Yes, you do need a business plan! After your research is completed,
you will need to develop a business strategy on which your business will
live by. I recommend creating a text document with the following:
Description. Describe your business in detail.
Explain your products and services. Discuss differences
between your products and competitors.
Marketing. Your research helped you identify your target audience.
Create several marketing strategies to reach customers. Consider
offline marketing as well as online marketing. Determine the most
effective channels to your customers.
Sales. Marketing is a waste if you don’t have a solid sales plan.
Create an internal price list, which includes your hard costs of goods.
Develop tiered pricing. Special offers, bonuses, free trials,
or discounts to are great ways to get your customers motivated to buy.
Finance Management and Growth. If you are not an accountant, consult
one as soon as your budget will allow. Did I say “budget”? Yes,
I did. In today’s competitive world, your dollars and your growth need
to be managed. Your business plan should include forecasted revenue and
expenses short, medium, and long term (1-3 months, 6-12 months, and 1-2 years).
Personnel and Growth. Be your own boss! Intelligent business-savvy
friends who work for free are hard to come by. At some point you may
need to hire contracted labor or employees. Consider your workload needs
over your first year of business. Include a forecast of employees and
salary costs in your business plan.
Do not cast your business plan in stone. Business changes every day.
While you need to develop a solid foundation for your business,
you need to be flexible when it’s time to change strategies.
Your business plan is a living document.
