A business plan is a set of actions that an establishment hopes to take in order to achieve its objectives and goals. A good business plan helps a business to answer some of the questions that arise in the course of its operations, in terms of finance, human resource, growth and so on
To begin with, the owner has to conduct a market research to enable him write a good business plan. He has to know about the business type, the sources of the necessary capital, the marketing strategies to apply, and the number of employees and positions to advertise. The above information should be accurate and available before the writing process commences.
The business plan must have a purpose, and should state who it applies to categorically. Experts recommend that the entire team in the organization has to take part in its creation so as to have a collective goal of achieving the set targets.
It is not possible to have a plan that covers the entire time the business runs. Hence, the plan should cover a definite period, for example, a year or two. The plan could first include the areas that are crucial for the running of the business, then account for the other areas later. It is also helpful to seek expert advice from a professional business planner.
For an already existing enterprise, the plan should be made using the actual figures and outcomes the business has been getting. The numbers make the plan more realistic and achievable. For a new venture, the writer should use the figures he expects.
Just as in any writing, a summary is written for a business plan and occurs last. It provides the firm with an opportunity to market itself to potential investors, banks, partners, or anyone who may come across the plan. Review the plan to make sure it has no errors otherwise it may fail to make the right impression.
Different businesses apply different formats when writing their business plans. However, there are universal entries that should appear in any business plan. These are:
Title page- it describes the role of the plan and includes a short description of the business, which could include; the name, physical location, and the size.
Business Summary- as seen earlier, after finalizing a business plan, the writer needs a summary to highlight the plan in brief.
Competitive Analysis- this is an entry about the market. It includes the proposed plan of market entry and retention. The document discusses market targets and methods of delivering them.
Financial Factors- this section should include, a procedure on how the company will source finances and manage them.
Supporting documentation- the planner attaches referral documents to the plan, for example, financial tables and physical maps.
In conclusion, to write a good business plan;
uConduct a market research.
uUnderstand the business.
uDetermine the role of the document.
uProofread the plan.
uSeek expert advice if needed.