Nearly every successful (and not a few
unsuccessful) business has created a business plan or two within the life of
the company. These plans can be used for a variety of reasons, but are most
commonly brought to life when the business is seeking funds. This may be
through fundraising, a bank loan, or seeking out individual investors, but
the business plan shows how and why investing in the business is a smart
financial idea. Of course, not all business plans are created by those
businesses looking to turn a profit. Non-profit businesses also rely on
these plans to raise funds; though they will usually focus on the services
and social good their business will do, rather than a bottom line financial
consideration. There are several
types of business plans, and many businesses create a business plan meeting
each of the types, depending on the circumstances necessary. There is the
elevator pitch business plan, which acts as a teaser. These plans can be
used in short, two or three minute presentations in order to spark greater
interest from a group of investors or a bank. Sometimes, a business will
have only a short time to present their initial plan, and this is where this
type of plan comes in handy. There is the oral
presentation plan, which usually focuses on a showy, entertainment aspect of
presentation. This plan is usually put forth to encourage the potential
investors to move forward and read the written plan, which will be far more
detailed and include all the bottom line financial considerations. The oral
presentation is there to generate excitement, and appeal to the investors’
human qualities, rather than facts and figures. If there is a new product
being included in the pitch, a demonstration of the product will usually be
a good idea for the oral presentation. The written business
plan is where it all comes together. This can be a lengthy as it needs to
be, and should probably follow one or both of the above plans. Once the
business has successfully attracted some interest from potential investors,
they are given the written plan and can decide from there whether or not
they see the business plan as being successful. Business plans are a
must for the small business owner, looking to gain capital and seeking loans
from lending institutions. They are likewise necessary for those publicly
traded companies that need to let stockholders know what their plans for the
future are. Even if neither of these are true, business plans are an
excellent way, even internally, to set down goals on paper and give a direct
path of success to a business or company.
About the Author
Aussie Dave has been in the
work from home industry for well over 6 years now, both on and offline.
You can be personally mentored by him for home business success by
requesting a call at
http://www.gravitysponsoring.com