How To

How to Write a Business Plan

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By eHow Contributing Writer
(77 Ratings)
Every business needs a plan.
Every business needs a plan.

Every business should have a business plan. It is your road map to the future and is usually essential if you want to get financing.

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Difficulty: Easy
Instructions

Things You'll Need:

  • Bonded paper
  • Business plan software
  • Computer
  • Laser printer
  1. Step 1

    Organize the information for your business plan. Include information on your company, product or service, customers, market, competition and potential risk.

  2. Step 2

    Write an executive summary. This is the first section of the plan–—a 2-page description of all the elements covered in more detail later.

  3. Step 3

    Describe your company. Spell out the purpose of your business. Talk about the skills you and your management team have.

  4. Step 4

    Explain your product or service. Detail how you will make or provide it. Analyze the costs associated with this process. List your supply sources.

  5. Step 5

    Talk about the market you're entering. Discuss general trends in the industry. Include details about the market segment you are pursuing, the niche you are targeting and your target customer; provide demographics on your potential customers and explain their buying habits. Analyze your competition.

  6. Step 6

    Describe your marketing plan. Explain how you will generate sales through advertising, promotion and public relations. Estimate all costs conservatively.

  7. Step 7

    Detail your yearly revenue projections and your expenses.

Tips & Warnings
  • Be sure to gather all of the information for your business plan before you start writing it. Organize your research in outline form, then start writing.
  • Limit the plan to less than 50 pages. Investors and lenders get business plans every day. Most plans get a cursory look before they are either discarded or kept for further review.
  • A business plan is a never-ending process. As your company grows, update your business plan projections.

Comments  

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leduncan said

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on 7/9/2009 A business plan is a huge undertaking. You can do it though. Use a template. Step 2 shouldn't be the executive summary. You should write that last.

Jaybeew said

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on 2/1/2009 Thanks for the info.

rosie96778 said

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on 9/14/2008 thanks i will give it a try very good information

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on 7/31/2008 If you've never written a business plan before, know that it is a big undertaking and requires a LOT of reading, planning and careful attention to detail. This is an area that you should consider paying someone with a proven track record of success in writing thorough business plans.

Hon777 said

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on 2/6/2008 im am so freaken smart!~!!!!!!!!!!!!!!!!@!~~!~~!

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