How to Write a Business Plan - Entrepreneurship BY Gillian Perkins

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Twelve years ago I started my first
business and I started with absolutely
nothing I don’t just mean I started with
no money I started with no money no
skills no plans barely even any ideas
and let’s just say that was a tough way
to start it’s tough to build something
successful when you don’t even know what
you’re trying to build after working for
myself for several years I finally got
around to coming up with a plan it was
messy it took me forever to write and
honestly not really that useful of the
finished document but in the process of
writing the plan allowed me to create a
lot of clarity for myself about what my
objectives for the business were and how
I would reach them within the next two
years I had more than doubled the size
of my business
hiring a staff of a dozen people to run
it for me and attracting hundreds new
customers since that time I’ve written
quite a few business plans both for my
own companies and for those of my
clients and at this point I’ve developed
a system to streamline the entire
process not only making it faster and
simpler but also way more useful in a
really practical way if you want to get
your business organized and start
strategically increasing your profits
and growing towards your goals then keep
on watching this business plan has six
main sections and I’d recommend that you
start by scribbling your ideas for each
on a separate blank piece of paper once
you get your ideas worked out you can
create one cohesive document the six
pages of your business plan are one
overview to message three marketing for
product five production and delivery and
finally it’s six goals the first page of
your business plan will be an overview
it’s going to give a basic understanding
on what your company does and the
structure of your company now you’re
seeing me write it down here in my
sloppy messy handwriting however I typed
up a nice neat version for you to use
for yourself so if you want a copy of
that just check the description down
below it’s completely free and you can
use it to write your own business plan
in that first overview page of your
business plan you want to include your
business
your company structure the location
where you do business and also a brief
description of exactly what your company
actually does the next piece of
information for your company’s overview
is your company’s mission and this is
really important because it’s the
driving force behind your business plan
it’s what all your plans are focused
towards achieving and if you don’t have
a mission it’s like trying to make plans
to reach a goal without having the goal
so make sure you don’t skip this step
the final component of the overview page
is your chart of accountability now this
chart describes who is accountable for
which of the major tasks involved in
running the business and the three main
areas of count ability and most
businesses are marketing and sales
operations and finances the second page
of your business plan will focus on
outlining your company’s message it’s
really important if you want your
business to be successful that you have
a clear idea of what message you are
working to communicate to your customers
who are those customers how do you fit
into their lives and how can you help
them solve a problem that they’re facing
and create a result that they’re looking
for as you can see here the questions
that you’ll want to answer on this page
of your business plan include what
problem does your company solve for your
customers what result does your company
create for those customers how does your
company create those results who does
your company serve why do you do what
you do why should your customers choose
you over your competition and then
finally what is your company’s step by
step plan for creating those results for
the customer or what is your proprietary
system this both helps to answer the
question what sets you apart from your
competition and it also shows your
customers how you’re going to create
those results that you’re promising
which will give them much greater
confidence in your ability to create the
results okay now let’s move on and talk
about the third page of your business
plan this page focuses on marketing and
generating sales first of all you’ll
want to define your target market by
their Democrat
and their psychographics demographics
are attributes such as their age their
income where they live
whereas psychographics have to do with
their interests their desires and their
fears here you’ll also want to include
an estimated size of your target market
and even more important that that is
where you have identified that you can
find groups of those target customers
and here’s a little big hint if you
haven’t yet figured out where you can
find groups of those customers be it
online or off you’re probably going to
have trouble successfully marketing your
product or service that you sell so if
you come to this part in the business
plan and you don’t know what to put here
you’re probably gonna want to do some
research and make sure that this target
customer that you have defined with the
demographics and the psychographics if
someone who you actually can find groups
of because if you can’t find a group of
them then you might want to consider
redefining that target customer and
slightly pivoting your marketing
position the final three pieces of
information that I recommend you include
on this page of your business plan are
your visibility strategy which explains
how people will first learn about your
brand and about your products your lead
generation strategy which explains how
you will establish contact with the
people who have discovered your brand
and then finally your conversion
strategy which is essentially your sales
strategy explains how you’re going to
turn those leads that you’ve generated
into paying customers
here is a quick aside as you’re working
through this business plan for yourself
it’s more than likely that you won’t
know the answers to all of these
questions and you won’t have all these
things figured out yet and I just want
to let you know that that is completely
alright and actually one of the main
purposes of writing your business plan
is to become aware of those things that you
haven’t thought about yet or that you
haven’t figured out that you don’t know
because only once you’re aware of what
you don’t know will you be able to
figure those things out so don’t put off
writing the business plan because you
don’t know everything yet but rather
write the business plan so that you can
get very clear on exactly what you do
know and what you need to figure out all
right now let’s move on to the fourth page of
your business plan this page describes
the product or products that you sell
and just so we’re clear here a product
could be a physical product or a digital
product or a service but I’m just using
the term product in a general sense on
this page I highly recommend that you
choose just one a product as your
business’s primary product you might
sell several different things you might
even sell hundreds of different things
but determine what your main product is
that you’re going to Center your
business’s marketing message around and
really try to structure your business
around selling the reason that I
recommend that you do this is that many
different parts of your business
development will be much easier if you
do have one product that is the focus on
this page of the business plan start by
first of all identifying what that
product is and then describing the
result that the product creates and
here’s a little hint what your company
sells is really the result of the
product creates not the product itself
after describing the results describe
the impact of the product create this is
different than the result itself it’s
instead how the customers life is
affected by the result of the product
creates for example if the product that
you’re selling physically is a vacuum
cleaner then the result of the product
creates is clean floors but the products
impact is that your prospect feels
better about the state of their house
has a cleaner healthier living
environment and perhaps feels more
confident inviting company over once
you’ve described those three things for
your main product you can move on to
other products that your company sells
describing first of all what the product
is second the result that it creates and
finally the impact that it has on
customers lives the sixth and final page
of your business success plan has to do
with your goals now if you look at any
examples of business plans in the past
or read a guide on how to write a
business plan you might have seen a
section that focused on projections so
sales projections or new customer
acquisition projections or market share
projections and if you’ve tried to write
a business plan in the past and you
tried to write a section you may have
found it very difficult and chances are
that’s because you’re running a small
business or maybe you’ve just started
your business and it’s really difficult
to make accurate projections or
projections at all for that matter if
you don’t have any data to base them on
and that’s why I’d recommend that if you
are just starting your company or you’ve
only been in business for a couple of
years then instead of trying to create
projections you instead simply set goals
you can decide exactly how long you want
to make your goals for but a good place
to start would be to set some one-year
goals and also some five-year goals that
way you know what you need to work on
right now but you also know where you’re
aiming longer-term for each time frame
you can set whatever goals you’d like
however some that I might recommend our
number of sales total revenue profit
impact in terms of the number of
customers who you help or how wide you
spread your message and development
which could be the extent to which
you’ve advanced the product that you
create and offer or to what extent
you’ve built your company and of course
when setting goals it’s always important
to set specific measurable goals and to
set a deadline for when you’re planning
to reach somebody all right that’s
everything you need to include in your
business plan as you can see it’s six
simple pages and you probably already
know most of the information that will
be going into this business plan already
there are many other pieces of
information that you may want to include
in your business plan and of course
you’re more than welcome to include any
relevant information that describes how
you successfully run your
and how you plan to reach your goals
however my final piece of advice for you
is to make sure that you don’t over
complicate things more words are not
better in fact your business plan will
be the most useful if you keep it short
and relatively simple because if you
write a document that’s 20 40 or more
pages long chances are high that nobody
will ever even go back and read it ever
again as I mentioned earlier on I put a
neatly organized outline of this
business plan together for you there’s a
link in the description below where you
can download it for free if you have any
feedback on it be sure to let me know
I’d recommend that you download it and
print it out now and to schedule some
time on your calendar so that you
actually get around to filling it out
because writing a business plan is one
of those things that can have a big
long-term impact on your business but
because it isn’t actually urgent you
might put it off indefinitely and until
you make the time to write your business
plan your business will continue to be
disorganized and not as strategic as it
could be all right well that is
everything for today’s video if you
enjoyed this video or found it helpful
then please hit that like button to let
me know and also consider subscribing to
my youtube channel I make two videos
here every single week about
entrepreneurship success and personal
development and if you like this video
and you won’t want to miss the next one
thank you so much for watching my name
is Gillian Perkins and I look forward to
seeing you again next time
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