Small business planning, whether you are a new business or an established business, involves creating a professional business plan. A business plan gives your business direction for the future, both short-term and long-term.
However, having a business plan isn’t just important for the direction of your business. There are also situations where you may need to present a business plan to another organization like a bank, for example. With small business loan interest rates reaching 10% in some cases, being able to secure a low rate from a lender could save a few percent on your loan rate and, in turn, potentially thousands of dollars per year.
Making a Professional Business Plan
If you are in the midst of small business planning, you may be wondering how to get started with a business plan that will capture the attention of lenders, potential investors, and prospective employees.
Here are some very important details to include in your business plan:
1. Work on Your Elevator Pitch
Have you ever heard of an elevator pitch? This is a term used to describe a sales or business pitch that can be done in a short elevator ride. Working on your elevator pitch can be very valuable for your business plan.
At the beginning of every business plan is a short business summary. This is your chance to catch the attention of the reader and convince them to read the more detailed section of your business plan.
How will you grab their attention within 30 seconds and keep it throughout your entire business plan?
2. What is Your Competitive Advantage?
Many business owners are able to easily describe their business and products. However, they often are unable to compare their own offering with that of their major competitors. This is an important aspect of any business plan.
As part of your small business planning, you should complete a competitive analysis.
Once you have done this, you can clearly present your business and how you will compete with the other players in the industry. Investors will want to see this information to determine if your business will be able to go up against the competition.
3. Information About Yourself and Your Team
A small business owner is often the most valuable asset that a small business has. The team can create a lot of additional value for investors. Take time to introduce yourself and your team in your business plan.
Investors will want to know the experience that your business has in the industry, unique skills that you or your team members may have, and how your team will be able to go up against competitors in the market. Don’t be afraid to do a little bit of bragging in this situation. Share the accomplishments of yourself and your team.
4. How You Will Use Financing and Grow
If you are creating a business plan for investors or lenders, then you will want to show detailed information about your growth plans. Investors will want to see how their money will be put to use.
This is your opportunity to talk about new products, growing your team, expanding to new locations, and whatever other growth plans you may have for your business.
Small Business Planning – Create an Eye-Catching Business Plan
The 4 details shown above are just a small taste of what every good business plan should include. At Mooney Lyons, small business planning is our passion. We help small business owners take their business to the next level with expert business planning, training program development, and more.
If you are working on your business plan and would like our assistance to take your business where you want it to go, then contact our small business experts today.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.