Writing a business plan is tough, it is not only the toughest aspect of starting a business from scratch, but also the most important one. A business plan provides you with a road map to help you in the development of your company as it grows, and also aids in sourcing finance for the same.
There is no exact formula to follow when writing a business plan. It is usually done in sections starting with the business itself, a description of the business that discusses marketing, your key competitors, day to day operations and your employment estimations. The next section should include the financial data beginning with how much starting capital you are asking for and how and when you plan on making that back. The last section should be for supporting documents, such as your personal financial data as well as any other principals of the business.
While working out the sections above, keeping in mind the 5 W’s (who, what, where, when, and why) can help remind you of the important things that need to be addressed while writing a business plan. Check out the details for 5 w’s in the next post…