Starting a small business can be a difficult process, but a well written business plan for your small business can make the process much easier. If you can write an effective small business plan, you can gain the financial support you need…
Introduction
Starting a small business can be a difficult process, but a well written business plan for your small business can make the process much easier. If you can write an effective small business plan, you can gain the financial support you need.
Instructions
Difficulty: Challenging
Steps
1
Step One
Begin with an executive summary. Your executive summary should include brief information about your small business, the services your small business offers, the competition that your small business will face, financial considerations, objectives of your small business and any other pertinent information. You will go into more detail on all of these elements later in the business plan.
2
Step Two
Point out the objectives, mission and how you will accomplish the goals of your small business. This should include what you want to see your business become in the near future and over time. Your keys to success should explain how you will accomplish your goals and how this is unique to your small business.
3
Step Three
Explain how your small business will begin. Include information about the people running the business and their qualifications and experience. Explain the start-up costs and how much money you will require to begin your small business.
4
Step Four
Describe the services and products your small business will offer. Include specific information on the services and how your offering of the services is unique to your small business.
5
Step Five
Show the market of your small business and how your business will target that specific market. Use demographic information and buying habits of the area where you are planning to base your small business. Show the results of surveys or focus groups in this section.
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Step Six
Illustrate your plan in achieving your goals through marketing to your consumer base. Show how you have a leg up on your competitors, plan to advertise your small business and what your sales strategies are. Also include a milestone section that gives specific targets that you plan to accomplish and the dates on which they will be accomplished. An example of a milestone is the first day you are open for business.
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Step Seven
State the financial plans of your small business. This section should include your balance sheet, break even analysis, profit and loss statement, cash flow summary, equipment list, needed investment and loan requests. You also need to include the assumptions on which your calculations were made.
8
Step Eight
Attach supporting documentation such as tax returns for principals, lease or purchase agreement for your small business space, copies of letters of intent from suppliers and clients, resumes of people involved in the business and anything else that may be considered important to your small business.
9
Step Nine
Create a cover sheet and table of contents for your business plan and organize it into a presentable package. Tie up any loose ends you may have run across in the process of writing your business plan.
Tips & Warnings
* Be organized in your research and presentation for your business plan. Many great ideas never get off the ground due to poor organization.
* Use charts and graphs when appropriate to add a dimension to your business plan and explain forecasts and goals visually instead of in a mass of text.
* Make your small business plan look professional as well as interesting. Use color and graphics where appropriate but be careful not to make your small business plan look cheesy.
