Many business plans are long, boring and ineffective. If you’re finding it difficult to write your business plan – the chances are nobody will read it.
Here is what you need to include in your effective business plan:
Start with a summary of your business.
It needs to be clear, concise and more than anything else, it needs to communicate what you are actually doing. It is very easy to get caught up in waffle and meaningless pages which don’t further anyone’s understanding of what your business does, how it will make money and why customers will want your business to exist.
Outline the market opportunity.
Essentially, what gap is your business filling in the market? You need to outline target markets, possible threats and how your business will fit into that market. It’s a mistake to think that your business is always entirely unique – what is important is how the business will operate in the market out there.
Outline your competition.
Who else on the market is occupying the same or similar space to you? You need to include why customers will use your business rather than the opposition and how you will achieve that.
Outline your business model.
In this section, you need to outline the company’s costs and the revenue streams. This must be detailed and you may want to include names of anyone specific you will be using in your venture – suppliers, distributors, etc.
Outline your financial projections.
Your cash flow statement must be accurate. Be sure to compare your income and outgoings correctly in your quarterly statements.
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