When a new and exciting business idea comes along the thought of taking on the arduous task of creating a business plan can be kind of a buzzkill. However, taking the time to create a business plan is critical as it is considered a living document and will change and grow alongside your company. The business plan will hold you accountable as it forces you to take a close look at every aspect of your business. Some of the ways a business plan can help you succeed is: it will require you to gauge the viability of your vision, it is required to secure any necessary funding, and require you to best determine how to market to potential customers and investors to generate sales.
When writing up a business plan it is important to consider how viable your business will be in today’s market. Is there a market for it at all? Completing a market analysis can ensure your product or service will have a fighting chance. In completing the analysis and research, you will have a better grasp on the industry as well as the target market. Competitive research is also necessary in this step. Researching competitors can help you identify ways to set your company apart and attract potential customers or allow you to replicate what your competitors do well.
Another imperative step in drafting a business plan is determining your sales and marketing approach. In today’s technological world there are many ways to market a product or service. Much like your business plan, you will need to adapt and grow your marketing methods periodically to better suit the needs of your company and your clientele. First, ask yourself: How will you attract customers and generate sales? How will you retain customers once you have their business? Where will you advertise?
A business plan is mandatory if you are looking to secure funding – a bank or investor will not provide capital if you have not put in the work. Your business plan should outline, in detail, what the funding is for and how it will be utilized over the course of five years. This may include things such as materials, salaries, operating expenses, and accounts receivable.
These are just a few components of a successful business plan. If you’re a potential, new, or seasoned business owner and you are looking for assistance in creating or revamping a business plan, Forward Business Consulting is here to help every step of the way. Check out our contact page to get in touch with a consultant today!