Saturday, August 4, 2012

The Process Of Writing A Business Plan

Writing a business plan is essential to the success of any business. The business plan helps business owners think three to five years ahead to determine the state of the company in the coming years. The roadmap will guide businesses to success and state the objectives, mission and goals to investors and lenders. A well thought out plan can help business owners receive adequate funding for their business ideas. Here are a few tips to help business owners get started:

Know the Essential Elements of a Good Business Plan

1. Business Plan Executive Summary. The executive summary provides a synopsis of the business plan. The summary may comment briefly on the company's profile and goals. This section should be succinct and brief.

2. Market Analysis. The market analysis will describe the industry and the market. A competitive analysis should also be included in this portion of the plan.

3. Company Description. Describe the product or service provided to the consumer or business. The company's competitive advantage and the markets served by the company should also be described in this portion of the business plan.

4. Organization and Management. Determine the best structure for the organization to protect the business owners and pay the least taxes. The types of business organizations include: Sole proprietorship, limited liability company (LLC), S-corporations, C-Corporations and general partnerships.

5. Marketing and Sales Management. The marketing and sales strategy should outline how business owners plan to market their business. The sales strategy should be illuminated also. Investors are interested in knowing how business owners plan to grow their businesses to determine if there will be a fast return on investment.

6. Service or Product Line. The product or service should be described in this portion of the business plan. This portion should be detailed and describe the product, how it benefits customers and the product's lifecycle. If the product is in a developmental stage, describe how the product will evolve over the lifetime of the company.

7. Funding Request. This portion will highlight the essential aspects of the business plan and request funds from investors.

8. Financial Projections. Financial projections are essential to any funding request. Business owners must know all the essential portions of financial projections to ensure investors are satisfied with the business's plan to become profitable.

9. Appendix. Resumes, permits, leases may be included in this portion of the business plan.

How to Get Started

To get started, clearly define the audience that will be addressed. In most instances, this will be investors, lenders, key stakeholders or partners. Determine the plan's structure and the length of the plan. Then, outline every main point that should be addressed in the business plan.

As the business owner goes through this process, the areas of deficiency will become evident. These areas can be addressed later and more detailed information can be added as it becomes available. The more detailed the plan, the better it will serve its purpose during the developmental stages of the company.

Start Writing Your Business Plan Today

The process of business plan writing is not easy, but it is worth it if funding is granted. Some people hire others to write business plans for them if they want to ensure success of the plan. Someone who has not written a plan may need guidance initially.


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If you are struggling to write a strong and effective business plan then let Biz Guru, the experienced and successful business plan writing consultancy help you. Contact us at http://www.BusinessPlanNow.com or http://www.BizGuru.us


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