The idea of a startup is not a big thing but turning it into reality sure is. This is because it takes a lot of resources from the capital, human resources, and time. Further, as things grow there are legal challenges along the way as well. Because of this, writing a business plan for a start-up should focus on just on the business, but also on setting up the baby-steps of the business.
At present, making investments in other countries is also made easy. For instance, Canada has initiated Startup Visa Program allowing entrepreneurs to invest there. Quite interesting, right? So learn more about it to get your business going to new heights. Certainly, it is possible that those involved at the very first stages are not experienced in the respective fields. They may be engineers, college kids, or even mildly literate people who have an idea of a business on a small scale. Turning it into a startup as an entrepreneur is a big step forward. Below are some steps to achieve this.
- First, start with an executive summary. Primarily because it is important to have a clear objective for the business you want to set up.
- Focus on the company description where you mention size, target audience, team, and so on.
- Do the market research because this is key to understanding the audience, and how to market your product. It tells how and who your competitors are, and how you can beat them.
- Have a description of your products and services because they must be crisp and clear. To anyone reading this summary, it should speak out loud and clear.
- Then, go to management and operational structure because this will give the best return in time. If you invest in efficient management at the beginning, it will save time later. Many small projects end up in chaos because of poor management skills or even total negligence of this aspect of the startup’s business plan.
- Turn towards marketing and sales because devising strategies will need to be a priority. You should be able to sell your products or services quickly in the beginning phases because that is the key moment. Your marketing strategies will set your initial impression in the market and among the people.
- Finally, financials are the one thing that will come to haunt you. From time to time, you will need investments from banks and other agencies like startup incubators. Finance is essential to push products and services forward because you will need to pay people a monthly salary.
When writing a business plan you must take time and references from other successful ideas. Yes, there are several online templates that you can use as a framework but the final output depends on the idea and the effort behind it rather than the template. The template can help you as a guide because you must stick to standards used by the industry. So, applying to different local or international opportunities will be easier.
Priorities of a Successful Business Plan
It is found that writing a formal business plan increases your chances of succeeding in competitions by 16%. That is, raising capital for your startup will be easier. Because no bank or investor will donate anything without a solid business plan that focuses on return and profits. Secondly, companies with a proper business plan see a relatively higher growth rate in the market.
- Identifying clear objectives is crucial because it gives you a direction. It is the clear reasoning behind going into a business in the first place.
- Identifying the target market comes next in priority because the product, price, place, and promotion will dictate everything. These are known as the 4 Ps of Business Plan. Focus on gender, age, income level, ethnicity, geographic location, and so on.
- Analyzing the competition comes next because you need to be different. Start with the name, symbol, values, branding, culture, attributes and personality of the brand, and so on.
- Prepare the budget accordingly because you will need those numbers handy. A business plan should focus on solid budgeting and stick to it. Consider property, equipment costs, legal fees, inventory, labor, payroll, insurance, and so on.
- Include financial projects because this adds to your credit relative to other business plans without one. You can base these on total population, business expansion strategies, percentage of market cover, and so on. Cover the break-even analysis because investors will favor you if you have it.
- Don’t forget to mention the power structure before you finish. Because a business plan must have a hierarchy starting from owner, manager, marketing head, HR, sales, advertising, copiers, and so on.
It is a big thing to contribute to society by solving real-world problems and, establishing businesses and startups to lay the foundation of the same. Because it is always from the humble beginnings that companies grow, brands become big names, and society progresses. So, if you have an idea, make a business plan that justifies the same and, fulfilling the dream.