Writing a business plan sounds like something daunting, but in fact it mostly involves putting down on paper all the things you should know about your business and its customers before you start. No matter what size of business, you can benefit by setting all of this down in black and white.
Why create a business plan? Not only is it a vital tool for you to understand how your business is going to develop, it’s also essential if you need to get others to invest in your business. A bank may want to see your business plan if you ask for a loan, and you’ll also need to produce one if you are expecting people to invest in your company.
But thankfully, a simple business plan isn’t hard to create. You should include the following:
A summary
The simple bit – a one page overview of your business, what you’re doing, and all the details on what finances you have, need, and will make going forward.
What the business opportunity is
Identify what the opportunity is that your business is designed to meet. For example, if you’re a mobile hairdresser, talk about how there are few businesses like yours in your area, but that there’s an increasing population of people who required home-based services.
Your marketing and sales strategy
This part should cover off what you’re selling, and how you’re going to reach your customers. Also include details on any competitors, and how you are likely to differentiate yourself from them.
Who you are, and your team
In this section, you need to establish the experience and credibility of your and your team (if you have one). Write about the experience you have, and, if you do have staff, talk about how responsibilities are divided between the team. If you plan to recruit, outline what roles you’re looking to fill.
Details of operations
Give details of your premises, IT systems, and equipment, plus anything you need to purchase in the near-term future.
Financial details
As part of developing your business, you need to have a clear idea of how much you’re excepting to make over the coming months and years, plus your outgoings. The aim is to show that your business will have enough money coming in to survive, or, if there’s a shortfall, identify how much you need to raise and when. If you want some ideas on what your business plan should look like you can download sample plans from the BPlans web site.
The next step
Finding the money
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