A business plan outlines your business’s financial goals and explains how you’ll achieve them over the next three to five years. Here’s a guide to writing a business plan that will offer a strong, detailed road map for your business.
Write an executive summary
This is your elevator pitch. It should include a mission statement, a brief description of the products or services your business offers and a broad summary of your financial growth plans.
Describe your company
This should contain basic information like: Your business’s registered name. Address of your business location. And names of key people in the business.
Your company description should also define your business structure — such as a sole proprietorship, partnership or corporation — and include the percent ownership that each owner has and the extent of each owner’s involvement in the company.
State Your Business Goals
This section spells out what you’d like to accomplish, both in the near term and over the coming years. If you’re looking for a business loan or outside investment, you can use this
section to explain
how the financing will help your business grow and how you plan to achieve those growth targets.
Describe Your Products And Services
In this section, go into detail about the products or services you offer or plan to offer; such as: An explanation of how your product or service works. The pricing model for your product or service. The typical customers you serve. And your supply chain and order fulfillment strategy.
Do Your Market Research
Lenders and investors will want to know what sets your product apart from your competition. In your market analysis section, explain who your competitors are. Discuss what they do well, and point out what you can do better.
Outline Your Marketing And Sales Plan
Here, you can address how you plan to persuade customers to buy your products or services, or how you will develop customer loyalty that will lead to repeat business. Include details about your sales and distribution strategies, including the costs involved in selling each product.
Make Financial Projections
This is a critical part of your business plan if you’re seeking financing or investors. It outlines how your business will generate enough profit to repay the loan or how you will earn a decent return for investors.
Culled from:https://www.nerdwallet.com
