10 steps to success of an effective business plan

Business Plan example
We all tend to map things in our heads and together with some rough calculations on the back of an envelope, we quickly convince ourselves that it is possible. In practice, we tend to hide the less attractive details. Therefore, many people plunge directly and start a business without the necessary planning, which often results in a false start costing the owners money and time. Business plans

to vary considerably but the essential sections are listed below:

(1) summary.

The summary gives a brief overview to the company. It is similar to the elevator conversation where someone important to you asks what is this? Why are we looking at it? This is your chance to make a quick print and engage the reader so they understand where you come from.

(2) Analysis of the industry.

Probably the biggest risk for any business is a lack of knowledge about the industry and market. It may seem a good idea to start a new lifestyle and manage a farm of olive as described in our example. Probably many people are doing just that. They invest all their savings for the company. They mortgage their home. Then they rely on the chance to make things work. In practice, there is nothing to replace thorough research an analysis of the industry and market.

(3) The Company

The business section of the business plan is a simple statement of facts clearly stated. It usually results in a summary page showing a factual business relationships.

(4) Products / Services

Companies can take many forms and can offer either products / services or a combination of both. For example, a company that sells floor tiles can also offer to lay the tiles as a service. This section should clearly describe the products and services offered by the company.

(5)

Production This section should be very dependent on the nature of your business and we just use the sample illustrates how this can be done. For example, if we had a cake shop, we would need to consider:

o The raw materials such as flour, eggs, etc.
o The tools that are needed such as blenders, oven etc
o instructions and processes used
o the time for each step

for many companies there will be no production as such, but the services you can provide and the section could be used to describe the methods used to deliver these services.

(6)

marketing marketing strategy should be a simple statement to set the scene for the rest of this section. It allows the reader to focus on the areas of interest rather than looking at the full range of marketing opportunities.

(7) The financial information

You must be able to express the current financial situation of the company of the easily understandable way by the reader. For an established business this would involve the use of a balance sheet that clearly details the assets and liabilities and capital or equity owners.

(8) Management and staffing requirements

This is a simple statement of how the business will be managed. Want to manage the business yourself or will it be necessary to employ supervisors etc. Provide an overview of the planned personnel needs and how they will be used.

(9) Financial spreadsheet attachment

There is a clear need for financial spreadsheets to provide basic data about the company. These can be rudimentary calculations or detailed and complex spreadsheets, but the basic intent is the same.

(10) Other attachments

This may include any other relevant documents, such as product brochures, plans and specifications. However, a recommended attachment is a bibliography listing the sources of your search information. This gives great credibility to the whole plan.