There is a widespread belief that the question of how to write a business plan is relevant only for aspiring entrepreneurs who have decided to start their own business for the first time. But that’s not the case at all.
Contents of the business plan
A business plan is an obligatory part of every trade, production or organizational operation.
- The program of actions aimed at achieving the goals of an industrial, commercial or organizational nature by the enterprise.
- Description of the objectives to be achieved by the project.
- Calculation of the profit expected from the implementation of the project.
- Evaluation of available opportunities and funds that are expected to be used for the implementation of the project. This assessment includes the feasibility study of the project, as well as an audit of the financial capabilities of the enterprise.
- Assessment of risks and obstacles that may be encountered on the way of project implementation.
- Calculation of the costs required to implement the project.
- Calculation of investor funds that need to be attracted for the successful implementation of the project.
The content of the plan is not limited to these points, since each business and enterprise has many of its individual features. To this it must be added that the enterprise exists in certain circumstances, which also have their own characteristics.
But the above points are enough to get an idea of the complexity and diversity of the document.
Purpose of the business plan
Where to start when creating a plan? Before you draw up a business plan, you should clearly understand its purpose, as well as determine to whom it is addressed. This will help you understand which points need to be emphasized and which points are secondary.
In other words, an entrepreneur, before writing a business plan, must understand what aspects of the document are important to him.
The purpose of a business plan may be:
- Drawing up an action plan for the implementation of the project.
- Project presentation for potential investors.
In a separate column, you can put a plan that is drawn up in order to start a business from scratch.
Business plan recipients
Despite the apparent obviousness of who the document should be addressed to, there are several subtleties that must be taken into account when creating it. Moreover, these subtleties can have a very serious impact, both positive and negative, on the fate of the project.
Let’s try to explain what we are talking about. All possible recipients of the business plan, minus the owner of the company, can be divided into several groups:
- Enterprise employees.
- Partners, both existing and potential ones.
- Investors, likewise, who have already invested in the enterprise, or who may do so.
You should start with the fact that the entrepreneur writes the program of action for his enterprise, business, or implementation of a specific operation, first of all, for himself.
It is well known that a properly drawn-up action plan is a serious help for the operational management of the process, allowing you to quickly respond to changes in the situation, based on a previously prescribed algorithm.
That is, the head of the enterprise, having such a plan in front of his eyes, may not waste time on buildup, each time re-entering the course of business.
This form of self-organization, if implemented competently and methodically, can significantly optimize the process of making operational decisions.
Business plan for employees of the enterprise
But the owner of an enterprise or firm is by no means always the only addressee of the plan. This document is even more important for the employees of the company, and everyone, from managers to technical staff.
Understanding what they have to do and, most importantly, why is the basis of the motivation of employees. It allows them to feel themselves full participants in creative activity, and not blind executors of someone else’s will.
Needless to say, the quality and efficiency of a well-motivated worker are much higher than that of an employee who does not have such motivation.
Understanding the meaning and prospects of what is happening, employees are able, within their competence, to show outstanding initiative and resistance to stress, thanks to which the enterprise receives an additional margin of safety.
Important! The degree of access to information for ordinary employees and management can vary greatly. Therefore, it would be reasonable if the business plan is drawn up in several editions, each of which is intended for a specific group of employees