Make a website now! Activate 15-day FREE trial
15 day trial featuresWhat is a business plan?
A business plan is a document that defines the goals and strategies of a company. They are used by the management to prepare a roadmap for the business. They are also used by lenders and investors to decide whether a company has a clear financial plan to repay a business loan or provide adequate return on investment (ROI) to its investors.
Why write a businsess plan?
Why write a businsess plan?
A business plan is useful for showing potential lenders and investors that you have a viable business concept along with a proper strategy to achieve your goals.
Business plans are also important for established businesses. A clear and well thought-out business plan helps the management set goals and keeps them in focus.
How to create a business plan
There is no one best approach to drafting a business plan. However, the majority of them tend to stick to a similar general structure and set of guidelines.
1. Executive Summary
This is the start of your business plan. It should contain a purpose statement, a brief outline of your products and services, and an overview of your goals and strategies. Although the Executive Summary is the beginning of the business plan, it is better to draft it at the end. That way it is easier to pull out the crucial parts since the document has been completed.
2. Company Information
This is where you introduce your readers to the company. The introduction should be short and to-the-point while taking care not to omit any important information.
You may include details like:
- Business description
- Mission & vision statement
- Business structure
- Brief history, growth, and development
- Customer portfolio/customer profile
The objective of this section is to give your readers an overview of your company and where it stands vis-a-vis the competition.
3. Market Analysis
As a firm, understanding your target market is crucial. Market analysis or market research includes a study of multiple factors like market size, customer behaviour, competitive analysis, market gap and so on. This part of the business plan should also elaborate on your competitive advantages and highlight what makes you unique from the competition.
4. Management Team
The reader is introduced to the firm's top management in this part of the document. List the names and profiles of your senior leadership including their roles, responsibilities and skill set. It is important to highlight how each member is expected to contribute to the success of the company.
5. Product or Service Line
Details about your products or services should appear here. Some details you may include are listed below. The information may differ depending on your industry sector.
- List of products and services
- How they are used
- Product/service categories
- Product/service lifecycle
- Pricing structure
- Logistics and order fulfillment plan
- Distribution plan
- Sales plan
- Customer profile
It is important to include pictures of your products and services where possible. If you have intellectual property like copyrights and patents, this is where they should be listed.
6. Marketing Strategy
Here you will demonstrate how you will reach people with your marketing strategy. It is important to define your regional targeting as well as your nationwide strategy.
This is a good place to explain the pricing strategy of your goods and services and the reasoning behind it. Any successful business plan must be able to balance a healthy pricing point with an adequate and sustainable profit margin.
7. Financial Plan
A company must ultimately turn a profit. This makes the financial plan one of the most important parts of the document. Established businesses should include a profit and loss statement, a balance sheet and a cash flow statement, along with their financial projections, while new firms can focus only on their fund sources and financial projections.
A financial projection should include numbers for at least a three-year period. This will help lenders and investors understand how you intend to repay them or generate ROI.
It is a good idea to include charts and infographics here to make it easier for your readers to understand your finances.
Qualities of an effective business plan
It is realistic and implementation is possible
Business plans must be realistic. A business plan that contains unrealistic financial projections or estimates is pointless even if it is well-crafted. Good business planning is the product of high quality data coupled with realistic inferences and estimates to create business goals and generate projections.
The accountability for execution is spelt out
Every important duty and function needs to be assigned to an individual, and this must be delegated by the business owner. Unowned tasks are less likely to be carried out than ones that have been assigned. A business plan must be reviewed to ensure that each task is being handled by a particular individual so that there is accountability.
It makes the assumptions you make explicit
Because business projections typically involve some assumptions, stating them is crucial. Assumptions have the potential to go wrong and thus they must be highlighted. This will allow prospective investors and lenders to be fully aware of the risks. It will not only help your investors make the right decisions but also demonstrate your integrity.
How Boost 360 can help your business
Every business needs a marketing strategy and Boost 360 can help you implement yours. With affordable subscription rates and a variety of plans to choose from, Boost 360 is the smartest and easiest way to implement your business plan and grow online.
Key features
- Create a website in minutes
- No server or hosting costs
- Promote your business online
- Secure digital platform
- Web management app and portal
- Display products & services
- Collect online payments
- Communicate with your customers
- Start social media marketing
- Get a dynamic business app
- Automatic website translation
- Cost-effective subscription plans
Products or services, Boost 360 works well with all
Frequently Asked Questions
How to start a business plan?
Every business plan starts with an Executive Summary that highlights the purpose of the document, briefly mentions the product or services, and outlines the business strategy of the company.
What are the elements of a business plan?
A business plan usually comprises the following elements: executive summary, company information, market analysis, product or service line, marketing strategy, management team, and financial plan.
Do you need a business plan to launch an internet venture?
Yes, you must develop a sound business plan by studying the industry, the marketplace, and the competitors to increase the likelihood of success for your internet business.
What is the importance of a business plan?
Business plans are used by lenders, investors and stakeholders to gain a better understanding of the business. They also help the management to set benchmarks and focus on their business goals.
What components of a business plan are the most crucial?
Although all parts of a business plan are important, the two most crucial sections are the Executive Summary and the Financial Plan.
How can Boost 360 help me with my business?
Boost 360 can help you execute your business plan by giving you access to an effective digital marketing and e-commerce platform to help you grow your online business.
Need help? We’re here!
Our experts are always here to assist you with any questions you may have, and help you get your business online. If you are interested in knowing more about how Boost 360 and YouTube can combine to help you promote your business online, feel free to connect with us. We would be happy to show you how you can use both these applications to drive online marketing.
Our experts are always here to assist you with any questions you may have, and help you get your business online. And if you want to further improve your online skills, head over to Boost Academy. You'll find many relevant resources there.
15 day trial features
1860-123-1233
ria@nowfloats.com- 1
User profile created successfully.
- 2
Business profile setup
- 3
Need help building your website?
Share your contact details to receive a callback from our experts.
Need help building your website?
Share your contact details to receive a callback from our experts.
Speak to an expert.
Or
Share your details to receive a callback.
