Do you know that Start-ups in the US are 2.5 times more likely to go into business if they have a written business plan?
Developing a business plan is one of the most critical steps in starting a business. It sets out the business goals, market analysis, and prospective financial information. A business plan provides a rationale for starting a business. It chalks out various milestones and targets for the entrepreneur. It defines the product or services offered and tells how the new entity is uniquely positioned to capture the market. The document also plans how much funds will be required for starting the business and who will provide the necessary funds.
A business plan is a thorough document. An ideal business plan would have no vague area. The primary purpose of a business plan is to manage execution risk. Having an obscure area means that there is a gray area that may result in the delay of implementation of the project and may result in a postponement in expected return as provided in the plan. In other words, a business plan is working through each element to ensure nothing is overlooked.
A business is there to make a profit. The only way to find out whether the entity is profitable and viable is to work out details of costs and incomes. For estimating expenses and revenues, we need to understand our product/services, their market costs, and our costs to manufacture the products or deliver those services.
One of the reasons why a business plan is made is to get a loan for the business. The lenders want to see the viability of the business, the profits, the timelines of cash flow, and the capability and capability of the management team to deliver the targets mentioned in the business plan. Once the lender feels that all the elements have been clearly defined and there is a solid plan to manage the risks, it would be happy to finance the business. In other words, a good business plan improves the chances of getting a loan.
Making a business plan clarifies where outside help is needed. In the beginning, due to a lower volume of work in some areas, such as accounting and bookkeeping, marketing, etc., it is not beneficial to engage full-time employees to carry out those functions. A good strategy is plug in those skill gap by outsourcing certain functions. Once the business reaches to a level where workload allows full time employees, bring in-house team to take over those functions.
To determine the need of the market and product/service features required by the customers, it is important to carry out market research. Market research can provide you with demand-supply gap and projected product/ service price. Getting this information and utilizing it in the business plan would give an edge and provide comfort to the users of the business plan.
We can guide the entrepreneur on the development of the business plan. Order your business plan now, and we can work with you to develop a professional business plan that can provide answers to the users of the business plan.