How to write a good Business plan

How to write a good Business planIn order to understand how to write a good business plan following points should be kept in mind:

Point 1: Purpose of business plan: You must determine whether you are:

 An entrepreneur who needs start-up capital?

 Expanding your business that needs business plan to provide a course of action or evaluate a new product?
 An organizational leader who needs a clearly defined business strategy for your company?

 A consultant who needs to develop a marketing component?

Point 2: Target your audience so as to determine clearly how to write a good business plan
Once a purpose is established you should determine the target audience. Begin by deciding whether this document will be used externally, internally or both.

Point 3: Audience specific plan: Creditors and investors:

 What does funders look for? A financial history is important to creditors. Investors would like to see knowledge, experience and ability of the management.
Internal Audience (leadership)

 Clearly outline business strategy and show how the business will be successful.
In case of mixed audience a combination of both elements will be necessary.

Step 4: Standardization & Components will be easy after learning how to write a good business plan

 Executive summary: It will be the first document to be read and should emphasize why this plan should be supported and the strength of the plan and its outcome.

 Summary of company’s objectives: This should contain company’s long-term and short-term goals.

 Company description: Describe your business viz. manufacturing, retail, service-oriented. Also describe its legal form, such as a sole proprietorship, etc.

 Market analysis and marketing plan: The analysis should include market growth potential and how the company will increase its market share.

 Management team description: It should include organizational chart, resumes and biographies of key management staff.

 Financial analysis and plan: This section must show commitment to the financial success of this venture.
 Operations plan: The operations and management plan is designed to describe how the business functions on a continuing basis.

 Appendices: This will include charts, graphs, worksheets, etc.
Following are the KEY to learn how to write a good business plan:

 Devote necessary time to learn how to write a good business plan. It must be a clear, concise and usable plan.

 The feel: use the text to convince and excite your audience and use the supporting documents and graphs to prove the success of the business plan.

 Development: Research for the appropriate information. This will be worth to learn how to write a good business plan.

 Devote the appropriate time: No one knows the company better than you and you can successfully show this if you learn how to write a good business plan.

 Implementation: A good business plan is practical and contains simple, specific, clear and realistic elements.

 Use general management principles and processes to define strategy and to set realistic and measurable goals.

 Results: Make a practical and implementable plan by focusing on all details of the entire process.
If you learn well that how to write a good business plan you certainly can be successful in implementation of strategy and raise fund for your upcoming business.

Find out more about How to write an executive summary and read about Manufacturing technology