Creating a Good Business Plan Is Essential for Success
Successful business owners know that you need a business plan if you want your business to thrive. While nothing can guarantee success, creating a good business plan will certainly help you get on the right path. The plan will help you as you develop your company and it is essential if you are looking for investors. Before you finalize your business plan, have it reviewed by a capable business attorney. There are some things that every business plan should include.
General Company Information
The plan should begin with an overview of the company. Include the name, address, and phone number of the business. There is no standard number of pages that must be included in a plan. It should be as comprehensive as possible, regardless of how many pages are necessary. It is also necessary to provide information about you and other key people involved in the business.
Include a section that provides a summary of the plan. This is helpful for a couple of reasons. First, providing a summary helps you make sure that you have included all the pertinent information in the plan. Second, it offers a way for investors and others to quickly skim your plan without having to get into the minor details.
Market Research and Business Analysis
Show that you have done your homework by providing details of your market research and analysis of the business. The research should show why your business is necessary and profile your intended market. It should also include a complete analysis of your business as it compares with the competition. To ensure that the data is accurate, hire a market research firm to gather and tabulate this information.
Business Operating Plan
The operation of your company is important to its success. The business plan should provide details on the organization including a business model. This will give investors and others a view of how you envision the business running on a daily basis.
One of the most important sections of the plan provides a review of the company’s financial projections. This should be as accurate as possible to show that you understand the profit and loss statement of the business. The projections need to be as realistic as possible and should not be merely guesses. Be prepared to back up your information with data and statistics that were used in making the projections.
Every business owner must be aware of funding. You should provide a section in the business plan that shows how much funding is necessary along with where the funding is expected to come from. If you already have investors, this is where they should be listed.
This blog should be used for informational purposes only. It does not create an attorney-client relationship with any reader and should not be construed as legal advice. If you need legal advice regarding Creating a Good Business Plan, or any other litigation issues, please feel free to contact us at 480.461.5300, log on to udallshumway.com, or contact an attorney in your area. Udall Shumway PLC is located in Mesa, Arizona and is a full service law firm. We assist Individuals, families, businesses, schools and municipalities in Mesa and the Phoenix/East Valley.