What is a business plan?
A document comprised of a written narrative and a three-year financial projection that mirror each other and create a road map for management and a compelling story for investors or lenders.
Why do I need a customized business plan?
It is “a proof of concept”.
The creation of a business plan requires
i) Research of your intended market and the current competitors,
ii) demographics of your geographic area of focus,
iii) development of a pricing strategy that covers your compensation and expenses plus produces a profit, and
iv) a three-year financial projection (budget).
If when you have completed the business plan, it will support your concept and encourage you to move forward – or – it will cause you to re-think and possibly save you, your family, or your investors substantial money.
Why do I need a customized business plan?
According to the U.S. Bureau of Labor Statistics (BLS) approximately 20% of new businesses fail during the first two years of being open and 45% during the first five years. A “canned” business plan does not differentiate your concept from others. A customized plan requires that you describe how your business concept is unique and will succeed.
What are the components of a good, customized business plan?
Depending on the business model, Lenders and Investors are looking for most of the following items in the business plan:
- Executive Summary
- Business Model
- Product Description
- Need for Business and Solution
- Financial Needs and Uses of Funds
- Company Structure
- Company Background
- Mission Statement
- International Industry Analysis
- Geographic Industry Analysis
- Marketing/Sales Plan
- SWOT
- Milestones & and Timeline
- Minimum of Three Year Detailed Financial Projections
If I do not need financing or an investment, do I still need a customized Business Plan?
Among other things, the purposes of a business plan are
i) establishing milestones to strive to reach,
ii) establishing financial benchmarks against which to measure your performance, and
iii) identifying future needs for funding to smooth out seasonality or to accelerate growth. These are important even if you do not need funding now.
What happens if I do not have a customized business plan?
You will have to try to figure things out on the fly. You will be distracted by multiple elements that have not been researched and may miss valuable opportunities for your business to grow or become more successful. You may miss indications that an adjustment or change in direction is indicated. No General goes into battle without a well-thought-out strategy. Neither should a business owner.
Would you like more information?
Tell us a little about your business with an inquiry and let us begin mapping out your business success.