The operations plan outlines employees’ responsibilities. Growth plans or expansion plans are in-depth descriptions of proposed growth and are written for internal or external purposes.If company growth requires investment, a growth plan may include complete descriptions of the company, its management and officers.
The Service Corps of Retired Executives (SCORE) estimates that about seven out of every 10 new businesses that hire employees will survive two years, but only half will still be in business after five years.
Beating those odds means understanding how to run a business.
Writing a good business plan is more than just jotting down goals for your new business and estimating how much money you’ll make.
Developing a business plan is like test-driving a new car; when you know what’s under the hood, how the car handles around corners and how quickly it accelerates, you can make an informed purchase.
If you’re writing a plan for a business expansion, include Business History in one section.
The backbone of a business plan starts with the business owner’s objectives and the potential success of the business based on current and future market analysis.Your business plan serves the same purpose; it identifies your market, analyzes the industry and factors in probable costs and profits.Keep it brief, keep it truthful and back up your logic with figures. Use everyday language and outline your plan, grouping similar ideas under the same headings. A banker or investor doesn’t have time to wade through lengthy explanations.Keep only the essential information and include numbers and statistics.The business plan layout should visually draw the reader’s attention.Separate the information into categories with clear headings.You can add categories depending on the type of business you’re starting, but standard business plan headings include Objectives, Market Analysis, Industry Predictions, Experience and Knowledge, Customer Benefit, Operations, Short and Long-Term Goals and Financing.Internal plans provide information about project marketing, hiring and tech costs.They also typically include a market analysis illustrating target demographics, market size and the market’s positive effect on the company income.This document typically includes sections describing the company, the product or service your business will supply, market evaluations and your projected management team.Potential investors will also require a financial analysis with spreadsheets describing financial areas including, but not limited to, income, profit and cash flow projections.