Making a credible and realistic business plan is very useful in case we need to get a loan to start a new business, or to get funding from investors, among other possibilities. However, there are many issues to consider and it may not always be easy, so in this Yourswriter article, we will give you some guidelines so you know how to make a successful business plan for your new startup.
1. Define a Product and its Potential Consumers
The first thing we need to create a good business plan is a business idea, around which our plan will revolve. Along with the idea, we must determine the product or series of products that we have to offer to the market, and in turn, who are the potential consumers of this product. Once we have defined these fundamental details, we can begin to study each of the points of the business plan.
2. Market Analysis
We will have to carry out a market analysis, to find out who our potential customers are, how much market share we can reach or what novelties there have been in this market recently. In other words, everything that surrounds us: the macro-environment of the company. To this end:
- Knowing our competitors: what they offer.
- Market prices in that sector.
- Distribution methods.
- Market innovations.
- Competitors’ marketing strategies.
3. Setting Up Your Business
Another important issue is the organizational design of the company, i.e. how it will be set up and function in order to be able to operate and offer its products:
- Selection of the legal form of our company: limited, anonymous, unipersonal, cooperative, etcetera.
- Organizational chart and formal organization of work.
- Human resources.
- Physical location of the place of sale, production and warehouse.
4. Products Marketing
Once we know how the environment around us is and how we structure the company internally, we will have to make a marketing plan to get our product to reach consumers:
- Analysis and coordination of the variables of the 4P or marketing mix: price, promotion, distribution and product.
- Segmenting the market, to know the demand and know who we have to address in such a way that we have a greater success.
5. Study the Result
Finally we have to know if it is economically viable our project, because if it is not, our company would not make sense. We will need:
- To know from where we can obtain the financing we need to start it up, as well as the interest and terms at which we will have to repay the loans.
- Future projection of sales and income.
- Calculation of fixed and variable costs. As they can be rent of premises or ships, personnel, raw materials or purchase of products, among others.
- Analysis of possible risks we may face. It is advisable to perform a SWOT analysis.
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