How To Build A Business Plan
Dreaming of bootstrapping a business and being your own boss?
Preparing to pitch to investors or trying to get business loan?
Hold on!! before proceeding with your ideas, let us review the secret mantra that our business tycoons have gifted us to follow before starting any business or pitching to an investor. The secret mantra is the “Business Plan”
“A good plan is a success half-done”
In this blog, we will provide you some ideas on how to build and what are the elements to be covered in building a perfect business plan for your dream business!
What is a business plan?
Business plan is a document that describes how your business endeavours and the way that your business will pass through to reach success. It is a fundamental tool that convinces your investors and partners to rely your business idea and also to act as a guiding document that can be referred during your journey.
What are the elements in a business plan?
Breaking down a business plan, below are the 7 key elements that you many need to cover while building your own business plan.
- Executive summary
- Business description
- Marketing strategies
- Competitive analysis
- Operation plan
- Management and Ownership plan
- Financial factors
It is a key section which summarizes the entire business idea in a nutshell. It should convey the core details of what your business offers to this world, including the mission & vision statements, short description of your products or services and summary of your business’ opportunity in the market.
Executive summary should act as a highlight reel of your entire business plan. Specially to pitch your business idea to an investor, your executive summary should be precise and outstanding, to act as a self-convincing element.
A business description should explain what kind of problem does your product or service solves for a consumer. It may also include the details on pricing, product lifespan and other benefits offered to your customers.
This section should also provide a summary of your business’ position within the industry segment, along with your organizations’ expertise and your competitive advantage. It may also include the overview of the industry that your business is serving for, including the recent trends, key players in that segment.
Marketing strategies should detail on how your business is intended to reach your target consumer in the whole market and how it will attract them towards your business. It in turn, defines the clear market distribution channel that your business is about to sail through to reach your right customers.
This section should also detail the cost elements that could be incurred in the marketing activities that is to be carried out. Forecasting and compiling all the associated costs with the marketing channels should act as a key element in this section.