In other words… It all makes sense in your mind. It’s time to put what’s in your mind on top paper for everyone else to understand!
If you have a business already or if you are thinking of starting one–a quality business plan is a must have! This is a plan to ensure you can be as prepared as possible for anything that may come your way.
Why Business Plans are Important
A quality business plan will not only help get your business started, but it will also help you keep yourself and your employees accountable, while giving you a roadmap for future growth.
- Think of your business plan like Google Maps to your destination. You know where you’re going but how are you going to get there? A quality business plan guides you through each stage of starting and managing your business. You’ll use your business plan like a guide for how to structure, run, and grow your new business. It’s a way to process through all the key elements and small details of how your business will function as a whole.
- Writing a business plan is relatively easy. Your business plan is a written document all about your business! It may include future projects, outlines, a clear direction for your company and how it will increase revenue streams. It helps to think of it as a growing and living piece of your business, and not as a one-time document. Break it down into sections – one for sales and marketing, one for pricing, one for operations, and so on.
- A well-thought-out business plan helps you to step back and think objectively about the key elements of your business and informs your decision making as you move forward. Keep in mind that the plan does not have to be like an encyclopedia and does not have to have all the answers.
- Having a high-quality and well-written business plan can help you get more funding or potentially bring on new business partners. When you already have one in place, it will help investors feel confident that they will see a return on their investment and give perspective to the road map you’re going to use to get there. Your business plan is the main tool you will use to persuade others that are working with you (or investing in your business) that this is a smart decision.
- There’s no reason NOT to have a business plan–they are easy! There is really no right or wrong way to write a business plan. The most important part of your business plan is that it meets your needs–you can pick a plan format that works best for you and your goals. Most business plans fall into one of two common categories: traditional or lean startup.
Business Plan Elements
We definitely recommend developing a comprehensive business plan. To help you get started, we have identified 10 keys to a successful business plan:
- Executive summary (including a mission statement)
- Business model
- Target markets and market analysis
- Marketing plan
- Business goals
- Location [we’ll blog about this one specifically in a few weeks]
- Financing and funding requirements
- Operations and organizational management
- Hiring employees
- Lifestyle design
Tips to Succeed
Lots of entrepreneurs have a difficult time starting this journey–the secret here is to just start! Get with your team, lock yourselves in a room, (with plenty of snacks, of course) and get to work without distractions.
Remember, this is a document to use internally AND externally. Keep it short and interesting. Tell your company’s story without being too wordy or dull. You want future investors/customers to read this document and be excited about potentially investing in what you have to offer. We aren’t looking for a really long document here–so keep it as concise as you can while getting your point across.
A best practice when setting goals is to use the SMART goal model. We want all goals to be Specific, Measurable, Attainable, Relevant and Time-bound. We believe you’ll be more successful in your business plan using this goal-setting model!
Pro-Tip: Sometimes it helps to process your business plan with an outsider. LegalZing would love to help you write this plan for your business so you can focus on other important things.
LegalZing is here to help you and your business succeed. Not only within the first six months, but for the longevity of your business. Business planning is one of our specialties, and we have a team of people waiting to help you get started with yours today! Don’t hesitate to set up a free discovery call with us. We are more than happy to talk with you and see how we can spur you on in this crazy and fun entrepreneurial journey.