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Writing a Business Plan for a Startup: Key Elements, Objectives and Tips

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People try to earn in different ways and one of them is starting your own business. In other words, opening a startup. Many students prefer the business industry for the great prospects it offers. Some of them become entrepreneurs and some simply work in the industry. Employers require gifted workers who are able to write high-quality documents, including a business plan for a startup.

If you see yourself in this industry, business plan writing skills are a MUST for you! Not all folks are able to handle this task properly. Some of them have poor writing skills. Nonetheless, the main reason for failure is the lack of knowledge. They may not understand what makes a good custom business plan. We want to help inexperienced business writers. This useful guide explains how to write a good business plan for a startup.

Know the Main Elements of a Business Plan

Your first aim is to define the main points that make a business plan. Thus, you will know what must be described in it. We will shed some light on 7 elements. These are as follows:

  1. An executive summary. It provides a general idea of the entire plan and outlines the main points that will be highlighted in it.
  2. A company description. This section describes the company. It tells what type of company it is, and highlights its main goals, principles, directions for development, and so on.
  3. Market research. You should include research on the current market and its outcomes according to the goals of the company.
  4. Descriptions of products or services. This section highlights the products or/and services offered by the company. Clarify their usefulness for consumers and benefits for the company.
  5. The management and operational structure. By writing this section, you explain the way the company and all its operations will be carried out.
  6. Marketing and sales strategy. This section clarifies the strategy chosen by the enterprise to advertise its services or products and how they will be delivered to consumers. It also explains how to find potential buyers.
  7. Financial aspects. The last section deals with all the financial aspects of managing the campaign. It includes the potential revenue, the required investments, as well as possible financial losses, and how to avoid them.

Top Software for Writing

As we live in the era of technological progress, you cannot waste the chance to use its products. There is special software, which helps to create and write excellent business plans for startups. The top-6 software for business plan writing is:

  1. Enloop
  2. LivePlan
  3. GoSmallBiz
  4. BizPlan
  5. Business Sorter
  6. PlanGuru

Clarify the Objective

Once you know all the elements, you should fulfill a few more steps. Your business plan for a startup is supposed to clarify the main objective of your company. It cannot be something too short, like: “We are going to sell mobile phones”. Develop this idea by offering clear theses. Answer the next questions:

  • Who are you?
  • What are your main goals?
  • When do you plan to go into business?
  • What kinds of services and products will you sell?
  • In what industry will you work?

It is also vital to mention the reasons why you go into this or that business sphere. An executive summary states them. Discuss briefly the future of your startup.

Identify Your Target Audience and Market

As you are to sell something, you need someone to buy it. Your plan will have to give a detailed description of the potential customers and how to reach them. You ought to take into account 4 major factors. Firstly, clarify the issues related to the product:

  • What do customers want from it?
  • How can it help them?
  • Where will it be used?
  • What are its main features and characteristics?
  • How to name it?
  • How is it branded?

Secondly, check the price policies:

  • What is the value of the product/service to buyers?
  • How much should it cost?
  • What discounts can be given?
  • How does the cost differ from your competitors?

Thirdly, identify the issues related to the place:

  • Where will buyers find it?
  • Can you access the distribution channels?
  • Do you need to utilize a sales force?
  • What can be learned from your competitors?

Fourthly, give heed to the promotion prospects:

  • How can you reach the target audience?
  • When is it reasonable to promote your business?
  • What do your competitors do?

When you study the target audience and market, you ought to take into account many factors. Among such are:

  • Age;
  • Gender;
  • Location;
  • Psychographic;
  • Income level;
  • Behavior, etc.

Analyze Competitors

Every business has several competitors, and a business plan must include a detailed analysis of all of them. The smartest “players” always learn from the success of their competitors. Mind that you should also learn from their failures to avoid the same in your campaign. Give heed to the next essentials:

  • Brand positioning;
  • Name and symbol;
  • Value position;
  • Organizational culture;
  • Brand personality and attributes;
  • Potential benefits and so on.

You should have a clear vision of how to separate your brand from the crowd.

Correct Budget

Every business plan must mention the financial aspect. You are to give heed to all the possible aspects related to potential revenue and spending. The main points to include in the plan are:

  • Equipment expenses:
  • Property;
  • Legal fees;
  • Payroll;
  • Insurance;
  • Inventory.

Select a Marketing Strategy

It is also vital to opt for a marketing strategy. It explains how to find buyers and sell your products. Here are a few steps to consider:

  • Create a website;
  • Be active on social media;
  • Build an email subscriber list;
  • Concentrate on customer retention;
  • Create and offer customer loyalty programs.

Wrapping Up

You should never forget about the facts and tips offered in our guide. They help to understand what makes a good business plan for a startup and how to reach that aim. You may also use writing help offered by special services if you feel this task is overly complicated for your current skills.

Written by Marcus Richards

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