Sunday, May 15, 2016
The Seven Parts Of A Business Plan
You might be at a loss as to exactly what it means to write the business plan for your company. While most people understand that a business plan is important for a startup, it is actually equally important for even those businesses that are already established. A business plan gives your business direction and a definition of purpose, all in a tidy, organized document. Here follows the seven elements that your business plan will need. 1) Executive Summary: The executive summary will sum up everything you said in the entire business plan, which means that it will be the last part you write, even though it comes first in the document. 2) Company Description: This part of the business plan will either detail your company's history or will detail your company's startup plans, depending on where you are in your company's lifetime. 3) Product or Service: While this section is straightforward - intended, of course, to describe what you sell or perform - make sure you keep the focus on customer benefits in this section. 4) Market Analysis: This is hugely important, especially when you need a loan. You need to use this section to detail your understanding of what your customers need and how you plan to reach them. 5) Strategy and Implementation: It is absolutely vital that you avoid vagueness in this section. Explain your company's structure and all of its strategies. 6) Management Team: This section can become an excellent selling point, as you bring your management team's strengths to the forefront. 7) Financial Strategy: Especially if you are a startup company, you have to make sure you understand what you are doing in this section, providing detailed analysis and projections. Whether you are an established business with your feet under you already or a startup trying to gain a foothold, a good business plan can be of great benefit to you and your future success. On the other hand, you can miss out on money and on a brighter future if your business plan is sloppy; don't make this mistake!