What pain point do I solve for my customers? It indicates the financial health of a business. It contains the aims and objectives of the business as well as the supposed means of achieving them. The author may or may not have a financial interest in any company or advertiser referenced. Some may pertain to you; others may not. Even the most basic accounting software packages include templates and samples. But ultimately the tools you use to develop your numbers are not as important as whether those numbers are as accurate as possible--and whether those numbers help you decide whether to take the next step and put your business plan into action. What is the timeline for bringing new products and services to market? Identify your industry. What do you need to do? What makes your products or services different? Such figure shouldn’t be randomly generated but should be based on a thorough market research as I earlier stated and should be backed up by reliable data that indicates growth potential if your plan is to be taken serious by potential investors. The content on the InfoGuide Nigeria is provided as general information only. After you objectively evaluate your capital needs, products or services, competition, marketing plans, and potential to make a profit, you'll have a much better grasp on your chances for success. What ranks high in terms of importance? Keep in mind this is just a made-up example of how your Summary might read. Access: Customers, suppliers, shipping, etc. How will your operations change as the company grows? In our case, the cycling rental business does not require much segmentation. If you don't plan to seek financing or outside capital, you can still take advantage of creating a comprehensive plan that addresses all of your operational needs. ), Achieve the largest market share bicycle rentals in the area, Generate a net income of $235,000 at the end of the second year of operation, Minimize rental inventory replacement costs by maintaining a 7 percent attrition rate on existing equipment (industry average is 12 percent), Provide high-quality equipment, sourcing that equipment as inexpensively as possible through existing relationships with equipment manufacturers and other cycling shops, Use signage to attract visitors traveling to the national forest, highlighting our cost and service advantage, Create additional customer convenience factors to overcome a perceived lack of convenience for customers planning to ride roads and trails some distance away from our shop, Develop customer incentive and loyalty programs to leverage customer relationships and create positive word of mouth. That's because many aspiring entrepreneurs see a business plan as simply a tool--filled with strategies and projections and hyperbole--that will convince lenders or investors the business makes sense. Bottom line results indicate the success or failure of any business. Industry trends show cycling has risen at a more rapid rate than most other recreational activities. In other businesses and industries, answering the above questions can be more difficult. Depending on the nature of your business, your Products and Services section could be very long or relatively short. In the Products and Services section of your business plan, you will clearly describe--yep--the products and services your business will provide. Creating a business proposal is indeed a big task, you have to cast your eyes into the future and include a definitive guide to shape your business. Since the typical customer seeks medium-quality equipment and excellent services at competitive prices, we will focus on providing brands like Trek bikes, Shimano footwear, and Giro helmets. (Otherwise why make the investment?) Your goal is to answer the following key questions: Operations plans should be highly specific to your industry, your market sector, and your customers. For instance, a potential investor will be more interested in seeing detailed explanation on how you intend to make returns on his investment and the time frame. If we, as hoped, carve out a significant market share, the corporation may use those assets to increase service, improve equipment quality, or cut prices. For the market you hope to serve, determine: The key is to understand the market in general terms and then to dig deeper to understand whether there are specific segments within that market--the segments you plan to target--that can become customers and support the growth of your business. But, I learnt it while in school and today I have decided to teach you for free what I spent a fortune to learn. While you don't need to be an accountant to run a business, you do need to understand your numbers, and the best way to understand your numbers is usually to actually work with your numbers. Price, service, convenience, and extensive inventory are all areas where you may be vulnerable. After that he was the operations manager of Single Track Cycles, a full-service bike shop located in Bend, Oregon. That process requires asking, and more importantly answering, a number of questions. (Again, potential spending power is an important number to quantify.) What are your initial staffing needs? Blue Mountain Cycle Rentals will be located at 321 Mountain Drive, a location providing extremely high visibility as well as direct entry and exit from a primary national park access road. What facilities, equipment, and supplies do you need?