Crucial Business Plans Every Entrepreneur Must Have

Crucial Business Plans Every Entrepreneur Must Have

As an Entrepreneur, You must possess these crucial Business Plans

Business PlansBusiness plans concept is similar universally, but execution and sustainability differ depending on one’s environment and market.

The business plans I have read display glorified projections and their market analysis clearly depicts great profit.

In short, one look at a business plan will tell you that some issues have yet to be thought out clearly. For example, competition, risk, challenges and so forth.

Before embarking on your venture, draft at least three business plans.
Individual

This plan is the truest of them all. I refer to it as the naked business plan. It covers almost everything including risk and possibility of failure. No business life lesson can be complete without a discussion of risks and risk management and no business can be started without embracing risk.

Risks are inherent in everything we do – business risk management is the key to ensuring risks are identified and a plan-B or C thought out. Some risks we can control while others we cannot.

This plan should cover who you are as an individual, what your honest strengths and weaknesses are and how you will handle stumbling blocks or closure.

It should address questions like; Can you persevere through tough times?

    Have a strong desire to be your own boss?
    Do the judgments you make in life regularly turn out well?
    Possess an ability to conceptualize the whole of a business?
    Possess the high level of energy, sustainable over long hours, to make a business successful?
    Do you have specialized business experience?

Financial projections in the plan should cover, at the very least, five different modules. You should work on the plan yourself and get prepared for any outcome.
Investors

I like to call this the headlines business plan. You only have one shot at getting investors – make the best out of it.

This is a plan that shows what team you will be working with and how you plan to invest to make money for investors. Show a well laid out plan that includes short and long-term financial gains.

The confidence, coupled with experience, shown in this document will determine whether you get the initial investment you seek.

Financial projections, in this case, can be three to five years, they are there to show a sustained profit, and should not glorify the plan nor try to get a lot of money for the start-up.

You must mention what your competition is and how you plan to create your own niche market – having a business plan that does not have a thorough SWOT analysis could raise the red flag. Might end up not getting financial support.

Pick the right team, get professional advice, try to separate your product from the rest in order to achieve your own niche. Do not spend too much money. Most people think that having a lot of money is fundamental in starting a business. That is a fallacy – you can make a lot out of very little.
Universal

This is the plan that you started out with – the ”sitting research” through which you came out with pros and cons of the venture and it is the longest business plan. This plan has a lot of data, but you should sieve out information that is irrelevant to your business, Starting a business is not for everyone, but great planning initiated through a solid business plan will always bring in the results.

Article by By Caroline M Munywoki