WHAT SHOULD MY BUSINESS PLAN INCLUDE?

Let’s start with a question! Why are you writing a Business Plan? Don’t get me wrong, I think every business needs one, but why particularly are you writing yours? And why now? You see, what you put into a business plan will depend very much on the reason you are writing the plan. So, when asking yourself what should your business plan include, consider the advice in my short article as it will ensure the right things for your business are included in your plan, so here it goes…

Do you need to raise funding for your business?

If you are preparing the plan in order to get funding or investment or to give to an outside person who you hope will become a stakeholder in your business, you will need to tailor your plan towards that particular person or organisation. In fact, some lenders will provide a form for you to fill in and the format is therefore prescribed.

What should the business plan include? 

My ideal version of a Business Plan is structured to provide a clear picture of the business and its potential, the following elements take centre stage.

Vision and Purpose

You need to state what is your company going to do

Show what the future of the business looks like

List the values of your company

Dream big and include the Big Hairy Audacious Goal (BHAG) that your company is striving towards

Mission

Explain your plans on how you plan to get to your BHAG

What are you choosing to do in the world to bring it about?

Culture

What does the internal business look like?

Who are your team and your stakeholders?

How will your team and stakeholders communicate, work together, and cooperate?

What are the internal rules which govern the business?

Don’t be afraid to include your strengths and weaknesses

Including a SWOT analysis will show that you are aware of what you’re good at, not so good at but can develop, and that you are mindful of external threats to your business.

Strengths

These are the internal strengths of your business and the team within it. Most people struggle to list their own strengths, so start with what your team is good at.

Weaknesses

Consider the internal weaknesses of your business. Be candid and talk about mitigating any perceived problem areas.

Opportunity

Now investigate the external opportunities that exist in your marketplace and how you will capitalise on them.

Threats

What are the external threats to your business? What could de-rail you that you would have little or no control over? Government regulation is a good one to start with, but think outside of the box. Think about what the worst is that could happen, and explain how you would aim to mitigate or avoid the problems that would cause. Think E-cigarettes and their effect on the tobacco industry

Have a Sales & Marketing Plan

This section focuses on how you will execute sales and marketing to attract customers, close a sale and bring in revenue.

Things to consider and include are:

  • Market Research
  • Marketing Goals
  • Test and Measure metrics
  • Client Lifetime Value
  • Budget and Acquisition investment
  • Ideal Customers
  • Strategies and Tactics
  • Sales Process
  • Ladder of Loyalty

Include financial plans for your business

Now let us get down to the numbers – these are the projection of the future, what you will need to measure your success, and a material part of understanding the interconnected workings of the business.

The finance plan will also test the viability of your business and be vital to securing any finance or investment.

Make sure you include key assumptions and if money and numbers are not your thing, make sure that this part of the plan is drafted by someone who does understand accounting and business finance, or at the very least make sure that someone you trust in this sphere has sense checked your numbers.

If you are applying for finance, ensure that you include a paragraph on how you are going to be using the financial aid.

Topline Plan

  • What your business will look like when it is finished
  • Key members
  • 5-year goals
  • 12 months plan

Add a 90-day Action Plan 

In more detail, what are you going to be doing in the next 13 weeks to move towards your annual and long-term goals?

Where will you keep your business plan?

The reason I believe every business should have a Business Plan is that it provides a framework for the business to plan, goals to strive for, and the perfect place for the business owner and their senior management team to think about the business.

Once you have written the Business Plan, don’t just shove the paper in a drawer to be dusted off next year or file the pdf in some inaccessible Google Drive but show some pride in the process of planning.

The Business Plan should be on show, central to the planning and measurements of success, and key to any decisions made.

In Summary

All of this may seem overwhelming as there is a lot of thinking you are going to have to do!

You probably already have all the answers rattling around in your brain, you can see what you want to achieve so get it out of your head and see it in black and white on a document.

In my experience, this is not as easy as it sounds and can be both overwhelming and time-consuming.

With the support and a clear goal to achieve, you will come out with clarity around your business that will drive you forward and enable you to create the success you deserve.

If you want us to work with you on your business plan, get in touch today.