When it comes to building their business, some people reject the idea of writing a business plan. They rush at this point and make a big splash by throwing their heads into the wall. While in real life, an informed investor knows that he can never put his money into a business if he does not develop a serious business plan that will ensure the future success of his business. If you have to start building a business, now know that the second thing you need to do after defining your business idea is to create a business plan. In the following lines you will see the importance of creating one…
What is the business plan?
A business plan is a business plan. A written document that clearly states what you want to do. This document, far from being a complete description of your project, is a summary of your entire business creation project. Whether you are starting a blog, or starting a real business, a business plan is the roadmap that accompanies you throughout the life of your business.
Although a business plan is a document written before starting a business, it will likely undergo changes during your tenure. So it is not fixed.
Is writing a business plan really helpful?
Is it important that I write a business plan? When do you write a business plan? Who is my friend? This is a series of questions that we most often encounter from new entrepreneurs or even those who are starting without writing a business plan first.
Sometimes some entrepreneurs overlook this important step in the direction of setting up their business. They end up realizing that they shouldn’t skip this step, but sometimes it’s too late and that’s a shame. To help you avoid making this youthful mistake, here are some helpful reasons why you should write a business plan after clarifying your project.
A- Reassure your banker Having a business plan when getting a loan is tangible evidence that you have conducted preliminary studies for your project. This well-written document will allow you to prove to your banker that you have the ability to pay off your loan even if your business fails.
b- Highlight your project : With such a document, you have the possibility to proceed with your project whoever you want.
C- Persuading your future partners and investors: By writing a business plan, you have the potential to impress potential investors, and attract additional partners by clearly showing them the chains of success of your project.
In addition to its above mentioned advantages, The business plan remains an internal and external communication tool Which results from a theoretical and practical working method.
Who should write a business plan?
The business plan targets 4 types of people and will need to be taken into account during the formulation stage:
- The businessman himself: who has the possibility to have on the paper the different stages that must be crossed to develop in his methodological approach;
- Banking: Writing a business plan will allow you to convince your bankers of the seriousness you put in your project and your resilience;
- Colleagues and Collaborators: Let them make sure you know where you are and where you are going by showing that you have a clear idea of your business and its development;
- Company through competitions: With a business plan in hand, you have the opportunity to participate in competitions dedicated to entrepreneurs. Without a clear business plan, you can be left out.
So it is important to note that the business plan varies from person to person. A business plan addressed to a banker is different from that directed to an investor.
How do you write a business plan?
Now that you’ve seen why you should write such a document, we now show you how to create your business plan to make sure you do it well.
Writing a Business Plan: The Six Essential Questions
The success of writing a business plan stems from the ability of any entrepreneur to answer basic questions. The entrepreneur will have to show his interlocutor that he has mastered his market and its evolution over time as well as the expected results. One of the most used methods is to respond to 3 QOCPs: WHO, WHEN, WHAT, WHERE, HOW and WHY. Below is an example of a QOCP Method 3 business plan.
In his business plan, the entrepreneur is obliged to specify the assumptions of employee turnover, and the method that should be used to achieve them. It’s not about saying “I will make 45,000 euros a month in sales” but rather demonstrating the means to be exploited in an informed environment.
For example, an entrepreneur could say: With 10 salespeople who will sell 100 products per day at €150, we will generate sales of €45,000.
By answering these questions, the entrepreneur gets a clear idea of his project as well as its feasibility. It will be easier for him to convince his interlocutor and wrap him up with his project.
Writing a business plan is a team effort
Writing a business plan is not a task intended for the entrepreneur who implements the project, but for the entire management team. Il ne s’agit pas ici de répartir les tâches à accomplir mais de définir ensemble les moyens et stratégies qui seront mis en place pour éviter de ne prendre qu’en compte la seule idée de l’entrepreneurre vision de préneur quiurre for example. The team will be able to redefine the hypotheses to achieve turnover, marketing strategy as well as outcome expectations, taking into account market constraints.
By writing a work on your own, you run the risk of seeing your collaborators reject it.
Get a business plan template at your fingertips
It is sometimes difficult to write a business plan from scratch. This may take several months and will require a lot of effort. That is why it is advisable to have a template on hand that you can rearrange to your liking.
To find free business plan templates online, you can type free business plan template >> in the search engine.
It is also recommended to go out into the field for a good market study so that you do not make predictions that will increase your expenses or overestimate your financial results.
Review your business plan
Once you have written your document, you will need to have it proofread by other contractors. Having an outside perspective is an effective way to be more successful.
Any reactions on this topic? experiences to share? Use the comments field.
By the way, a business idea: create a training organization.