Chalk out a business plan

After you are sure you have understood your business, it’s time to chalk out a business plan. You can do it yourself or with the assistance of a professional. Here are the steps to be followed to chalk out a business plan.

• Introduction
• The type of business; its aims and goals
• Suggested name of company
• Address/location
• Ownership and discussion of legal ratio, and the experience of the owners
• Estimated funds required and the probable sources of the funds
• Analysis of the market
• Where is the market?
• What are the trends?
• What is the competition, who are the competitors?
• Product analysis
• What is/are the product(s) and/or the service(s)
• How are the product(s)/service(s) ahead of competitors’? Where do they fall behind?
• Who will be the suppliers?
• What are the materials required (for manufacturing company)?
• Where will the materials come from (for manufacturing company)?
• What are processes/methods of manufacturing?
• What are the machinery required for manufacturing?
• Financial analysis
• Source and estimated amount of initial capital
• Monthly budget of operating
• Projected cash flow for the 1st year, and the expected returns during the 1st year
• The breakeven point (the point of time when you start making profits—‘ah, at last!’
• Marketing strategies
• Products and services offered
• Pricing of your product(s) and services
• Identifying the target segment of customers
• Define the market size
• Advertising plans with the medium(s) of advertising—indoor advertising, outdoor advertising
• How the products will be distributed and sold
• What about the servicing of the products (say, if you are manufacturing or importing electronic goods, or furniture)
• Special promotional offers
• Hiring Policies
• Estimated manpower requirement
• Skills required
• Salary, wages etc.
• Defining the hiring policies
• Marking out the responsibilities
• Training needed
• Management
• Type of business organization (ownership/entrepreneurship, partnership, private corporate, public corporate, non profit, etc.)
• Details of board of directors
• Details of officers

Does it look perfect? Do you think you can go about it?

Great! Get going.

Remember, don’t be too rigid with your chalked out plans. As you actually proceed with your startup company, will find, you have to accommodate many changes and alterations. Allow changes as you proceed. That’s the way things happen. That’s the way the world goes. The business plan is there to help you, not to prevent you. So, make changes in your plans as required. And best of luck. Your next step is to get business capital.