How to Write a Business Plan: A Step-by-Step Guide (With Examples)
Not all business ideas are good ones. Take my friend Eric, for example, who had the idea of a cell phone that doubles as a taser. Probably not the best product to have on the market.
A lot of people have business ideas — it’s whether these ideas are any good that really matters. That’s precisely why, if you intend to actually build a business from your idea, it’s helpful to create a business plan so you can build out your concept in detail and prove that it can really work, both logistically and financially.
(Check out our comprehensive guide on how to start a business to learn more about fleshing out the details of starting a new business.)
What is a Business Plan?
A business plan is a living document that maps out the details of your business. It covers what your business will sell, how it will be structured, what the market looks like, how you plan to sell your product or service, what funding you’ll need, what your financial projections are, and which permits, leases, and other documentation will be required.
At its core, a business plan helps you prove to yourself and others whether or not your business idea is worth pursuing. It’s the best way to take a step back, look at your idea holistically, and solve for issues years down the road before you start getting into the weeds.
This post covers tips for writing a business plan, followed by an outline of what to include and business plan examples. Let’s start with some basic, overarching tips before we dive in to the details.
Tips for Writing a Business Plan
Narrow down what makes you different.
Before you start whipping up a business plan, think carefully about what makes your business unique first. If you’re planning to start a new athletic clothing business, for example, then you’ll need to differentiate yourself from the numerous other athletic clothing brands out there.
What makes yours stand out from the others? Are you planning to make clothing for specific sports or athletic activities, like yoga or hiking or tennis? Do you use environmentally friendly material? Does a certain percentage of your proceeds go to charity? Does your brand promote positive body image?
Remember: You’re not just selling your product or service — you’re selling a combination of product, value, and brand experience. Think through these big questions and outline them before you dive in to the nitty-gritty of your business plan research.
Keep it short.
Business plans are more short and concise nowadays than they used to be. While it might be tempting to include all the results of your market research, flesh out every single product you plan to sell, and outline exactly what your website will look like, that’s actually not helpful in the format of a business plan.
Know these details and keep them elsewhere, but exclude everything but the meat and potatoes from the business plan itself. Otherwise, you might …read more
Source:: HubSpot Blog