Getting started in a business or being an old hand at it, preparing a business plan forces you to think through every aspect of your business. If you need outside capital, the business plan will be one of the first things the lender or investor wants to see. It also gives you a base to check your success.Below are 4 major categories that we should consider in writing a business plan.
Each of these should be considered together. Our Business plan then becomes our business Model.
1. Access your own personal ability and education in the industry.
- A. Access your finical resources. How much CASH do you have on hand?? What is your BORROWING power?? How much do you need to main you household?? What is your expected Income?????
- B. Focus on your strengths for the Bus. Plan.
- C. Address your weaknesses, and set goals to get up to speed.
- D. Set up a realistic budget, and live by it.
2. Be sure to research the industry you wish to go into; not only what you want to offer as a product and service but what other offer.
- a. Find and define a "niche". Look for an opportunity in the market for you. Be ready for the banker to ask, "What sets your business apart from the others already operating here?"
- B. What is your Horizontal market and how can you vertical market off of it
3. Research your potential market as to whom and what your market is.
- A .Research your potential market as to whom and what your market is.
- B. Research how you can most economically reach that market.
- C. Set up a budget to advertise. Find out what the most effective form of advertising is.
4. Write a Business Plan. Allow other whom you respect to help you review it. Have an Account give you an honest assessment.a. In addition, write a "Mission Statement" also. This will state what the company proposes is, and what it will provide to the community.
