A business plan is a written description of the future of your business. A document that explains what you are going to do to make your company profitable and how you have to do it. Normally when a business idea arises you know what resources and capabilities you have to start, and where you want to go in a certain period (usually in 3 or 5 years). But what is the way to reach that goal? Where to start? How to arouse the interest of investors?
Make a business plan or business plan is to build a map that will guide you in that period to get where you propose with your initial idea. It is very important not to confuse it with other documents, such as the financial plan or the marketing plan. These last two are part of the business plan.
We have already given you the guidelines to create the perfect structure of a business plan. Now, you only need to make it real by following the 10 steps that we explain in this post.
Why do I need to make a business plan?
- To look for investors. If you only need to write the financial part of your company we give you the 10 key points to create a financial plan.
- To apply for loans.
- To know the viability of your business idea.
- To make improvements to your current business.
How to make a business plan?
1. Cover and index
The first impression will undoubtedly influence the decision of the investors. You must include in the business plan a simple but accurate cover with all the information about the company: logo, name, address, telephone, email, web, the name of the founder and, if appropriate, a photo of the product or service.
With the index, you will have to order all the points of the business plan with the corresponding page number. Make it as complete as possible so that the reader has a clear idea of what the document contains.
2. Executive summary of the needs and objectives of your business
In the first part of the document, you should make a descriptive summary of the idea that includes the following points: the product or service and its advantages, the market opportunity, the management team, the trajectory to date, the financial projections, the financing needs and expected profitability.You must define the need or problem that your business intends to solve. But, above all, you will have to capture the attention of investors in approximately two pages where you will summarize the most important points of the text. In addition, you must take into account several things:
- If you are still not sure of the fundamental objectives of your business, you need to think about them before making the business plan.
- It is interesting to refer to the time it took you to develop the business idea and the work you have done to date.
3. Describe how you will solve the problem explained in the summary
At this point, you should describe the mission of your business. A list of actions that your company needs to face an existing problem in the market.
- Describe what your product or service is, what customers will get with your purchase and what your weak or inconvenient points are. The latter is very important when making a business plan; readers will appreciate your sincerity.
- Surely there are already companies that are working for the same objectives. Identify them and ask yourself: How will I differentiate myself?
4. Explain why your business is unique and who will be part of it
Make a business plan is to examine the strengths and weaknesses of your competition, once identified you can justify why your business is unique. You must distinguish yourself from the crowd to increase the investment opportunity.
At this point, you can also include the skills of your team to make your business unique. That is, make reference to the following information:
- How the administration of the company will be carried out.
- Describe the trajectory and experience of each team member.
- Clarify how you will cover the main areas of production, sales, marketing, finance, and administration.
- Include management, sales, stock control and quality control accounts.
- Analyze, if you see it necessary, the location of the company and the advantages and disadvantages of this situation.
If there is something that investors value, it is the commitment capacity of the entrepreneur. Take advantage of this point of the business plan to show them the amount of time and money that you and your team are willing to take on.
Check This Out: How To Find Business Opportunities
5. List the characteristics of the market in which you will develop your business
- You will have to analyze market conditions: how big it is, how fast it is growing and what its potential for profit is.
- Explain how you are going to investigate your audience and with what tools.
- Know the target of the market in which the business will develop and direct your marketing strategies towards that target. If you do not direct your marketing strategy you will lose time, effort and money. Make sure you solve the following doubts of the investors: What are the products of your competition and how do they create them? Why is someone going to abandon your current competitors to buy in your business?
6. Develop promotional strategies
This is where your business marketing plan should be included. It is perhaps one of the most important steps in making a business plan. Promotional and marketing strategies could determine the success or failure of your company. To sort all this information tries to answer several questions:
- How will you position your product or service? (Compare features such as price, quality or response time with those of your competitors)
- How are you going to sell to your customers? (Phone, website, face to face, agents …)
- Who will be your first customers?
- How will you identify potential customers?
- How are you going to promote your business? (Advertising, public relations, email marketing, content strategy, social media …)
- What benefit will each part of your business achieve?
7. Analyze your sources of income
When you reach this point when making your business plan you should start to translate everything you have said in numbers. That is, analyze the financial forecasts of your business.
- The analysis should include the structure of prices, costs, margins, and expenses.
- If you need more information on how to make a financial plan, we recommend reading this guide.
8. Create a plan to face gains or losses
If a bad run comes soon and you do not have a plan, the business could suddenly sink or fail. If you receive an unexpected success, your goals could change suddenly and you will need a new business plan.
Therefore, you should evaluate the risks of your business, identify the areas where something could go wrong and explain what you would do in that case.
It’s possible that after making the business plan you need to give additional information to complement it. For example:
- Data of the market research that you have explained in point 5.
- The curriculum of the team that will form your company (very important if you are looking for external financing).
- Technical specifications of the product or service (you can include photographs).
- The names of some potential customers.
10. Support you with freelance talent to make your business plan
We support startups and small businesses in their initial phase. That is why one of the most demanded projects in the platform to be carried out by freelance experts is the writing of a business plan.
Why support yourself in freelance professionals? Creating a business plan involves writing normally more than 50 pages with attractive, dynamic and accurate texts, which manage to attract the attention of very demanding people. It should attract the attention of investors, who despite having read hundreds of them should find something unique in your business plan.
The best way to create this document with the utmost tranquility and with the support of qualified professionals is through freelance talent. Find out now and we will help you find the best professionals to make your business plan.