Crowdsourcers Personal investors family and friends Not all business plans are designed to raise capital. However, when the goal is to find investors or land a bank loan, writing a good business plan requires including the specific information the investor will need to make a good decision.
In the Products and Services section of your business plan, you will clearly describe--yep--the products and services your business will provide. Use simple terms and avoid industry buzzwords so your readers can easily understand.
On the other hand, describing how the company's products and services will differ from the competition is critical. So is describing why your products and services are needed if no market currently exists. For example, before there was Federal Express, overnight delivery was a niche business served by small companies.
FedEx had to define the opportunity for a new, large-scale service and justify why customers needed--and would actually use--that service. Patents, copyrights, and trademarks you own or have applied for should also be listed in this section.
Depending on the nature of your business, your Products and Services section could be very long or relatively short. If your business is product-focused, you will want to spend more time describing those products. If you plan to sell a commodity item and the key to your success lies in, say, competitive pricing, you probably don't need to provide significant product detail.
Or if you plan to sell a commodity readily available in a variety of outlets, the key to your business may not be the commodity itself but your ability to market in a more cost-effective way than your competition. But if you're creating a new product or servicemake sure you thoroughly explain the nature of the product, its uses, and its value, etc.
Key questions to answer: Are products or services in development or existing and on the market? What is the timeline for bringing new products and services to market?
What makes your products or services different? Are there competitive advantages compared with offerings from other competitors? Are there competitive disadvantages you will need to overcome?
And if so, how?
Is price an issue? Will your operating costs be low enough to allow a reasonable profit margin? How will you acquire your products? Are you the manufacturer? Do you assemble products using components provided by others?
Do you purchase products from suppliers or wholesalers? If your business takes off, is a steady supply of products available? In the cycling rental business example we've been using, products and services could be a relatively simple section to complete or it could be fairly involved.
If Blue Mountain Cycling Rentals plans to market itself as a provider of high-end bikes, describing those bikes--and the sources for those bikes--is important, since "high-end cycling rentals" is intended to be a market differentiation.
If the company plans to be the low-cost provider, then describing specific brands of equipment is probably not necessary.
Also, keep in mind that if a supplier runs out of capacity--or goes out of business altogether--you may not have a sufficient supply to meet your demand.
Plan to set up multiple vendor or supplier relationships, and describe those relationships fully. Remember, the primary goal of your business plan is to convince you that the business is viable--and to create a road map for you to follow.The Case for Growth: Gaining a Business Advantage from Expansion.
Build a Family Dynasty and Grow Community Self-Sufficiency.. Family pride, job relevance for family members, and building a business dynasty for not just your family, but for other families in your community as well, are a great reason for growth.
Nov 12, · How to Write a Business Plan. In this Article: Article Summary Doing Your Homework Structuring Your Business Writing the Business Plan Sample Business Plans Community Q&A Creating a business plan will help you achieve your entrepreneurial goals.
A clear and compelling business plan provides you with a guide for building a successful enterprise focused on achieving . Nov 12, · Reader Approved How to Write a Business Plan. Four Parts: Doing Your Homework Structuring Your Business Writing the Business Plan Sample Business Plans Community Q&A Creating a business plan will help you achieve your entrepreneurial goals.
A clear and compelling business plan provides you with a guide for building a successful enterprise focused on achieving .
1. A business strategy in which growth is obtained by increasing the number of stores in which customers can buy a company's products and caninariojana.com relocation, business expansion entails opening up new stores in different physical locations while still maintaining the current business locations.
See also franchise. It's at the end of your business plan, but the financial plan section is the section that determines whether or not your business idea is viable, and is a key component in determining whether or not your plan is going to be able to attract any investment in your business idea..
Basically, the financial plan section consists of three financial statements, the income statement, the cash flow. CHAPTER ONE – Do you need a business plan or proposal to attract investors or get a caninariojana.com YES, here is a sample template for writing a perfect business plan as a beginner..
Whoever said you don’t need a formal business plan to start or expand your business was certainly not addressing those who need funds from creditors and investors.