A business plan should include all the information that a financier or investor would expect to see before providing finance to a company. In order to be considered a good investment proposal, you should adhere to the guidelines that financial investors seek and include each of the integral components listed below.
Business Purpose: Vision, Mission & Goals
Business Model: Industry Research, Market Research, Products & Services
Business Strategy: Marketing, Sales and Operational Strategy
Competitor Analysis & Target Market
Legalities & General Compliance
Upon opening the business plan, investors and bankers will first see the Executive Summary which provides a summary of the entire document. An executive summary should be written last and usually consists of just one or two pages. It needs to be concise and attention-grabbing in order to hold the reader’s interest.
The business plan you are compiling should always outline your company’s vision, mission, and goals. These key aspects will enable you to effectively communicate the culture and objectives of your company to potential partners, financiers, and employees.
One of the key goals of a vision statement is to draw in and retain enthusiastic, like-minded professionals. Everyone benefits from having a clear understanding of the large picture provided by a corporate vision statement, which creates the conditions for better decision-making and consumer targeting.
Followed by a mission statement, the mission statement in your Business Plan outlines how your business will carry out its vision after establishing your vision. The mission statement explains what your business offers, how it does this and who it helps. Your company will fulfill its vision if it stays true to its mission. Keep your mission statement concise, detailed, and easy to understand when you compose it.
Marketing and Sales Strategy
Marketing is the process of generating leads. Lead generation is probably the biggest operational reason for your success or failure as an aspiring entrepreneur, a start-up or a small business. If you cannot generate a lead, you cannot make a sale, and if you cannot make a sale, it does not matter how valuable your product or service offering is because nobody will pay any attention.
Sales is the process of converting generated leads into closed business. Sales for many entrepreneurs and small business owners is a scary concept, as people do not want to feel like they’re being a nuisance when making sales calls all day.
However, marketing and sales is nothing other than an excellent product or service, at an affordable price, communicated clearly and delivered with excellence. The better your product or service offering, the easier the process of marketing and sales will be, as you believe in the value you offer to the market.
Operations is the effectiveness in which your business runs from day to day. The better the systems, the smoother the workflow. Strong operations will also help a small business owner to exit his/her business and work on the business, rather than being the business. Watch this short video to find out more about how to create a viable and strategic operational plan as well as why it’s important.
If you’d like us to assist you in compiling your Business Plan, give us a call at 021 834 9799