Business Plan Blueprint

How to Put Together a Winning Business Plan That Will Take Your Idea to New Heights

Wouldn’t it be great if some nice, obliging multimillionaire handed you sacks of cash to get your business idea off the ground? Or if a particularly agreeable bank manager opened the doors of the vault and invited you to help yourself? Unfortunately, in the real world no one will give you a single cent if they think your idea is going to fail. So you have to convince them that you will be the next big thing, and that’s where your winning business plan comes in.

A business plan is your big shot at success, the golden opportunity to get your idea off the ground and lift it to new heights. After the initial flash of inspiration, the temptation is to get up and running as soon as possible. The excitement of a new venture is intoxicating, and you’re eager to let the world know you have created a product or service that they can’t live without. But you must contain your enthusiasm a little until your plan is written. A lot will rest on its shoulders, and it must be thoroughly researched.

The majority of businesses fail in the first few years because their creators haven’t bothered to plan. Attempting to start, plan, and grow a business without a business plan is like fumbling around in the dark. You have no idea of where you’re going, and obstacles and opportunities will be missed.

Determine the target of your business plan

Typically there are three potential audiences for your business plan, depending on its purpose. The document may be for internal purposes only, to help you spot any potential pitfalls, to plan future development, restructure your finances, and review your successes. Or you may be using the plan to secure funding, in which case your audience will be angels and venture capitalists. There are several different types of angels including parents, siblings, friends, or anyone that the entrepreneur has a personal connection with, and this can allow for some latitude with the business plan. Angels believe in you and your idea and don’t mind providing a few thousand dollars. Then there are those angels who are affluent individuals looking for a higher return on their dollar than they may get in traditional investments. These venture capitalists are usually successful entrepreneurs who want to help other entrepreneurs get their ideas off the ground, and they will lend their expertise as well as their money.

Venture capitalists, or VCs, are institutional investors or high net worth individuals who will fund your enterprise if they think it is profitable. In exchange you will give them a share of the company. They will be strangers, and the only way that you can convince them to part with their money is with your business plan. So here are some top tips and essential guides to help you design the ultimate business plan, and get some serious money flowing into your organization.

Top tips for writing a winning business plan:

Think strategically—If you are seeking funding, you should take a long-term view of your organization. Don’t just plan for the forthcoming year. If your loan extends to a five-year period, then expect that your funder will want to know if you are viable and sustainable over that period.

Consider the audience—You must remember who you are targeting and then write from the audience’s perspective. If your aim is to secure funding, a potential backer will want to see detailed information about the return on their investment and the time frame for getting the money back.

Prepare to take risks—A winning business plan is about managing risk, not avoiding it. You should anticipate the challenges ahead and outline scenarios of how to deal with them.

It’s all in the details—Your plan should be detailed, but concise. It should contain enough information for the reader, and be free of spelling mistakes. The tone must be professional, and assumptions and forecasts should be credible.

Get an objective opinion—Even the most talented, successful, and experienced entrepreneur can benefit from having a second and third pair of eyes look over the business plan. Find someone detached from the process who can offer an objective viewpoint and spot any weaknesses, flaws, or areas that you may have missed.