Every million dollar business starts with a little seed of an idea. So the is foremost important but an idea is not enough. From a lot of ideas, only a few are unique and it’s very rare that the idea is converted into a plan. So, how to write a business plan? And what are the components of a good plan? A good business plan should seem like it’s a projection into the future which includes all the conflict elements of the initial idea. You should not be too optimistic about your idea. It needs to include all of the needed things, not just the best case scenario but also the reality.
A good business plan comprises four main elements:-
This is the most important part of the business plan. Describe the team and other people who are all involved in the business. What do they know about the product or service? What are their connections and how well there are connected?
Explain the market and your opportunity in the market. It is usually better to enter into a growing market rather than enter the saturated market and struggle with the competition.
Context: It is like the regulations of local, state and union government bodies, current economic trends and interest rates, etc. Trade and industrial organizations rules and restrictions related to your field of interest.
Risk and reward: Never underestimate the risks involved in the business. Any business has always some risks involved. It a big mistake to believe that there is no risk. Many successful businesses are the results of lessons from many failed businesses those neglected the risks involved.
Before writing your business plan check the following things
Prepare the framework for the business plan which contains all major sections like an executive summary, business overview, market analysis, etc. Define your goals and objectives Determine your audience of the business plan so that you can decide the tone of the plan accordingly. Make an outline of financial requirements Develop a questionnaire regarding the requirements that have to be met by the business plan Identity professional and experts to seek advice in areas where you are not aware Make a complete research on the market; collect required data and analyze your opportunities, competitors list and their strengths and weaknesses. Clarify issues on products or services if any. Form the management team required Collect tools and software required to prepare the plan Decide about your marketing strategies. Make a checklist of tasks before, during and after the writing business plan. Gather any specific needs for the plan
Writing the plan: Once you finished pre-requirements you can start writing the business plan
Start from the table of contents Estimate the page length for each section Arrange all the sections in a logical manner Start writing the content which needed information from the owner of the business Fill out the sections with major issues and challenges in each section Compile financial projections, income statements, sales forecasts, etc and provide explanations wherever required. Check the draft completed so far fill out the gaps Take an overview of the completed draft Attach the needed documents in the appendix Get an adviser to verify and critique the business plan. Check spellings and mistakes. Fine-tune the document. Write the executive summary and conclusion
Once you finished writing go through the plan thoroughly and ask yourself for the questions,
Are presentation and plans length appropriate?
Have all the requirements are met?
Is the plan looks interesting from the eyes of the audience?
What are all the doubts and queries expected?
For more details about Fhyzics’ Business Plan and Format, please visit our website.