Gather your basic financial statements
Provide documentation Financial statements are ;formal records of your business' financial activities. There are four basic statements:
Income statement: Your bottom line subtracting costs from revenue to come up with net profit
Balance sheet: A financial snapshot that shows what you own, what you owe, and what your company is worth
Cash flow statement: A cash monitor that follows the flow of cash in and out of your company
Budget: Your financial forecast that indicates where you plan to make and spend money
Determine your audience
Identify customers and the competition This is a critical part of a successful business plan. ;Incorporate research on both groups.
Ask these questions of customers: Who is buying, what do they buy, and why ;do they buy?
Ask these questions of competitors: How big are they, which customers are they after, and what is their strategy?
Incorporate these elements
Consider these topics
Plans: Company mission, vision, goals, and objectives that all work together
Organization: A structure for your company that makes sense
Procedures: Efficient and effective ways of doing things
Leadership: An ability to influence and encourage others around you
Skills: The talents and expertise your people need to succeed
Culture: Beliefs and attitudes that lead to doing the right thing
Consider the other factors on this list of business-planning essentials:
Get everyone involved in setting goals and objectives
Learn all you can about your customers
Understand who your competitors are
Identify your strengths and weaknesses relative to opportunities and threats
Determine which capabilities you absolutely need to succeed
List all the things you do that add customer value
Make sure that you do your financial homework
Imagine several different versions of your company's future
Avoid business failure
Do your research, and prepare If you're not prepared, your business will likely fail.
Establish a long-term company vision Be sure to establish and follow clear goals and objectives to meet the vision.
Prepare for change Stay flexible and you will succeed.
Focus on the customers And whatever you do, don't underestimate the competition.
Be a strong leader Communicate well, and often.
A well-developed business plan is critical for any start-up business. To develop a thorough business plan, research your customers and competition; avoid mistakes that lead to business failure; and know how to implement a business plan and make it work. Your business plan should include a basic financial statement, all major pieces of a business plan, and information from your business-planning checklist.
Keep your focus on these three things:
Cut costs to the bone
Offer something unique
Focus on one customer group