How To Draw Up A Business Plan

Why do we have to prepare a business plan?

When you have chosen the goal of entrepreneurship and the motivation for setting up a business, all the conditions in terms of capital, connections and markets have been well prepared or have accumulated considerable strength. At this time, a complete business plan must be put forward. The business plan is the soul of the whole creation process. In this black and white plan, the contents of all entrepreneurship are mainly recorded, including the types of entrepreneurship, capital planning, stage goals, financial projections, marketing strategies, possible risk assessment, internal management planning, etc., these are indispensable elements in the process of entrepreneurship.

At some point, the business plan not only enables entrepreneurs to clearly understand their entrepreneurial content, but also has the function of persuasion. For example, entrepreneurs can persuade others to make joint ventures, shares, or even raise a venture fund through the business plan.

The contents of the business plan should include: the name of starting a business, the type of business organization, the project of entrepreneurship or the name of the main product. This is the most basic content of entrepreneurship.

Capital planning: capital refers to the source of venture funds, which should include the ratio of personal contribution to other people's contribution, bank loan and so on, which will affect the distribution of shares and dividends in the whole business.

In addition, the proportion of the total capital allocation of the entire business plan should be clearly recorded. If you want to apply for a loan with the business plan, you should also explain the specific purpose of the loan.

Stage goal: stage goal is short-term goal, medium term goal and long-term goal after entrepreneurship. It is mainly for entrepreneurs to understand the possibility of their career development and the goals of all stages.

Financial forecast: detailed estimate of estimated revenue and estimated expenditure, and even a detailed list of estimated revenue and expenses for each year in the first three years or five years after the establishment of the enterprise. The main purpose of these estimates is to enable entrepreneurs to calculate profits and to know when to break even.

Marketing strategy: marketing strategy, including understanding the service market or product market.

Where are the sales and competition conditions?

The main purpose is to find out the location of the target market.

Risk assessment: this project refers to the setbacks that entrepreneurs may face in the process of entrepreneurship, such as climate change, strong competitors, and loss of customers. These risks may even lead to entrepreneurial failure for entrepreneurs. Therefore, risk assessment is an indispensable part of the business plan.

Others include entrepreneurship motivation, shareholder list, number of scheduled employees, business organization, management system and future outlook.

The plan is like a highly functional computer. It can help entrepreneurs record a lot of entrepreneurial content, entrepreneurial ideas, and help entrepreneurs plan a successful blueprint. If the whole business plan is clear and clear, it may help the entrepreneurs to succeed in their success.