A business does not materialise out of thin air. It often starts with a plan, and having a good, thorough plan can be the difference between success and failure, especially when you are starting out in an unfamiliar country. Then again, when applying for a business permit, submitting your plan to the authorities is a very important step.
Technically, a business plan is a document that sets out the objectives, strategies, nature, target market and resources of the business.
Some of the functions of a business plan are as follows.
• Acting as a blueprint for the setting up and operation of the business
• Measuring the performance of the business
• Forecasting of goals
• Setting realistic expansion targets
• Generating capital inputs
• Supporting documentation in an immigration application
• A review tool in assessing the performance of the business
• An advertisement to potential investors
What a business plan consists of
A business plan should outline the details of your business operation. This means that it should give some indication as to your chosen course of developing the business, where the capital is going to come from, and who is going to be involved in the business.
You need to be able to give a clear account of these factors so that you can attract investment and convince others of the feasibility of your intended business. The following sections of the plan are essential.
This is a synopsis of the business, and it needs to be hard-hitting and factual. Since it is probably the first part of the plan that people are going to read, it needs to be well formulated and concise.
Description of the business opportunity
This section leads on from the executive summary, and gives further details as to the nature of the business and its operations, such as who it is aimed at, what the product, how it is going to be supplied, etc.
This is a technical analysis of the nuts and bolts of the business. You can go into as much detail as you want to in this section, and the more the better, because it will prove to people that you are serious and that you know exactly how you want to do things.
Marketing and sales strategy
In this section, you go into more detail as to the target market of the proposed business, and also as to how you will reach that market with advertising and distribution.
This is an extremely important section of the business plan, because this is where you supply the projected and existing financial figures of the business. People who are numbers-orientated will probably want to see this section. You can use this section to prove to them that your intended business is feasible and will generate a profit.
As your business grows and develops, you can use your business plan to analyse where you are going right, and where you are going wrong. Forecasting and regulation become a lot easier when you are working to a plan which gives you measurable benchmarks and goals.
External conditions change, and your business needs to be able to adapt. However, if you have planned properly, you may already have taken such changes into account, and you will be able to ride out the storm more easily. By making a business plan, you equip yourself with the information and strategic data that you need to be able to run a successful business in changing times.
We can assist with business plans and make sure that everything is included, should you be required to submit these to the authorities. Contact us on firstname.lastname@example.org.