Which is better to write a business plan? Qingfeng consultation, of course!
The purpose of a business plan is simple. It is a weapon in the hands of entrepreneurs. It is provided to investors and all those who are interested in entrepreneurial projects, showing them the potential and value of entrepreneurship and persuading them to invest and support projects. Therefore, a good business plan should make people very clear about the following issues after reading:
1, the company's business opportunities;
2. The process of setting up a company and grasping this opportunity;
3. Resource requirements;
4. Risks and expected returns;
5. Suggestions for your action.
Business plan is not an academic paper, but it may face people with non-technical background who are interested in the plan, such as possible team members, possible investors and partners, suppliers, customers, policy institutions and so on. Therefore, a good business plan should be clearly written, avoid using too many professional words, and focus on specific strategies, goals, plans and actions. The length of the business plan should be appropriate, too short is easy to make people doubt the success of the project; If it is too long, it will be considered too verbose and unclear. The length is generally 20-40 pages (including appendices).
Generally speaking, the principles of writing a business plan are: simplicity; Clear organization; The content is complete; The language is fluent and easy to understand; The meaning is expressed accurately. A business plan generally includes the following ten parts:
I. Executive summary
This is a one-or two-page summary of the business plan. Including:
1, a brief description of the business (that is, "elevator statement")
2. Overview of opportunities
3. Description and forecast of the target market
4. Competitive advantage
5. Forecast of economic situation and profitability
6. Team overview
7. Benefits provided
Second, the industry background and company profile
1, detailed market description, main competitors, market driving force.
2. The company overview should include a detailed description of products/services and how to meet the needs of key customers.
3. Be sure to describe your entry strategy and market development strategy.
Third, market research and analysis.
This is a window to show how well you know the market. Be sure to explain the following questions:
1, customer
2. Market capacity and trends
3. Competition and their respective competitive advantages
4. Estimated market share and sales volume
5. Market development trend (this is quite difficult for new markets, but we must try our best to get close to the facts)
Fourth, the company strategy.
Explain how companies compete, including three questions.
1, marketing plan (pricing and distribution; Advertising and promotion)
2, planning and development plan (development status and goals; Difficulties and risks)
3, manufacturing and operation plan (operation cycle; Equipment and improvements)
Verb (abbreviation for verb) overall timetable
The company's schedule includes the following important events.
1, revenue
2. Balance point and positive cash flow
3. Market share
4. Introduction to product development
5. Main partners
6. Financing
The main risks, problems and assumptions of intransitive verbs
1, entrepreneurs often make unrealistic assumptions about the company and the risks they will face.
2. Explain how you will handle risks and problems (contingency plan).
3. strike a careful balance between pragmatism and optimism about the company's potential.
Seven. Management team
1. Introduce the management team of the company. Be sure to introduce each member's education and work background related to managing the company.
2, pay attention to the management division of labor and complementarity.
3. Finally, it is necessary to introduce leading members, business consultants, major investors and shareholding.
Eight, the economic situation of enterprises
Introduce the company's financial plan and discuss the key drivers of financial performance. Be sure to discuss the following levers:
1, gross profit and net profit
2. Profitability and durability
3. Fixed, variable and semi-variable costs
4, the number of months needed to achieve balance of payments.
5. Number of months required to achieve positive cash flow
Nine. Financial forecast
1, including income report and balance report, quarterly report for the first two years and annual report for the first five years.
2. Cash flow analysis of valuation in the same period.
3, highlighting the cost control system
X. Assumed benefits that the company can provide.
This is your "selling point", including
1. Total capital requirements
2. What level does this round of financing need?
3. How do you use these funds?
4. Investors can get a return.
5. You can also discuss the possible exit strategies of investors.
When you write a business plan, you should achieve the following goals:
1, trying to express clearly and concisely.
2. Pay attention to the market and speak with facts, so it is necessary to show market research and market capacity.
3. Explain why potential customers will pay for your products or services.
4. consider the problem from the customer's point of view and put forward strategies to guide them into your sales system.
5. Form a relatively mature investment exit strategy in your mind.
6. fully explain why you and your team are best suited to do this.
7. Ask your readers for feedback.
When you make a business plan and submit it to investors, you must avoid the following problems:
1. Too optimistic about the prospect of products/services, leading to distrust.
2, the data is not convincing, such as taking out some data that is far from the industry standard.
3. Positioning is the product or service, not the market.
4, there is no clear understanding of competition, ignoring the threat of competition.
5. Choose to enter a congested market in an attempt to catch up.
6. The business plan is very unprofessional, such as lack of appropriate data, being too simple or lengthy.
7. Do not carefully look for the most likely investors, but spamming materials.
Excerpted from Xinxiang Qingfeng enterprise consulting co., ltd.
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