Starting a small business is a dream for many people but there are many logistical elements to consider in order for your business to become a reality that begins with establishing a plan for your business.
Business plans are a written statement that outlines a set of goals, objectives and financials for your business.
The plan establishes a focused statement about who you are, what you plan to do, how you plan to do it, and what you will need to execute your business.
Business plans don't generally follow the same model from company-to-company but the following main components should be addressed according to the Small Business Association: o Executive Summary: This is a written outline about your business including goals, objectives and plans for the future of your company.
Even though this opens your business plan it should be written last since you will need to fully understand all the fundamentals of your business before you can truly talk about it.
o Company Description: This segment will emphasize the composition of your business including logistical elements and design plans.
You will also need to address your experience and particular expertise to run a business.
o Product or Service: This will describe what your business will offer and what products you are selling, focusing on what your business will bring to customers.
o Market Analysis: This section will address your understanding of your target market including demographic data and an assessment of your competition.
o Management Team: This section will discuss projected employment positions and describe what each position will entail.
o Financial Plan: This will describe an outline of your projected first year financials including potential loss, profits, cash flow, and break-even analysis.