Today, all people who are planning to start a new business or are looking to develop a new part of their business, even if their business is small, must have a proper strategy and business plan at the beginning and before any action to start their business. They must have a well-planned route for the next 3 to 5 years to achieve their annual goals. If you want to know how to write a workable business plan, I suggest you stay with us until the end of this article to gain an understanding of the 5 main ways to do this.
Writing an executive summary
The executive summary is one of the sections that briefly shows you where your business is located. Where does this business want to go? And what is the reason for the success of your business idea and plan? The Summary of Operations section is usually the first part that the reader encounters and the last part that is written. This section is very different for start-ups compared to companies with a long history.
If you are new to the world of business, your business information is not as good as that of a reputable company. Therefore, you need to focus all your attention on your experience, background and goal of starting a new business. You need to do your market analysis properly, gather enough information about market needs and market gaps, and identify ways to address those needs so that the reader can be convinced by reading your Summary of Operations that you can achieve your goals. With excellent financial and marketing planning, you can be one of the most successful and profitable businesses in the near future.
Defining your business
Describing a company is one way to write a business plan that identifies the various segments of your business and can actually define your mission. A company description shows how your products and services can meet the company’s target needs. This section covers things like how a company operates in the B2B or B2C field and can fully define the nature of your business.
In this section, the company fully defines the business goals and how to meet the needs of its target market and can fully express the benefits of competing with other companies that make yours successful. Usually, in the company description section, the main purpose of the company and the reason for the formation and mission of the relevant brand should be fully stated.
Market analysis in business plan
People who have just started their business must find information about this industry and have the necessary knowledge about this industry in order to have a large market share. In this section, you can also find a lot of information about the effective performance of these companies through internal analysis, reviewing, and comparing how the company performs compared to other competitors and also to the ideal situation. In the market analysis section, SWOT analysis should be used, which we will fully explain to you in the following sections of this business plan.
Real strengths are one of the factors that drive the growth of your business. Strengths include the people you want to hire and you need to consider factors such as their background education and experience as well as how they relate to your customers.
In other words, all the things that you can focus on to achieve your company’s goals are called strengths.
Factors that need to be improved or else they might prevent your business from gaining a competitive advantage. Weaknesses are factors that can be attributed to lack of experience and limited access to financial resources or labour and incorrect strategy of the company. You need to incorporate the strengths and weaknesses of your business into your business plan in the market analysis section and be very realistic about them.
Opportunities are external factors that have a great impact on the growth of your business. With these opportunities, you can use marketing strategy to grow and improve your business status, but the important issue in this regard is how you use these opportunities in your business plan.
Threats are uncontrollable external forces that disrupt your business growth process and can include poor economic conditions, societal misconceptions about industry or business, strict rules and regulations, changes in consumer behaviour, and more.
In addition to the SWOT analysis mentioned above, market research can also provide practical and accurate information about the market and the position of your business. Usually, market research should be done at specific intervals so that you can identify your opportunities and threats well and be prepared to start your own business.
Considering your target audience
This section is one of the most important parts of your business plan and divides your business structure into a diagram that shows the hierarchy of powers and characteristics of the managers and heads of each department in your business plan. By reading this part of your plan, your audience will find out who is involved in your business. What are the records of these people? What is the reason for choosing these people as members of the board of directors or employees? What responsibilities do they have? What rights and benefits are provided for these people? What motivational stimuli can you consider for these people?
By answering the questions listed in this section of your design, you can reassure your audience that your brand value and credibility are much more than just a name on your business plan title.
Defining your products & services
What do you produce in your business? What services or products do you offer? How can you meet the needs of your target market? In this part of your business plan, you can answer the audience’s questions correctly and clearly state the benefits provided to your customers in this plan.
This section of the business plan covers the advantages and disadvantages of the products, the longevity of the products, research and legal agreements, and all the details about the rights and privileges of the consumers. In this section, you can explain why the customer chose this product and focus all your attention on the competitive advantage of your business and show it to your audience prominently.
Other important points in the business plan
The material in this article is one of the most important parts of writing a workable business plan and adhering to it, but in addition to the above, you should focus on other important areas, including marketing and sales, as well as financial status. You express:
- Marketing and sales: In marketing, you need to describe how to grow and penetrate the target market, along with distribution channels and various ways to communicate with customers. In the sales department, you should specify and describe your sales team in the business plan and consider all the processes related to training, sales strategy and recruiting your potential customers in this plan.
- Financial status: You must include any requests for financial assistance or loans in your business plan. In this section, you should be able to determine your current and future financial needs and the type of financing and its periods.
In the last part of the business plan, you should add information such as validity dates, referral names, certificates and licenses, legal documents and manufacturing permits, contracts and a list of business consultants, and the like.
Nowadays, all businesses must have a viable business plan to be introduced and seen that can clearly show all the future prospects of the company or brand to the audience. To write a great and workable business plan, you need to use all the methods that we have fully explained to you in this article and include them in your plan. All of these ways are important, and you need to focus on them so that you can write a great business plan and show it to your target audience.