Business plans are always important to people including in the real life where it is commonly used by young entrepreneurs who are interested in opening up businesses. Some other parties who might need a good business plan are BBA/MBA students and other companies seeking help with their business. Students who study business related courses are often assigned with business plan questions whereby they are required to write a comprehensive business plan over a certain business or title.
What is a business plan?
A business plan is a written description of the future of your business. This document shows what a potential business owner plans to do and the ways to achieve their goals. The investment-seeking entrepreneurs need this document written at the highest level. The integral elements of this document are:
- Business concept: the industry, structure, product/service, vision & mission
- Marketplace choice: Target audience, competitors
- Financial section: income + cash flow statements, balance sheet
- Other financial ratios
Main rules of writing a business plan
It should be brief
a better plan, make a simple 40-page document. The potential
investors will be bored to sleep by reading a 100 page plan.
Remember that an extended business plan is a big hassle to cope with, and it will be removed in the dust for ages if it does not make any sense.
Target the audience
You may be a graduate of an MBA program or expert in business terminology, but do not think that all potential investors will understand the ambiguous terms. It is better to avoid slang and foreign words as well. Make your language simple as you never know who will receive and read your business or marketing plan.
Never be intimidated
in your plan
Most entrepreneurs are not business experts. Only a small part of these people have corresponding degrees or certificates from business administration programs
Business plan outline
The outline is different from other types of academic assignments. It is not an essay where it is enough to include an introduction, body paragraphs, conclusion, and bibliography to get an A. The structure is more complicated. The format is free. Here is how a business plan outline should look:
- Executive summary
- Detailed product/service description
- Marketing strategies
- Competitive analysis
- Design + Research & Development (R&D) plan
- Operational and management plan
If you do not plan to go into details and provide numbers and financial forecasts, develop a mini plan to introduce the general idea. A working plan requires all of the sections mentioned above. Be ready to have a plan in Word, PDF, and Excel.Except for the main content and calculations, it is a good idea to prepare a presentation with a powerful speech to impress the potential investors. That would be the presentation plan where you mention the most critical points. The last type of plan is the electronic one for those who plan to present their ideas remotely.