By Tebello Hlalele
Creating a killer Business Plan.
What is a business Plan? A business Plan is a blueprint for every business, big or small.
However, it is a very important document for a business. It is a tool for investors, partners and stakeholders. A business plan gives an overall vision of a business.
Due to a constant change in markets, customer preference and interest, businesses should not confine themselves with the plan.
A business plan can be used:
- To Project financial activities;
- To get an equity investor;
- To project the growth of a business in terms of its market share and profit margins; and
- To give direction of the mission and vision of a business.
An investable business plan should contain the following aspects:
- The Executive Summary, that in a nutshell gives a proper glimpse of what the business is about. A business mission and vision statements and an outline of a business market;
- Company Information, this being its compliance status. From company registration forms, tax documents and other compliance requirements which differ from sector to sector;
- The SWOT analysis of the business, to explain the health or state of the business. Accompanied by the organogram (Structure) of the business;
- Financial Projections and Cash Flow statements to give a potential investor the business desire financial state; and
- Lastly, Marketing and Sales strategies, which will give a potential investor assurance that a business is profitable. The marketing and sales are the essential part of a business plan.
Although it might look and sound easy to compile a business plan, it takes sacrifice and time to compile an investable business plan. A lot of entrepreneurs throw the towel when a poorly made business plan, hinders them from receiving investors or funding.
The most effective way of compiling an investable business plan, is by knowing your business as good as you know yourself and this comes with mastering the “Elevator Pitch”.
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For social media platforms, people can follow me on twitter @Panda_Hlalele and Tebello PandaPrenuer Hlalele on Facebook.
Until next week, bye-bye for now.
Tebello “PandaPreneur” Hlalele
Business Collumnist: FS News Online
Tebello will be writing featured articles for FS News Online, weekly. He will be covering various Business related topics and answering relevant questions.
About the Author: Tebello Hlalele, a 22 year old entrepreneur, student and future leader from Meloding Virginia, currently residing in Bloemfontein. He is currently leading a programme called “Hustle on the move”. He aim is to get entrepreneurs in the Free State to reach their desired destinies. He also has a 30 minutes slot with Ace Moloi on Kovsie FM every Friday that interacts with entrepreneurs regarding their challenges.