Have you ever imagined what that hidden secret is that breaks the growth of one small business while the other cannot break its banks? It is a solid business plan.
A business plan is like a roadmap. It transforms a person from a wantrepreneur to an entrepreneur. This document will contain all the goals you have set for your company and the timeframe needed to achieve them. Here, the poles vary. Some entrepreneurs believe in writing standard business plans, while some consider various forms of business plans.
In this blog, we will introduce you to the types of business plans, and you can choose which is best for your needs. So, let’s begin.
5 Types of business plans for new setups
- Startup Business plan
This comprehensive document will set the foundation for the success of the company. All the aspects of the business, like the analysis of the situation, financial information, and strategic marketing strategies, are covered. Be it any service like a business content writing service in Dubai or essay writing in Abu Dhabi, all these services had their startup business plan before they reached their recent position.
Such plans have two purposes. Initially, it serves as a kickstart for the team to start a business and start getting results from the first day. On the other hand, it is proof for the banks and investors. They will get an idea of your thoughts and help them in deciding to invest in your business.
Some of the elements that you need to add to your business plan are:
A summary: Craft a synopsis highlighting the concept of the company, its target audience, products or services, and the initial funding amount required.
Company Overview: Disclose the details of the company. Include its location and the goals. Make sure that you don’t forget to add the mission statement explaining the reason behind the idea of starting the business.
Products and services: What will the company serve to the customers? Add all the details and decode the prices if possible.
Analysis of the situation: Prove that you have used market research to understand the competitive market. Add some information, such as the demographics and the current status of the industry.
Marketing plan: Discuss the strategies you have decided to use to build awareness among the audience and hook new and old clients.
Management information: Introduce the people who will be part of the company. Share their profiles to let the investors know their expertise.
- One-page business plan
Imagine yourself as a software developer who created an app from scratch and now wants to launch a tech startup. You have already created a detailed plan but want to run a test drive. Sharing a long document with customers and friends and asking them to read through is something difficult.
In such situations, one-page business plans play their role. It compresses your full business plan and shifts it into a summary. Such plans give a snapshot of the company in a few minutes. Still you need to make sure that all the important points for the startup of the business are included. Consider this outline to avoid missing important details:
- A brief analysis of the situation
- The unique values
- Mission statement
- The target market
- Details of management, and
- Funds required and final results.
Keep in mind to update it so it can be new for the old audience.
- What-if Business Plan
It is certain in business that everything will not go according to our plan. In such situations, what-if business plans outline major roadblocks that your company might face and you need to be prepared for it. These can be some external factors like the stock market or the supply chain.
When you are writing this plan, include some of these things like:
- The details of the description of the business risks and other scenarios
- Its impact on the business
- Actions that you might take to overcome those obstacles
- The risk management strategies, and
- The financial projections
- Expansion Business Plan
Let’s say you have opened a restaurant. You are serving local cruises and see an opportunity to expand your business by adding other cruises. By designing a growth business plan, you can change your current state to your dream state.
This is known as an expansion or growth business plan. It will help you analyze yourself in the future after spending some years in this industry. Such plans will help you calculate how far and fast you can grow your business. It will provide you with a roadmap to reach that point with all the essential elements required.
- Operation Business Plan
When you have a plan in your hand according to your needs. It is time to create a plan that will guide you in implementing those on a day-to-day basis. The operation business plan will guide you. The internal-focused document will explain the role of your leadership team and the employees to run your company. All the specific responsibilities of each department should be included.
When you write down this plan, keep an eye on the goals of your company. All the facilities and types of equipment that you will need to run the business smoothly. Set a measurement process that can keep your team on track.
FAQs
How can we describe a business plan?
A business plan is like a roadmap. Change yourself from a wantrepreneur to an entrepreneur. This document will contain all the goals you have set for your company and the timeframe needed to achieve them.
What is a standard business plan?
A working plan or standard plan narrates the overview of your company. It highlights all the goals and the process to achieve those goals.
What is the role of a business plan?
A well-designed business plan will help you make critical decisions, and the process will go in a flow with no obstacles. If you face any challenges, you will be already ready with a plan B and some strategies to overcome them. It will be easy for you to monitor your process and stay motivated.
What elements should be part of the business plan?
When you are designing any business plan, make sure that you cover these elements:
- A summary
- The description and structure of the business
- Market research and strategies
- The profiles of the management team
- Financial documents.
The bottom line
An understanding of the types of business plans is important. You will become capable of making decisions at every stage during the business journey.
Each plan is set with a different perspective and goals. Select the right plan that fulfils your needs and increases your chances of success, navigate challenges effectively, and keep an eye on your progress.