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Writing a
Business Plan: Where Do You Start?
Are you
considering starting up a business? If so, have you started writing your
business plan yet? If so, have you thought about how you are going to go
about it or what you should include in it? If you are unfamiliar with
business plans, particularly what they include, you should carefully take
the time to research what is commonly found in a business plan. Doing so
will may make it easier for you to find the motivation to get going and
ultimately come up with a plan that will fit your needs.
Here are some
of the key points to include in your business plan.
What Your
Business Is All About
Your starting
point is the type of business you are interested in setting up. For example,
are you interested in starting a retail store, an online store, or a
cleaning service? Explain why you feel you will be a success in that sector
and provide detail on how exactly the business will operate. Here you will
also outline the products or services you plan on selling, and at the same
time describe what makes them unique compared to what the competition is
selling.
Where Are You
Based?
The next point
to cover is where your business will be located. If you are planning on
starting an internet business then that’s very simple – your home is
probably the answer! If you are planning on running a more traditional
business then describe where you are planning to base yourself. Is your
premises going to be leased, rented or owned?
Carefully
consider the pros and cons of each of these options and clearly state in
your plan why you have chosen the route you have.
Will You Be
Working Alone?
The reader of
the plan needs to know who will you be running your business; is it you or
will you hire someone else to run it for you? Naturally you will be the
backbone of the business but if you are hiring staff it’s good for the
reader to know the number and quality of the staff you will be hiring. It is
these people who have the ability to make or break your business. But there
is also a cost consideration – if you have to buy in the very best people
what pressure will this put on the business?
Where’s Your
Market?
In addition to
your business expenses, it is also important to focus on how you plan on
generating income for your business. That is why your business plan should
include details of your advertising and marketing strategy; in other words
how you are going to reach your target audience. Your target audience is
the type of person or company who you think is most likely to become a
client or a customer of yours. In the plan outline what they look like. What
are their needs or wants and how do you plan to satisfy them?
Who are You
Competing Against?
Ignore your
competitors at your peril, both in real life and when writing your business
plan. Addressing the competitive threat is extremely important, especially
if you are planning on using your business plan to obtain financing; your
bankers will be well aware of who your competitors are, so don’t try to
pretend they don’t exist!
Financial
lenders and investors will want to make sure that your business will be a
success and that success can depend on the strength or otherwise of the
competition. That is why it is advisable you obtain an accurate count of
businesses in your area that are offering the same products or services as
you are, as well as the prices that those products and services are being
offered at.
The above
mentioned points are just a few of the many areas you will want to cover
when writing your business plan. You will find a complete guide in my e-book
‘The Secrets of Writing a Killer Business Plan’.
Even if you
are not planning to obtain finance for your start up business think
carefully about writing a business plan – it is well worth the effort to
invest your time.
Robert Warlow
Small Business
Success
http://www.smallbusinesssuccess.biz
Robert runs a number of websites focusing on ideas and tips for small
businesses, and people running online businesses. Check out his websites for
free newsletters, e-books and articles:
http://www.smallbusinesssuccess.biz ,
http://www.smallbusinessloansecrets.com ,
http://www.marketingtipsandideas.com and
http://www.internetmarketingtipsandideas.com
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