How to Write a Business Plan

Every business should have a business plan. It is your road map to the future and is usually essential if you want to get financing.


Instructions

Difficulty: Easy

Things You’ll Need:
Bonded paper
Business plan software
Computer
Laser printer

Step1 Organize the information for your business plan. Include information on your company, product or service, customers, market, competition and potential risk.

Step2 Write an executive summary. This is the first section of the plan–—a 2-page description of all the elements covered in more detail later.

Step3 Describe your company. Spell out the purpose of your business. Talk about the skills you and your management team have.

Step4 Explain your product or service. Detail how you will make or provide it. Analyze the costs associated with this process. List your supply sources.


Step5 Talk about the market you're entering. Discuss general trends in the industry. Include details about the market segment you are pursuing, the niche you are targeting and your target customer; provide demographics on your potential customers and explain their buying habits. Analyze your competition.

Step6 Describe your marketing plan. Explain how you will generate sales through advertising, promotion and public relations. Estimate all costs conservatively.


Step7Detail your yearly revenue projections and your expenses.