basic business plan

THE BUSINESS PLAN
(From here on i'll use TBP instead of the actual term THE BUSINESS PLAN)
TBP consists of 9 major points

1. BUSINESS CONCEPT

2.PERSONAL RESOURCES/FINANCES

3.PRODUCT/ SERVICES

4.MARKET

5.SALES & MARKETING

6.ORGONIZING

7.BUSINESS DEVELOPMENT

8.BUDGET

9.FINANCING..
The whole idea is to gain knowledge about the above mentioned topics. And all the topics interact with each other and they never pause interacting..
Now TBP is a NEVER ENDING PROCESS
It gives the description of the business and plan of how you intend to run and develop it.
Once TBP is ready you will have great knowledge of business world...(THE WORLD IN WHICH YOUR FUTURE LIES)
TBP gathers all bits and pieces from the business preparation and general life experience some research by common man and some by top of the line research guys..
It contributes to a more well arranged start-up beneficial to the entrepreneur, his/her family, personal network[i.e friends and associates],consultants, and source of finance{bank , investor or venture capitalist]
However TBP is not the final statement of business world
It is a dynamic world so your plans for your business must be dynamic too.
BENIFITS OF WORKING ON TBP:
It helps the structure and helps to realize vision
gathers knowledge and compelling information
facilitate a frame work for better business decision
helps in convincing family, friends, banks, investors etc
proof of dedication
better counseling from co-operators
NOW COMING TO POINT NO 1 THE BUSINESS CONCEPT
A good idea is only a good business if you are able to make enough money from it
Once you get an idea it needs adjustments and further development before it turns into a commercial concept..
[ it needs to be discussed, debated, brain storming, feedback)
Now if the idea is not convertible into a commercial concept then drop it

COMING TO POINT NO 2 PERSONAL RESOURCES AND OBJECTIVES
Running a newly established company is a very personal thing and its owner is typically the only one present in the company.
therefor,it is important to emphasize to yourself and others alike that you do posses the capacity and resource necessary to run a business
COMING TO POINT NO.3 PRODUCT/SERVICES
This is life blood of the business. its very important to analyze its various aspects...special attention must be paid to what customers demand from the product or service

POINT NO 4 MARKET DESCRIPTION
Identify the market you want to penetrate ..good marketing result thorough market and customer insight( local feed back , friends , interaction with people can help initially and always)

POINT NO 5 SALES & MARKETING
Sales and marketing are the tools to approach customer in order to rise an interest in your product/service.
e.g: media/telecalls/direct mails/internet solutions/attend trade fairs/workshops/events/channelize the contacts/word of mouth etc
POINT NO 6 PRACTICAL ORGONIZING OF THE BUSINESS
Explain everyday running of the company take into account the cost of arranging and running the business.
POINT NO 7 BUSINESS DEVELOPMENT

Its hard to think 4-5 years ahead even if your business is established and running..
Advantages: At early stage envision the outlines of an even bigger and more than the one you actually start with ; every time you retrieve new information in one area it affects another area in the plan
POINT NO 8 BUDGET
All the above topics described in economic terms is called budget... budget helps in concretizing and it is ok to go back and change the plans if the budget proves them unrealistic

POINT NO 9 FINANCE
How do i raise funds that i start my own business

MISSION STATEMENT:

Starting business::tendency of basing it on a specific knowledge or on a specific product..
If the foundation crumbles away, the market will loose interest in your business .you will have nothing else to offer to the market.
best buy: which human business or society related challenges the product meets .. there has to be a mission statement to continue your business
opens your mind to new ideas new commercial ventures by widening your business statement..if mission statement is not ready? wait and come back to this later.
when working with TBP right mission statement might just pop up..
ELEVATOR PITCH
Mission statement might be right for you but you also need to know what you actually sell: if you are asked for
its often hard to come up with a swift and clear answer for what our company actually sells..[ many have tendency of maundering , deepning, or understating leaving the questioner with a diffuse impression of what has been said }
try to prepeare the perfect sales talk brief enough to be told to a stranger in an elevator .he or she might be a potential customer
CUSTOMER BENIFITS:
What benefits do the customers get from buying your product or service? as customers have to spend money on your service or product it is important to analyze which motive they have for doing so?
if you do not know these benefits it becomes difficult for you to develop and sell the service or product to the customer
Usually it is hard for an entrepreneur to envision what kind of customer demand is satisfied by purchasing his/her service or products.
entrepreneurs would rather let the customers know about the product properties. facts on the product/informative labeling like how long and wide the weight or how many Mhz computer delivers.
[this is again a part of research different topic which will be touched later on]
a customer only focuses on the benefits and output to be gained from a given service or product

DIFFERENT FROM YOUR COMPETITORS

Look at your community, area in the city, local market, the new mall...you will probably be able to buy whatever product or service you like ..so why start a new business when you can buy everything..in what ways is my product or service better than the one already avialable...
THE DIFFERENCE CAN BE SMALL BUT CRUCIAL
Your family can supply you with fresh shrimps
Few have the computer skills. do you have?
your education &experience gives you new knowledge to perform better
Your cousin in europe , friend in america , uncle in england , class mate in germany , sister in middle east , and friends (lots of them) all over world some have good contacts and some can be utilized...
You have over the last ten years become friends with buying, purchasing , selling agents , importers , exporters , advertizing and media people service industry , technocrates research guys , etc etc
your personality will give your customer a good feeling so that they purchase more and return to your services
CLEAR GOALS

Set clear goals for your new business this will put a psychological pressure on you and probably you will perform better
the aims have to be very precise so that you are able to measure them
GOALS

1.within 12 months 6 major customers will deliver 60% of the turn over
2.at least one new service has to be developed every 12 months
3.i will close down the business if it has not reached 70% of the anticipated profit within 12 months
4.the gross profit have to be at least ???
5.afetr 12 months i will have paid back at least 60 % of the loan taken