC,  corporation or sole proprietorship, include that in your plan.

Marketing tactics

It is crucial to spend a substantial amount of time examining just who it is that will want your product, and how you plan on marketing it to them. What is the size of your market, what are your sale potentials, and will there be chances to develop the initial market?

Competitive analysis

As you create the above sections, you will discover who your main competitors are. Determine what has caused them to be successful, and also what may have caused them to fail. Learn from both their mistakes and triumphs.

Development plan

How will you manufacture your product? Is it a service that you are providing, or if it’s more complicated—such as a physical product or software—how will it be developed? Outline the entire process, from assembly, packaging, warehousing, shipping, and so on. All of these things should be considered.

Operations

Determine the different roles of your company, such as receptionist, CEO, any employers, and so on. Outlining your company’s operation structure will help you plan for operating expenses, and help you determine how much capital will be necessary to function efficiently. Bear in mind that your company will continue to progress and that this will be a general estimate of who is needed to keep operations functioning effectively. As your company evolves, it is likely that you’ll make alterations to the hiring plans.

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Tags: business finances, business plans, career, income, small business, starting a business

One Response to “How to create a business plan”

October 13, 2015 at 6:09 pm, jennifer said:

help to start my business

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