Perhaps the economy has taken a downturn and you've been laid off from your job; or, maybe you just have that entrepreneurial spirit. Regardless, one thing is true: you're looking to start your own business. Starting a business takes time and money. It is not a simple undertaking. For these reasons, you need a business plan, the document that will detail every key element in your business.
Write a Market Analysis
Typical business plans begin with an "executive summary" which is then followed by an analysis of your business' market. Since the executive summary basically sums up your entire business plan, write it last. Instead, start by analyzing your business' "niche." You need to clearly outline what your business does (such as it being in technology or food service) and what the business market will look like in five years (by describing whether or not it is growing and how many new businesses are cropping up). Examine your competition and describe, briefly, their successes and failures. Explain where your business will fit into the market and describe how it will succeed.
Describe the "Guts" of Your Business
After you have provided an analysis of the market, it is time to delve more deeply into the intricate details of your business. You can break this portion of the business plan up into multiple sections, but you should focus on describing your business and its operations (such as hiring and managing payroll), how you plan on marketing and advertising your business (such as through commercials or fliers) and what your business is going to produce. This section is critical to giving future creditors and investors an idea of exactly how you plan on running your business. Think about every crucial detail and describe it.
Write Your Financial Analysis and the Executive Summary
While the "guts" section of your business plan provides a good outlook on what your business is going to do, perhaps the most important section is the financial analysis. In this section, you need to meticulously outline how you plan on funding your business (through personal savings or through loans and investors) and what you anticipate your operating costs to be.
Most business plans provide a five-year outlook. For the first year, detail your expenses month by month (expenses include everything from rent, to utility payments, to payroll payments) and detail what your anticipated profit will be (most likely low at first, but it should grow over time). Years 2 through 5 should be detailed quarterly. This section is important because it will show creditors and investors how you plan on budgeting expenses and provide them with your projected profits in the years to come.
Finally, when the above sections are complete, write your executive summary. Basically, this section briefly outlines everything you have already written. Include the executive summary at the beginning of the business plan, followed by the "guts" of your business, and ending with your financial projections.
Related posts
Good business planning can lead to success for a dog grooming business.You love animals and have been dreaming about starting your own dog grooming business. You have been practicing on your frien...
Focus on a niche area of the beauty industry such as make-up.An entrepreneur with a passion for fashion and style may consider starting a business in the beauty industry. Focus on a niche within t...
This is an article on start a pet sitting/dog walking business.Instructions1. Dog Walking/Pet Sitting is a pretty good recession-based business to start with very low overhead. Now it's not the ki...
With innumerable animals homeless and euthanized yearly, it is easy to see the need for animal rescue businesses. New rescue businesses are started all the time, but those still open after a year...
Open Up a Home-Based Pet Grooming BusinessOpening up your own home-based pet grooming business has many advantages. You'll no longer have to deal with the stress and hassle of a morning commute. Y...
