Writing a business plan

Working for yourself can be exhilarating and highly rewarding. However, if you haven’t got a strategy or considered creating a business plan, it may leave you wondering if it is the right choice for you. Whether you are looking at becoming a consultant or setting up a business you will need a business plan.

Here are 3 common questions when it comes to writing a plan, and some considerations of what to include.

What is a business plan and why should I create one?

A business plan is a written document that describes your business. It covers objectives, strategies, sales, marketing and financial forecasts. It will clarify your business idea, spot potential problems, map out your goals and measure your progress. A business plan should include details of how you are going to develop your business, when you are going to do it and who is involved. A strong business plan will help you measure the success of your business and can help to secure external funding.

What should I include in my business plan?

It needs to include an executive summary. This is a short description of the business opportunity which outlines your marketing & sales strategy. It needs to clearly describe what your business does and what success will look like.  You will need to consider how you plan to market your business. As part of your plan you will need to consider a set of financial projections which translate what you have said about your business or service offering into numbers.

What are the benefits of a business plan?

A business plan will help plan and spot pitfalls before they happen. It provides a structure to the financial aspects of the business. It will help focus business development efforts as well as measuring the success of your business. Show your plan to expert advisers such as your Accountant and ask for feedback. By writing the plan yourself you will be able to demonstrate your understanding if asked.