A perfect business plan blueprint can be drawn easily if you go through this post completely.
Opportunities come in many shapes and sizes. It is important to recognize them and take the first steps toward success. Businesses and organizations often face this challenge. It takes a creative, flexible, and methodical approach to understand and make the most of opportunities in a changing market and environment. No matter if they are corporations or start-ups, not many organizations have the resources or expertise to perform a thorough market assessment.
Table of Contents
1. Analyze The Potential Of Your Product
Analyzing the product potential always helps you to draw a perfect business plan blueprint.
Demand & Supply:
You must identify your target customer base before you launch a new product or business venture. It is also important to identify your target market so that you can make the most of your advertising and marketing resources. Must know the demand of your product in the market. Also the supplies in the market.
Know Your Competitors:
If there is a high demand, or a monopoly market is going on with a or few types of product variety, a new product can easily take lead in the market with a proper marketing strategy. Analyzing the competitor will help you to create your product design, style, benefit, and presentation of your product. And ultimately, it will help you to design a perfect business plan blueprint.
Measuring Profit Potential:
The profit potential is the ability of a company to make more in future trading and business transactions. It will help the business to run for a long time. Research the market. Find the market sell price of others. Decide your Maximum Retail Price and wholesale rate. Deduct the possible cost of the product/service to calculate the profit.
2. Capital & Funding
First of all, calculate the capital required to run the business. Considering these factors will surely help you to build a perfect business plan blueprint. And how effective a business plan you write, more easily you will attract investors.
It could be owned, leased, or rented. Calculate the market standard rent as expenditure if even it is owned. Even if it is an online business (virtual office), there will be a cost for domain acquisition.
Setup & Decoration Cost:
Whatever the business kind is, there should be a decoration cost. Show-off, the presentation does matter. Even it if is an online business, you need to set up a website or online store. Which will incur a cost.
There should be a requirement for equipment in your business. If it is a manufacturing type, there should be expenses regarding machinery and other types of equipment. If it is about an online store, you may require to incur expenses regarding the theme, plugin, payment gateway, and other tools.
Whatever business is, you have to hire employees. If you are just starting a small business and decided to do it all by yourself, you have to calculate the labor cost of your own effort and time.
Raw Material Cost:
All businesses require raw materials. You need to analyze the market standard rate of the required raw materials of your business. It will help you to finalize your product’s price. The cost of raw materials will define how far you can leverage the business. Without the continuation of raw material supply, your business will not flourish.
There will be a cost of marketing your product. Marketing starts from packaging. The packet represents your company’s ethics. There will be an expense of branding as well. Initially, you may require to incur promotional expenses to reach and establish your product’s identity in the potential market.
The liquidity of your investment depends on the nature of the business. Measure the time of your money circulation. It depends on the nature of the product, process time, marketing strategy, etc. If the business runs on the credit policy (one-sided), you might involve your fund stuck in the business for a longer time. This factor needed to be concerned.
3. Location, Premises, Assets
Spot selection, set up of business and decoration, all impact to write a perfect business plan blueprint. These are the factors you should consider to pay attention to the matter of showing your business presence and to draw a perfect business plan blueprint.
Location selection of your business plays an important factor in attracting and retaining customers. If you place your shop where people come very rarely, it will not be highly visible. In such a case, selling will be hard to come at the initial stage. Also, the place needs to be well connected and transportation should be strong. If transportation is highly available then, the transportation cost will be less and there will be no time loss. Also, your employees will be reachable easily. These all impact the quality, time, and cost of production.
According to business nature, your premises should be proportionate. Manufacturing unit, store, warehouse and shop for selling are all need to be counted and floor planning should be designedaccordingly.
Assets for decoration:
Interior decoration always creates a positive look, which should be a vital part to build a perfect business plan blueprint. The face of your business is that which is being shown off to the public. Even the office, should be decorated well to create an energetic environment for a healthy operation process. Attractive interior decoration in your shop/outlet will always attract customers. Hence, never compromise to spend some funds on interior decoration to start up your business.
Depending on your business nature, the load of electricity connection needs to be applied. There should be a certain rule regarding commercial use. It varies from state to state even. Follow the rules.
If it is about the production unit, there should be a requirement of enough water supply. Although office or shop also need a little support of water supply, for the general use of human.
4. Equipment / Machinery
Acquisition of appropriate equipment for a startup business you need to research a lot. Otherwise, a perfect business plan blueprint will never be drawn.
Search In Local:
Equipment is compulsory if your business is related to anyhow to manufacturing products. In that case, you need equipment. It is better you should search in local to get constant support from them in need. For the low requirement and initial start-up, acquiring equipment from the local market will be good.
If you have to acquire many and high budget machinery, you should deal with Business to Business wholesalers. Their offer should be highlyappreciable.
Before buying any machinery you should compare the suppliers with each other. Also compare the price, service after installation. Go for the dealer who provides support after the sale.
5. Permit & Licence Obtaining Process To Write A Perfect Business Plan
The most complicated task is this. You have to gather the knowledge about these to set up your business and smooth function. Starting from factory installation till selling to customers in outlets, everything should be accomplished with the law of govt. Many rules and regulations come into these. You may look out this Portal for all kind of permit and licences knowledge => sba.gov
Following factory setup laws, you need to get a permit for your factory installation. It depends on the nature of your product and services. The basic permit and license need to be followed for: Trade Licence/Business Licence, Taxation & accounting laws, labor license (if staffs recruited), shop establishment license. These regulations and laws vary based on your product and state to state and countries to country.
6. Include The Planning of Recruitment Process Into Business Plan Blueprint
According to the nature of your business and the size, you have to plan the recruitment process and also the budget. If you are starting up a production-based business, you need to engage labor for production. To maintain a smooth operation, you need to appoint a supervisor there too.
For selling the products or services into the market you may need the marketing team to build. Besides that, accountant as well.
To manage all the units to perform smoothly, there should be the involvement of the managerial team as well. These all make a perfect business plan blueprint.
Obviously, if you start from the grass-root with a micro-investment of your own and don’t want to involve other staff resources, it is completely up to you. In such a case, you can start with help from your family members as well.
By the way, whenever the recruitments are required to run your business, recruitment laws, Staff welfare, their future security, etc come into consideration as well. Take an organized flowchart of those facilities as well.
7. Planning Of Raw Materials Selection and Acquisition
Planning of raw materials and procurement plays a vital role to build a perfect business plan blueprint.
Selection of Best Quality Raw Materials
Production, cost & quality of product/service directly depend on the raw materials.
For long-run business sustainability, the quality of product/service should not be compromised, then you shouldn’t compromise the quality of raw materials for sure.
Selection Reasonable Price of Materials:
But the cost of raw materials also plays a vital role in the product cost, which will determine the product’s acceptability to the market. Hence, both factors (cost and quality) of the raw materials should be considered at the time of selection.
Continuation of Supply Assurance:
Also, another prime factor is the continuation of supplies of Raw Materials. It ultimately assures the life of the business.
The success of a Business mostly depends on the Planning of the process and its implementation. If you have all the ingredients in hand, but you don’t know the recipe, you are never able to make the dish. Same way, if you manage everything, Setup of factory/shop, machinery, raw materials, but don’t have proper planning of the operation, your business will never get a perfect direction. It will fail, without direction. Plan wisely a process.
According to your business volume, production demand, you can set the working time of your business. If it is related to product type and your product has market demand, you can continue production 16 – 24 hrs per day. You may have 2 or 3 shifts of working hours of 8 hours/shift for higher production.
Also for your shop or office, there should be a specific time, thus consumers/clients become habitual about the business time.
Know your team’s strengths. Compare with the market demand and evaluate your team’s performance. If necessary, upgrade or update your team to stand up to the demand and expectations of the market. It is mandatory to upgrade the skills of your team members time by time.
Basically, packeting/packaging represents the brand and name of your company. It is the recognition of your product/service. The market initiallyis introduced to your company through the presentation (packaging) of your product. The packaging does the work of initial promotion. Hence, your attention is needed here as well.
9. Marketing Strategy To Build Perfect Business Plan Blueprint
No business can be successful unless it is known to its customers. The benefit and necessity of the product/service should be reached to the prospects, thus only a prospect turns into a consumer. A newly launched product/service can capture the market based on a few aspects. These are as follows:
Fixing the price of the product is also most important for the success of a business. Price should not be exaggerated. It is should be reasonable, keeping in mind all the factors of production cost and marketing cost.
Successful marketing is not only to sell a product/service, it is a brand creation indeed. A marketing strategy should be based on brand building, not on basic product selling only.
Business promotion plays a vital role to get recognition. Earlier we had very few mediums to promote, but due to the internet’s boom, we have varieties of mediums to promote our business.
In an earlier age, we have seen most of the promotions were used to happen through newspaper, banner, poster, leaflet and through Radio or Television advertisement. It was effective.
But nowadays, other than those mediums, social media advertisements are playing a very effective and instant role to boost a business marketing strategy.
10. Selling Strategy Building To Write A Perfect Business Plan
You have to decide about the selling procedure of your product/service. It can be done through the shop directly or through the distributor.
Initially, you may start selling yourself. It can be done from your shop or outlet. If your production is a time taking process, and the product is less, it is better to sell on your own.
If your business is based on production mostly, and your production unit has the capacity to produce enough quantity beyond your own reach, you should deal with dealers.
And even, you can adopt both strategies. But in such a case, the consumer price in both aspects should be the same. The product price (M.R.P) should not conflict with the product sold by wholesalers, dealers, shopkeepers, or factory owners.
11. Measuring The Growth And Evaluation To Write A Perfect Business Plan
In order to get success in a startup company, a realistic projection, and a prior roadmap of growth evaluation are highly required to plan a perfect business plan blueprint. Although drafting process of implementation along with planning will be a more effective element on How To Write A Perfect Business Plan.
While you draw out your plan, you might encounter issues or problems you did not anticipate.
Perhaps the market isn’t so big as you think. After analyzing the market, you realize your strategy to be the lowest-cost service provider isn’t viable because the margins of profit will be insufficient to cover your expenses.
That is why you need to be cautious to calculate the profit and loss of your business.
You may realize that the basic concept behind your company is sound, but the method of implementing this idea must be altered.
Imagine it in this manner. Successful businesses do not remain static. They learn from their mistakes and adjust and respond to the changes that occur to the business environment, marketplace, their clients as well as their products and services, and more. Successful companies recognize opportunities and obstacles and act to them.
Initially, you may move forward with strong planning and self-confidence. But as you map out your plan practically, you may find challenges and difficulties which you didn’t anticipate ever. In such a case, a business can be stuck somewhere. But you can continue with further investment, and it is possible only when you will be ready with a backup plan and fund as well. Hence, do not jump with all funds initially. Start with less to gather experience and measure the market. And then re-invest with confidence.
It always depends, on the success of the initial stage of your business. Also depends on your motive as well. Once your company’s first-foot print becomes successful in the market, you can think about the expansion.
Final Verdict On How To Write A Perfect Business Plan
A business plan can help you visualize the opportunities and the problems without the risk. Make use of your plan to test your luck in the business waters. It’s the ideal method to revise and review your ideas and concepts prior to you investing a dime. Follow this process and 11 points to draw a perfect business plan blueprint in order to start your business.