How to Create a Business Plan

Starting a business is a rewarding and satisfying career path that can lead to a lot of success and financial stability. But the first thing you must do before starting your business is to create a thoroughly researched business plan.

Why Should You Create a Business Plan?

A business plan maps out your entire business to give you a clear vision and understanding of what it takes to make your business a success. A business plan is also used to show banks and investors proof of concept if you need to get financing. Make sure you spend all the time you need in the planning phase as this will prevent hardships later in the execution phase.

As they say, if you fail to plan, you are planning to fail. A business plan is a blueprint for a successful business that you can refer to each step of the way.

A business plan accounts for all the little details that make your business run smoothly. From creating your business name and brand identity, detailing your start-up costs to see if you need financing, to choosing what your marketing plan will look like; It helps you set goals and spot potential problems that could arise.

What Should Your Business Plan Include?

Most businesses can benefit from a business plan. How expansive you want to make the plan is up to you, but below are the key points you should consider when creating your business plan.

• Executive Summary — The summary of your business includes your vision and your value proposition. What does your company do and what problems can it solve? Below are a few things to include in the summary.
  • Market Analysis — You’ll need to research the current market and see what is already out there. Even if you don’t think you have any competition, you do. How will your business be unique and different from your competitors? What kind of prices are other companies charging for similar products and services?
  • Products and Services / Unique Selling Points (USPs) — So now that you reviewed the competition, make it clear in your business plan how your products and/or services are better and how they provide solutions to your customers. This is a good time to brainstorm precisely what you want to offer and narrow it down to a few key things you love and are good at. You can always add more or test new things out later. But don’t try to offer the world, start small and leave room to grow.
  • Target Customer — Who do you want to target with your business concept? You will have two to three target customers that will benefit the most from your business. Create a profile of each target audience that says their age range, education, location, occupation, hobbies, shopping habits and the like, so you understand how to create marketing materials that appeal to each of those customers. If you decide to do pay-per-click ads, you’ll need this information to target the ads to the right people.
  • Brand Identity — This is the story you tell with your brand. Depending on the kind of business you start, you want a brand that is going to stick in peoples’ minds and stand out. You want your brand name to be memorable. It’s ideal to choose a unique business name and one with a website URL that is available to purchase. We can help you register your business name and create a memorable logo and website that express who you are, your mission and passions.
• Financial Planning — A sometimes boring yet essential part of your business plan is all about your financials. This section is crucial because you need to see what funds you have available and what is required from outside sources to make your business a reality. Create a really thorough budget with every operation expense you think your business will have because you have to see the big picture to be successful. This is also called your profit & loss statement. You can include financial projections in this section of your plan, too.
  • Start-up Costs and Expenses — Research what your upfront costs will be and what the cost of doing business entails each month. Do you have enough to start and float yourself for the first few months while business may be slow? Do you need to get financing, and how will you go about that?
  • Staff — Do you already have a team working on this business with you? Include bios about your team members and discuss plans to build the perfect team. Depending on the scale of your business, you may need to hire employees too. Research what this involves and put it in your business plan even if you don’t plan to hire anyone right away.
  • Marketing Plan — How do you plan to market your business? Will you have a budget set aside for advertising costs, ads on social media or pay-per-click ads on Google?
• Business Model and Legal Structure — An important part of your business is to have the right legal structure and make sure your business is registered with the right authorities. It’s a great idea to hire a professional to get your business set up in the correct legal status. You’ll want a good accountant to handle your books and taxes too.
• Regulations / Licenses — Does your business have to follow specific laws and regulations or need certifications or licenses to open. Be sure you know all the requirements for your type of business and be prepared to get any licenses you may need on time so you can start your business when you want.

Now that you have a layout for your business plan you can get started on the right foot. It may take some time to create a good business plan, but it will be worth it!

Ready to Form Your Business?

If you have the passion and the skills to create a business that will stand out against the competition, your business plan will help overcome any potential struggles you may face. If you are ready to form your business, let us help you decide to register as a sole trader or a limited company. We can make the process easy so you can get your business going.

Are you ready to start your own business? At Mint Formations , we help you form your limited company or sole-trader status and take away all the stress that comes with starting a business. We’ll secure your brand name and get your company registered fast so you can start doing what you love.

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