How to write a business plan
A business plan is a formal written document containing business goals, the methods on how these goals can be attained, and the time frame within which these goals need to be achieved. Every business needs a business plan whether it is for attracting investors or to have a clear goal and the way forward.
Here are the components of the business plan you’re going to write.
Write an executive summary
An executive summary is an overview of your business and your plans. An ideal executive summary should be a page long and should provide a high-level overview of the company and the market.
Provide a business description
Discuss the current and future outlook of your industry. Tell your reader your target market and competition. In detail, describe what you are trying to solve within your industry.
Provide a detailed Market analysis
In this chapter, explore and demonstrate knowledge of the market your business is operating within. Outline the strengths and weaknesses of your potential competitors, as well as strategies that will give you a competitive advantage.
Organisational structure and management
In this chapter, describe your management team and the team you are likely to hire. Also, provide a quick overview of your legal structure, location and organisational chart.
Describe your product and services
Tell your readers what you are selling and how great are your product and services. Start by describing the problem you are solving. Second, describe how you intend to solve the problem and how your product/service fits into it. Also, describe the competitive landscape.
Describe your marketing and sales strategy
In this section, outline your marketing and sales strategy. Explain how you intend to penetrate the market, manage growth and how you will be communicating with your customers.
Be clear in defining your sales strategies. Describe how your sales team will look like and how you intend to grow over time.
Details financial plan
If you are pitching to investors, outline your financial cost, financial projections and financial statements to support your request. It is recommended to include the services of an accountant to complete this section. Ensure your financial projections are accurate in order to convince investors.
Close your business plan with an appendix. The appendix should include resume, permits or any other legal information and contracts.